Archive for the 'Foreclosure Rates' Category

It almost seems like the country is burning in a raging fire except that the fire is more of an unbearable heat created by the rising rate of foreclosure homes. Whether it is the beautiful beach city of Miami or the Mega structure city of New York, none of the cities and their counties have been spared. More than a fire, the rising number of foreclosure homes is spreading faster than an epidemic. In fact, the reason for such a high number of government foreclosures is being attributed to the adjustable rate mortgages.

The year 2007 has been marred with poor performing mortgage loans and experts believe that this will only become worse as the year proceeds. According to Moody's Economy.com, there will be many more delinquencies leading to bank foreclosures this year. Almost 2.5 million mortgage defaults are expected in 2008 and delinquencies are expected to peak by the end of the first quarter and around the onset of summer. The expected delinquency rate responsible for such a high number of foreclosed homes is 3.6%, which will be a jump of 2.9% as compared to the first quarter rates of 2007 and increase the number of government foreclosures

As feared, the number of bank foreclosures found on foreclosure listings has soared to record heights. Take for instance, the Sacramento California area, according to DataQuick Information Systems, a real estate market tracking company; the number of foreclosure homes has hit a record high of close to 5300 in the first quarter of 2008. This is nearly one half of all foreclosures that area experienced during the entire year of 2007.

As the nation stumbles on the enduring mortgage crisis, the figures for February caused additional reason for many people to be dismayed. According to a report, there were 223,651 homes that entered foreclosure last February including 46,508 homes that were repossessed by their banks.

With bank foreclosures at such high levels in many parts of the country that the amount of new foreclosures every month is actually higher than the amount of homes sold on the open market, many homebuyers and investors are changing the way they buy real estate.

As more statistics on foreclosures at the end of 2007 are released and analyzed, it seems that a new city has claimed the burden of being the nation's foreclosure epicenter, and that city is Las Vegas.

Whether you are a first time homebuyer or a seasoned investor, you can take advantage of the soaring foreclosure rates recorded in different counties and states all across the country. Foreclosures take place when a homeowner is unable to make his/her mortgage payments. It is a worst case scenario that homeowners have not learnt to fight against. In 2006, around 125,000 properties went into foreclosure in Florida as against the 95,269 properties that went into foreclosure in Florida in 2005. This is a straight increase of 13% and it is expected to increase this year too.