Foreclosure starts rise 10% in June

[marmar]

(MarketWatch) As if there weren’t enough bad economic news this week, Lender Processing Services reported that foreclosure starts were up by more than 10% in June, compared with May.

Foreclosure starts are still down 16.4% since the beginning of the year, according to LPS, a provider of mortgage performance data.

But there’s still a big lag in processing foreclosures.

The average loan in foreclosure has been delinquent for 587 days, according to LPS. For 40% of mortgages 90 days past due or more, borrowers haven’t made a payment in more than a year. And 35% of mortgages in foreclosure have been delinquent for more than two years. ...........(more)

The complete piece is at: http://www.marketwatch.com/story/foreclosure-starts-rise-10-in-june-2011-08-05?link=MW_home_latest_news

[glowing]

1. At least one theoretically gets about 2 hrs to live for "free" to save up to move on.

The smart thing would have been to address modifying the loans on homes to reflect current market value, hire enmasse from govt funded programs so that people could have a job and stop the hemorrhage of homeowners foreclosing. Currently, people are strategically defaulting on properties that are way too overpriced and will not see a return to market value.

And now that banks are tighter with their loans and require a down deposit, it is hard for younger people to get that first home... And now their parents don't even have the funds to help out with that first home purchase. Their 401K's, home values, and jobs have taken huge hits. It's a rentor market at the moment. Basically, investors are scooping up the homes at low prices, and renting at a much higher price because the housing market has been closed out. Even myself and my husband are stuck. We re-modified our home loan. The house is more $ than market price at the moment. We cannot sell to move into a bigger home for a while. It's ok for now, but 2 bedroom/ 1 bath will soon become too small once we have our own child. It will work for a while for my step-son to share his room, however, it will become cramped really soon if we have a girl, rather than boy.