Apparently this is the case. It's fucking bullshit but oh well what can you do. Oh and the banks are STILL handing out interest only ARM loans . But they won't hand out a 100% FIXED rate loan. Even in Houston which is pretty much the best market in the country right now. Guess I'll have to settle in for another fun year w/the parents. Or pay some douchebag way too much money to rent. Get used to the shit housing market people, it's here to stay.

I thought ARMs weren't that bad?!

Why not put a little money down?

Not sure what the winky is about, I never defended ARM loans in any way. In fact I was the one coming out against them in all those discussions we had.

And it looks like I have no choice on whether to point money down. Personally I think it's pointless for the consumer. It's so the banks can pad their assets from the get go.

Yes, you attacked the banks giving the ARMs out. I think ARMs are great for short term investments.

You want the bank to be responsible some how by not requiring a down payment. I say that a down payment is a great thing to require. You don't rent an apartment without some sort of security deposit. You do not by a car without putting something down.

I am not sure how it's "padding assets".

That's a horrible analogy. You pay a deposit on an apartment so they can withhold it to pay for repairs when you leave. And no you don't have to put money down to buy a car. It's padding the banks assets because they get 5% of your payments up front

Yeah, that's a bad analogy. Most car places I have been to require some sort of down payment, even if it's a trade-in.

What lending agency is requiring a down payment?

Well I talked to BoA since I have so many accounts through them. Haven't talked to anyone else yet but it seemed like that was the general consensus across the industry. I'll try a few more just to be sure though.