Subject: File No. S7-14-11
From: Damien X Walsh, Esq

July 31, 2011

I respectfully request that you reconsider implementation of a 20 percent down payment for conventional mortgages, as to do so will adversely affect the ability of local, state, and federal government workers (i.e., teachers, firemen, police, administrative personnel, Department of Defense employees, etc.) from qualifying for first and follow on homes. Additionally, such a large security down payment at a time when the housing market is so weak, and so many are "under water" will certainly adversely affect the housing resale market for years to come, at the same time the economy is forcing many to relocate to remain employed. If you are dead set on establishing a hard line in the sand to secure the loans, a five or ten percent down payment would be a reasonable compromise. In my branch of federal government service, many colleagues are already required to relocate to stay employed, and a 20 per cent down payment requirement is likely to have a devastating affect on their ability to sell their homes and relocate - many now have to relocate and leave their family behind until the housing market rebounds...