Report: California Foreclosures Drop 31% In January

February 14, 2009 · Filed Under Economic Impact of Foreclosures, Loss Mitigation, Mortgage Default, Stop Foreclosure, US Foreclosure Statistics · Comment 

It appears that some people are getting the promised benefits out of the various stimulus, recovery, and bailout plans that the government has passed in the last year. Though the government of California has been having an immeasurable amount of economic trouble lately, the state’s citizens are getting a small amount of recovery.

There were only 14,351 foreclosures in the state of January in California, as opposed to 20,952 foreclosures the month before. This number of foreclosures was the highest of any state in the entire country, but not the most per capital.

Nationwide, foreclosures are down by more than a quarter between the last two months. Despite these numbers, however, this may not be due only to a moderate recovery in the economy, as Fannie Mae and Freddie Mac both have a moratorium on foreclosures (and they own fifty percent of the United State’s mortgages), which has a big effect, completely separate from the strength of the market.

Furthermore, some commercial banks have agreed to do this as well.

Many banks are allowing consumers to change the terms of their mortgages, which can seriously hurt the banks’ balance sheets, and pumps up these numbers in an artificial way. This process is called Loss Mitigation.

Finally, the California senate has implemented a law recently, which may have had a large effect, that requires any lender to contact a homeowner before they are permitted to begin any type of foreclosure proceedings.

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The Unprecedented Recession In The World Economy

February 11, 2009 · Filed Under Economic Impact of Foreclosures, Human Impact of Foreclosures, Loss Mitigation, US Foreclosure Statistics · Comment 

The unprecedented recession in the world economy today seems to have hit every nation badly, though the percentage or the extent of damage may vary in each case. First it was believed that only the stocks were falling and the repercussions thereof would be redressed soon. But, as a wider panorama unfolded itself, it was discovered that not just finance companies but others too would face the cascading effect of the meltdown. Then followed housing loans and mortgages fiasco, credit card disillusionment’s, mortgage foreclosures in order to meet rising insecurities in the employment arena, so on and so forth.

Now, the bigger picture of the global meltdown is emerging. Mammoth commercial complexes that once housed hundreds of commercial establishments and looked unshakable, are slowly losing their clients who are moving to more affordable areas as cost cutting measures. Holding on to the prestigious address and location sheen seems to wearing off in the face of stark realities like layoffs and absence of contingency plans.

Landlords who once ruled the estate market are now pondering and are offering newer and attractive rebates to retain existing tenants. Vornado Realty Trust who apparently offered 10 months’ free stay to a tenant threatening to move out of One Penn Plaza at Manhattan is a case in point.

Another heart rending tale is that of 60-storeyed John Hancock Tower at Boston, the tallest building in New England, which has suffered heavy loss on account of severe fall in real estate price. The fact that it is being auctioned soon poses a very grim picture of the sad reality. The steep fall in its price from $1.3 billion to $700-900 million according to Associated Press, is shocking, to say the least.

According to Mark Goldman of San Diego State University, "a storm is brewing" in the commercial real estate industry and it is not just a storm in the tea cup as the adage goes.

No doubt, every company would want to carry a posh address on its card, but the sooner the harsh economic realities are confronted with , the better it would be for the survival to lend some semblance of balance to the current picture.

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June Foreclosure Filings Up 53% From 2007

July 14, 2008 · Filed Under Economic Impact of Foreclosures, Mortgage Default, US Foreclosure Statistics · Comment 

Home foreclosure filings are up 53% in June. This is the second straight month more than 250,000 homes have foreclosed. This is according to the latest report from RealtyTrac.

First of all, what is going on with the Fannie Mae and Freddie Mac news. how will that affect the housing market? It could be huge. The real debate is held in the reforms will be and still have enough capital to do with a need to do to affect relief on the markets. If Fannie Mae and Freddie Mac do not have the capital they need, foreclosures will go up. They are already up an enormous 53%, but down 3% from May 2008.

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Home Foreclosures Up 35% From 2007

June 6, 2008 · Filed Under Economic Impact of Foreclosures, Human Impact of Foreclosures, Loss Mitigation, Mortgage Default, Stop Foreclosure, US Foreclosure Statistics · Comment 



Stop Your Foreclosure Now


CNN.com recently stated, even with all the foreclosure prevention programs developed by the government, . The reason is obvious. Why does any, for profit banking institution, want to take on the problems of another bank?

New number show home foreclosures up 35% from last year, with more than 6.35% of all home loans in the United States falling delinquent. This number does not include homes currently in foreclosure.

Manassas Northern Virginia hit hard where 1 in 20 homes are in foreclosure.

14.5% of all homes for sale across the US in April 2008 were the result of a foreclosure.

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