Aaron Opfell

James, sorry for my delay in response. You wrote "the question is in regards to an investment property, not an owner occupied property." Yet in your first response you wrote "Most purchases now require 30% down". I was addressing the latter comment. And, in no way represented that Fannie or Freddie was backing nonowner occ to 90-95%.
-So let me put it to you like this, I fund hard money deals all the time where the buyers only have 20% of the purchase price into the deal. I have other investors doing non owner occ with as little as 10% into the deal, credit and income allowing. Or even 100% financing, if lender allows cross collateralization or payment escrows.
-You wrote: "as for fannie and freddie doing 95% loans, who's providing the PMI...? "
well, for owner occ, as of today(and in declining markets no less):
MGIC (Mortgage Guaranty Insurance Corp) http://www.mgic.com/guides/guides.html for one.
-Furthermore some of the big box portfolio lenders are still writing 95% LPMI loans. I agree that is now much more difficult to get loans funded of that high LTV, asset, credit and income requirements have been bumped, some lenders will not take EA-1 or worse etc etc.

Lea, I appreciate you standing up for me, but I assure you, I don't need it. I never sugarcoat anything to anyone and I can handle someone's opinion. However, there has been a miss-statement of fact here, which I believe has been set straight. I think it is someone else that needs to check their guidelines. - Tue May 6 2008, 16:07