New York gets the foreclosure heebiegeebies
Start spreading the news, foreclosures are on the way, if you want to be a part it, go to New York, New York.
That’s right, The New York Times has reported the untouchable, unshakable property market in Manhattan is feeling the effects of the American housing crisis.
The article says those involved in the Island’s property market have started to notice the warning signs, as home owners falling behind on payments put their property on the market to avoid losing them to foreclosure.
According to research firm PropertyShark.com, in July this year the number of homeowners appearing in court filings for missing three or more mortgage payments -the first step in the foreclosure process, has risen by 78 percent on the same period last year - that’s 93 up from from 52. But it’s not your average property owner (if they exist in Manhattan) feeling the pinch. The Times lists lawyers, professors and bankers among those who are appearing in the court filings.
‘1 in 50,000′ sold via foreclosure auction
Even though Manhattan appears to be joining the foreclosure club, it’s only in a small capacity. The site says just one in 50,000 Manhattan residences ends up at a foreclosure auction, compared to one in every 526 homes in Los Angeles or one in every 4,300 homes in Queens.
Some ‘not fully accepting’ situation
It is perhaps these figures that have led to many of Manhattan’s residents feeling apathetic to the situation, believing it won’t effect them. Erskine Kennedy, a program coordinator of foreclosure prevention for Neighbourhood Housing Services, told The New York Times:
“A lot of my clients in the outer boroughs grasp the foreclosure process,”
but in Manhattan he finds
“a level of not fully accepting what is going on.”
Oh those little town blues…..
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