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Down payments at 1%: A good idea?

Roger Showely, SAN DIEGO UNION-TRIBUNE

Friday, June 23, 2017

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This home includes a panoramic view of Mission Bay.

 

 Kelly Cunningham, National University System - YES: Renters already consistently pay a monthly amount for housing, essentially paying the mortgage of invested owners. While otherwise credit worthy and capable of qualifying for a mortgage, coming up with such a massive down payment, particularly in excessively priced housing markets such as San Diego, is a monumental hurdle to overcome. So long as applicants can qualify with stable income, credit history, and not otherwise be saddled by excessive debt, lenders may profitably offer 1 percent mortgage programs.