Many Home Buyers Need Higher Loan Limits, Upper-End Stalled here in Las Vegas
The drop in mortgage loan limits for conventional financing at the end of 2008 is hurting home sales in Las Vegas and trade-up activity in higher price ranges. Outside of FHA, Fannie Mae and Freddie Mac, mortgages that do not have government backing are still experiencing a credit crunch. Buyers who need jumbo mortgages must pay interest rates that are nearly 2 percentage points higher than conventional financing; as a result, the high-end market is not moving. All consumers should have access to today’s historically low mortgage interest rates. It’s only fair that all hard-working, tax-paying, successful people who want to purchase a home have equal access to low interest rates regardless of where they live or where they want to buy. Every segment of the housing market needs a turnaround to spark an overall housing recovery, which will help the economy to begin to recover!
