U.S. home foreclosures fall but new delinquencies up to 3.5%

August 26, 2010 by · Leave a Comment
Filed under: REO News 

Hope you are all having a good summer.  I have been enjoying the good weather and relaxing time outdoors.

Things are not looking good while going into fall.  Unemployment numbers are at November 2009 levels, people falling behind on their mortgages is rising and the Fed is talking about buying more treasuries in another effort to try and fight the gravitational forces of deflation.

This is impossible, if the buying power and income is not in the system to support the current price levels then they have to fall.  If you keep trying to fight gravity then it will only serve to debauch the currency and create real chaos until we get our heads right and get back to fiscal responsibility.

The trend is up for foreclosures in the long run, that is for sure.  Too many jobs are going over seas and the ones that are left over will not support buying a home in most major areas.  Until we start creating real jobs that create real middle class incomes, this cycle will continue until it corrects itself the hard way.

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U.S. real estate foreclosures soar 81 percent in 2008

January 15, 2009 by · Leave a Comment
Filed under: Real Estate News 

It will get worse in 2009, we now have alt-A and option ARM (pick & pay) loans coming due this year and 2010.  This will put continuing downward pressure on real estate prices.  With so much of the average American’s wealth tied up in their home, we will not see a full recovery until this process is completed or incomes rise enough to cover the difference.   This will be reflected in reduced spending on discretionary items and more savings as people are much more risk adverse in this uncertain economic environment. 

News: 

U.S. foreclosure activity jumped 81 percent in 2008, with one in every 54 households getting at least one filing notice, suggesting various state laws and private programs to slow the process have been ineffective, RealtyTrac reported on Thursday.

Nearly 3.2 million foreclosure filings on 2.3 million properties were made last year, the Irvine, California-based research firm said. Filings include notice of default, auction sale or bank repossession.

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