Foreclosures News Update Blogs

Mortgage delinquency levels will increase in 2009

TransUnion LLC reports that the expected delinquency rate of 4.67 percent by the end of 2008 will go up to 7.17 percent by the end of 2009. Main reason for continuing rise of delinquencies is Adjustable Rate of Mortgages (ARMs) extended under low standards will take their toll in 2009.

In 2009, delinquent mortgages, currently exceeding credit card delinquencies, will reach their 16-year high level. Worsening unemployment rate and slowing economic activities fueled by decreasing home prices will make the situation worse.

It is expected that current tight loan standards will stabilize foreclosure real estate market starting in 2010.

Posted: December 2, 2008 ...................................Post a comment
Blog category: Blog menu > Foreclosure negotiation > Foreclosure news
Related blog posts: Foreclosure financing

Home values drop for seventh straight quarter

Prices of homes kept dropping while about one-third of homeowners lost money when they sold their properties according to Zillow.

As of third quarter of this year, home prices declined another 9.7 percent on year-to-year basis. Homepowners in California suffered more. Foreclosure sales constituted about half of homes sales in some cities in California.

Zillow expects that this bleak feature will continue till the middle of 2009.

Posted: November 12, 2008 ...................................Post a comment
Blog category: Blog menu > Foreclosure negotiation > Foreclosure news
Related blog posts: Foreclosure financing

Negative equity at record high levels

About 7.5 million Americans have negative equity in their homes. That is, what they owe in home mortgage loans are more that whet their homes are currently worth. These homeowners have no chance to get additional borrowing against their homes. It is estimated that 2.1 million more homeowners will lose their homes in foreclosure if rescue package does not work as expected. The total number of homeowners facing foreclosure may exceed 10 million.

According to CNN, the states where homeowners have the highest negative equity are Michigan (39 percent), Arizona (29 percent, Texas (29 percent), and California (27 percent).

If any of these millions of homeowners fails to make mortgage payments, then foreclosure is imminent. And, bank or lender is in trouble too. Short sales are unavoidable in such cases.

Posted: November 5, 2008 ...................................Post a comment
Blog category: Blog menu > Bank foreclosures > Foreclosure news
Related blog posts: Rescue package - Foreclosure financing