photo credit: Dru Bloomfield – At Home in Scottsdale
A new survey shows the true extent of America’s foreclosed homes rate, with one in ten mortgages now either overdue or in the repossession process.
The figures, released by the Mortgage Bankers’ Association (MBA), apply to the third quarter of the year for one to four unit residential properties.
According to the Wall Street Journal, the rate is up from 9.2 per cent three months before and from 7.3 per cent a year ago.
The figures have been driven by more and more people starting to fall at least 90 days behind with repayments, particularly in California and Florida, the MBA said.
Jay Brinkmann, the MBA’s chief economist, said:
“In the last quarter we saw about 575,000 foreclosure actions started, compared with an estimated 580,000 in the second quarter and 535,000 in the first quarter.“At this rate we are looking at finishing 2008 with about 2.2 million foreclosure actions started.”
Due to ongoing economic concerns, the foreclosure rates look likely to remain high into 2009, Mr Brinkmann added.
The Mortgage Bankers Association (MBA) is the national association representing the real estate finance industry, and has more than 2,400 members.
Related posts:
