Although it is far from settled that the FHA will raise its downpayment threshold from the current 3.5 percent, there is a growing fear among some lenders that Republicans in Congress might push for a 10 percent downpayment. If that happens, said David Lykken, managing partner of Mortgage Banking Solutions, Austin, TX, “it would bring HUD to its knees.” Lykken and others fear that anything north of 5 percent would hammer the market, in particular first-time homebuyers who use the program heavily for purchases as opposed to refinancings. “We need the FHA charter to help first-time buyers,” he said. How much of a downpayment hike certain House GOP members might demand will be ...