Nor Cal is the same way. 20% down, Can't use renters income unless you have at least 30% equity in your current home and even then they will only let you claim 75% of it. With salaries breaking six figures, no debt, and $120k down, me and the gf only qualified for a mid 600's loan. Unless we unload our current places we can't get a heck of a lot of house around here...so much for that idea... there's lots of great deals out there but there's not too many people who can take advantage, especially if you already own a place. Our loan agent said they are trying to clamp down on people who bought at the height of the market, and when everything crashed bought cheaper, bigger houses and walked away from their first ones. I'm glad some people got to take advantage and screwed it up for the rest of us.
Cash is definitely king right now. If you happen to have 800k burning a hole in your pocket there are some bargains to be had on places that were selling for $1.5 mil + in 2005. Too bad I don't. But whacha gonna do? The economy sucks for everyone right now.
