Figure 6 shows the share of home purchases by non-owner occupiers – investors or purchasers of vacation homes, for example – during 2005 and 2006. 7 Again, there is some correlation with the increase in delinquencies and foreclosures, as purchases by non-owner occupiers were relatively high in the West, Southwest, and in Florida.
Figure 7 shows the incidence of junior liens (or piggyback loans), often an indicator of little borrower equity at the time of purchase.