Regulation changes won’t be as drastic as widely believed

The moments following FHFA’s announcement of expanding mortgage availability brought a lot of fanfare from both those who agree and disagree with the change.

But Wall Street real estate blogger Nick Timiraos agrees with housing analyst Jay McCanless, who said the changes 'had all the sizzle of a wet firecracker.' For example, Timiraos points out that the restoration of the 3 percent down payment program doesn't mean much because such a low down payment amount has existed throughout the downturn from the FHA. Instead, this change will only make low-down-payment loans slightly less expensive and could help some people buy sooner instead of making mortgages more widely available.

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