Last week, the Wall Street Journal reported that the subprime mortgage bond market is on its way to a revival, and now it appears that another culprit of the housing crisis is also staging a comeback. According to a new story by Sarah Ryley of the Daily (and formerly of The Real Deal), Americans are once again being given the opportunity to buy homes with no money down. In the Fox Business segment above, Ryley discusses with anchor Brian Sullivan, who moderates The Real Deal’s annual forum, how local and state housing finance authorities have recently ramped up their second mortgage lending programs to provide borrowers with 3 to 5 percent of the loan value. For homebuyers who are already getting 95 percent of their purchase price insured by the FHA, that means borrowing for as much as 101 percent of the cost of the house.

New York has been relatively unscathed by the subprime mortgage crisis, but according to the Wall Street Journal, certain areas of Long Island are leading the state in terms of distressed mortgages — by far. New York has a distressed mortgage ratio — the ratio of nonprime distressed mortgages per 1,000 housing units — of 9.2, below the U.S. average of 10.4. Meanwhile, Suffolk and Nassau counties come in at 27.4 and 20.7, respectively, and are the only two New York counties among the Federal Reserve Bank’s top 50 for distressed mortgages. [more]