Fannie Mae and Freddie Mac lowered down payments to 3% for qualified first time home buyers and reduced equity to 3% to cover closing costs for qualified borrowers for refinancing mortgages.  Fannie Mae and Freddie Mac purchase mortgages – in the first half of 2014, they backed about 50% of new mortgages.  With average home prices in Los Angeles hovering at $400K and condo/townhome prices averaging about $350K in California according to C.A.R, the new Fannie & Freddie requirements may make home buying more realistic.  Contact  us or your lender for more details.