During the lead up to the financial meltdown, when it seemed like everyone's father's, brother's, nephew's, cousin's former roommate could get a zero down home loan, the nation experienced just about as far as the pendulum could go in regards to ease of financing. Lending guidelines were incredibly lax and seemingly non-existent. Since then, and in response to the mess they helped create, banks have responded by swinging the pendulum the other direction.

Of that nearly 27% there is certainly a hefty chunk of borrowers who should rightfully be rejected no matter where the pendulum is. Everyone can agree that refining loan qualification guidelines was desperately needed. There does, however, seem to be a growing problem that good borrowers are being rejected due to small caveats in bank's strict lending standards. It has become less about looking at a borrower as a whole and more about making sure they meet every last guideline, and in doing so hard working families with a history of making timely payments are being turned away.

These days, it is not uncommon for families with great credit, who can well afford a home purchase, to get turned away on smaller technicalities.

Much of the country's real estate has struggled due to a combination of a glut of supply and undervalued bank owned homes plaguing the market (though the Bellevue and Seattle area has recently been experiencing a rather healthy ratio of supply and demand). Looking at that 27% makes you wonder how home values would have performed last year had that number been closer to 20%...

- Robert E. Wasser - Seattle and Bellevue real estate news, market trends, statistics, and blog