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Banks still too tight with mortgages?
That's right, let's blame the bad market on all those stingy banks.
With the real estate market in a deep funk, one of the nation's top real estate franchises is taking a swing at the nation's bankers.
Century 21 polled more than 1,500 of its agents, asking what kinds of problems buyers are running into when it comes to getting a mortgage.
In one of the most pertinent findings, three quarters of the agents surveyed reported they had lost at least one deal in the past six months when a buyer was unable to close on a mortgage.
Other findings include:
- Almost all the agents surveyed - 89 percent - had a potential buyer who ran into difficult qualifying for a mortgage.
- Just over half - 53 percent - said more stringent credit score and financial requirements had become a "major problem" for buyers seeking to close on a home.
- Low appraisal values were cited by 77 percent of the agents as a problem, with 67 percent blaming high down payments that many banks are now requiring.
- Now this one is particularly interesting. I'll quote from it directly - the italics are mine. "93% of all respondents estimated they could be doing more home sale transactions - 32% more on average - if their customers had a quality subprime mortgage alternative available to them, defined as being fully documented with down payment, income verification and reasonable credit requirements."
- Jumbo loan transactions are also apparently taking a hit - down by more than 20 percent over last year, agents reported.
About boston real estate now
Scott Van Voorhis is a freelance writer who specializes in real estate
and business issues.
Rona Fischman is a buyer's agent who provides a look at the local housing scene, from basements to attics.
