This was a very interesting statistical chart. I still think the major thing everybody continues to miss is that it was not so much sub-prime or 100% financing as much as stated income. Even still, the 100% financing problem arose due to the plummeting values and people just, basically, giving up and walking away. So I would be very careful to read into this that 100% financing is bad; I would take it with a grain of salt. The problem really stems from stated income loans and the floor falling out of home values. If you buy a house at 250K and it is now worth 150K, why stay? This is the rational of those affected by this. We are not seeing this so much here in ABQ.
The bottom line with all of this is what? If you are not working with a company that will educate you and advocate for you then you will get hosed. That is what we are here for. Call us and we will walk you through every step.
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