Back in the day, you had to put 20% down to buy a house. The idea was that you had “skin in the game” and were very unlikely to walk away.
But that all changed and it is what gave us the housing bubble. It looks like DJT is trying to reign in the housing market back to “sane” levels.
BTW, this will remove a lot of potential home buyers from the market. I expect prices to drop significantly. There will be less flipping, probably, as well.
When more people have to come up with an actual down payment, there will not only be less buyers (deflating prices), but sellers will lower prices to get people into their homes.
Coupled with the last interest rate increase, I think the second bubble is about to burst
and obama was blowing the horn to “increasing opportunities for lower income people to have houses” what’s what got us in trouble. Possible Clinton and the democrats would have continued along that course.