Over the last few months most of the Denver metro real estate market has been designated as a "declining market" by Fannie Mae and Freddie Mac. This meant borrowers purchasing homes in the area would have to put down an additional 5% to purchase. This extra amount gave the investors lending the money more confidence to make the loan.
This past week Fannie Mae and Freddie Mac announced they are pulling back from the "declining market" minimum. This is sweet news to home buyers AND sellers in the Denver metro market.
Not having to come up with that additional 5% down will mean more borrowers will be able to qualify for loans. More homes will get purchased, more sellers will sell and on and on. :)
One catch, at this time the investors who actually make the loans have yet to pull back on the requirement. It is assumed they will do so soon, now that the announcement has been made.
First time home buyers take note, now may be Your Time To Buy...