Real Estate Group Lauds Impact of FHA Loans

Washington, DC, Dec. 21, 2009--Nearly 40 percent of recent buyers purchased a home with a Federal Housing Administration-insured loan, according to the most recent Realtors Confidence Index.

Realtors who took part in the November survey also reported that the number of first-time home buyers continued to climb to 51 percent.

“FHA helps provide affordable mortgage financing to homeowners, particularly first-time home buyers who are so important in drawing down inventory to help stabilize the current housing market,” said National Association of Realtors President Vicki Cox Golder, owner of Vicki L. Cox & Associates in Tucson, Ariz.

“These recent survey results reaffirm that, despite its current challenges, FHA is a critical part of the American housing fabric.”

The RCI results also indicated that distressed sales increased to 33 percent of all home sales last month, and that both investors and first-time home buyers are competing for these properties.