Comment Submitted by Jenny Phung

Reducing seller concession will not reduce the risk on a loan. With new tighten up appraisal guidelines, underwriters and lenders will not approve any loans over 96.5% Loan to Value regardless how much seller concession is, instead, this will hurt buyer's reserves. For borrowers under 580 credit score, they obviously represent more risk, but they should have opportunity to purchase a home. To increase down payment to 10% is a sound way to reduce risk as well as giving opportunity of homeownership to people on the way to recovery.