Many homebuyers are being more creative, taking more risks in getting into the housing market. According to SMR Research 38.1% of home buyers put less than 5% of the purchase price down, up from 30.6% in 2000. [USA Today] Piggy back financing, obtaining a line of credit simultaneously with the house purchase to put 20% down to avoid PMI insurance, has also been rising. SMR says 48.2% of buyers used piggy backs up from 19.9% in 2001.
Well, as more people increase their borrowing risk, foreclosure rates rise.
Foreclosure.com published a list, by state, of foreclosure inventory available for sale in August. [Valuation Review: Pd. Sub.] There was a 3% increase from 90,611 units in 93,440.
Sample media foreclosure coverage from around the country:
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