MBA Reports 27 Percent Drop in FHA Purchase Apps Due to Higher FHA Premiums (As Innocent Buyers Pay Through The Nose For Past Downpayment Fraud)

Thanks to the $13+ billion in damage done to FHA by seller-funded downpayment racketeers (and their main patrons, the home builders), today's marginal home buyer is now being crucified to restore the FHA's insurance fund. To wit: ``"Purchase applications fell last week, driven primarily by a sharp decrease in government purchase applications as new, higher FHA premiums went into effect," said Michael Fratantoni, vice president of research and economics for the Mortgage Bankers Association (MBA). "This decrease reverses a 20 percent increase in government purchase applications over a four week period, which was likely driven by borrowers attempting to beat this deadline."''