Rough Waters For Home Mortgages – Defaults On the Increase
The current home ownership state of affairs is in jeopardy
Various news sources states that an increasing number of people are defaulting on their home loans. This comes just when many people have started to see progress.
Are you likely to become one of them?
The foreclosure support and rescue program introduced by President Obama is also in trouble. The program, known as HAMP,The Home Affordable Modification Program, has had about 36,000 defaulters emerge from the first trial period of the program. As few as 430,000 have successfully passed this step in total.
New reports indicate that 3.51% of borrowers were 30 days late in their loan payments in the second quarter, up from 3.31% at the end of last year, according to new data from the Mortgage Bankers Association. This is a huge reversal from 2009 when short-term delinquencies were in steady decline.
Labor markets just have not seen the necessary recovery. New job losses continue to grow and people need a paycheck to make their mortgage payments.
When the economy is “in the toilet” the mortgage situation cannot improve. To make matters worse new home construction are also down from last year. These have dropped 7% from July ’09 and as well, permits dropped 3.7% year to year.
A new tsunami of mortgage foreclosures is fast approaching on homeowners.
“Your greatest armor against losing your own home is a thorough understanding of what mortgage foreclosure is all about and how to avoid it.”
If your home equity is in “Submarine Territory” check out some of the resources in this site to provide you with the knowledge to stop this freight train in its tracks.
Learn what resources are available and where you can find them. Don’t let “them” win!
