Many agents will look at you like you have 3 heads if you tell them you are financing 90%. That said outside of NYC a large portion of homes sales are done with 90% financing, in many cases even 97%.
So here is some hope for those that want to buy, however don't have 20% down or would simply like to save some cash for renovations.
We have now completed 3 deals where our clients secured 90% financing and it was pretty smooth sailing. Now these were all on deals where the seller was willing to accommodate because other options were limited. The quote I have pasted below is from a buyer who just closed at 338 Berry street;
"Keith, Norman, Christian
It was a pleasure working with you!
Thanks for your help throughout the process, and answering all our newbie questions & anxieties.
We are all packed and moving in tomorrow!
We were able to go with 10% down.
Sunny @ Citizens actually came through, and moved very quickly for us. They did give us a bit of a fright with an underwriting document request Friday @ 6pm. It freaked me out, but Sunny said it was not a big deal, and the file would clear on time. Overall was very happy, and they were extremely responsive.
Guardhill was also offering 10% down, though moved a bit slower and had higher rates. Beyond them, I believe PNC is also doing 10%.
SoFi was too much of a blackhole, so I didn't bother proceeding with them once the other lenders came through.
Interestingly it seemed like most of the banks that wouldn't do 10% really wouldn't do 15% either (except on sub-$1M).
All the best,
Steve & Cristina"