Looks Like FHA is Going To Hold The Line On Down Payment Requirements

Good news out of Washington DC. It looks like the HUD Secretary feels that raising the FHA minimum down payment from 3.5% to 5%. It seems that the Secretary based on his comments feels that the extra "skin" in the game will hurt sales whole doing little to stem the default rate. Instead he favors raising the mortgage insurance premiums. Part of that has already been decided, see the previous post on the increase in the upfront MI premium.