Foreclosure News

America's New Housing Crisis Capitals
Real-time listing prices in these areas are dropping, and experts expect them to fall further this year.
By Francesca Levy
Forbes
January 29, 2010

During the housing bust, while the effects of foreclosures and a crushing recession tore through real estate markets in states like Florida, California and Nevada, the Denver metro seemed insulated from economic harm. It has consistently performed relatively well among the 20 major metropolitan housing markets tracked in the S&P/Case-Shiller Home Price Index, which measures sale prices, and is published with a two-month lag. In its January report, covering the year ending in November, Denver topped those markets with a 0.5% home price increase.

Yet another try at foreclosure rescue
The Wall Street Journal
By Tami Luhby
January 28, 2010

Under fire for the low number of people receiving long-term mortgage help, the Treasury Department on Thursday announced new guidelines that will require applicants to provide all paperwork before getting a trial modification.

The new policy will make it harder for troubled homeowners to start the process, but it should make it easier for them to qualify for permanent assistance under President's Obama foreclosure prevention plan.

The administration's $75 billion housing effort has been plagued by paperwork problems since it launched last April.

Las Vegas: Most foreclosures of any city in 2009
By Les Christie
CNN Money
January 28, 2010

Cities in the so-called Sand States dominated the foreclosure rankings in 2009, with the 20 worst-hit metro areas residing in Nevada, Florida, California and Arizona.

Las Vegas had the largest number of foreclosure filings of any city last year, with 12% of its households receiving at least one during the year, according to RealtyTrac, the online marketer of foreclosed homes. That was more than five times the national average.

Cape Coral, Fla., was a close second with 11.9% of its households; Merced, Calif., was third with 10.1%.

The good news is that all top 20 cities recorded declines in foreclosure filings in the last three months of the year.

Bank of America steps up foreclosure prevention efforts
By Les Christie
CNN Money
January 26, 2010

One roadblock slowing President Obama's foreclosure prevention program seems to be clearing away. Bank of America, the nation's largest mortgage lender, said Tuesday that it was the first lender to agree to lower or eliminate payments on second mortgages.

This federal initiative, called the Second Lien Modification Program, pays incentives to second mortgage holders to work closely with first mortgage holders under the Home Affordable Modification Program.

First mortgage holders have been reluctant to lower payments when there was a second lien involved because they did not want to take on losses while leaving payments on the second mortgages intact.

Housing Momentum Builds but Perils Persist
Low Inventories Spark Bidding Wars in Some Neighborhoods, but Job and Mortgage Woes Threaten New Foreclosure Wave
The Wall Street Journal
By James R. Hagerty
January 27, 2010

There's new evidence the housing market is healing after a four-year slump, but the danger of further price drops remains amid persistent job-market weakness, according to The Wall Street Journal's quarterly housing survey.

Inventories of homes listed for sale are down sharply across the U.S. and have reached very low levels in some areas, including Boston and Sacramento, Calif. The decrease in supplies has sparked a return of bidding wars on lower-end properties in some neighborhoods, but the national picture is mixed.

450,000 at risk in foreclosure-prevention program
By Tami Luhby
CNN Money
January 23, 2010

Hundreds of thousands of troubled homeowners who are making lower mortgage payments on a trial basis are at risk of being kicked out of President Obama's foreclosure-prevention program.

Companies that service the mortgages have until Jan. 31 to review all trial modifications that have been underway for several months under the Home Affordable Modification Program (HAMP), according to a Treasury Department guideline issued late last month. The Treasury Dept. said it would issue new guidelines next week, but wouldn't give details.

States urge action on foreclosures
CNN Money
By Tami Luhby
January 20, 2010

Cut loan principal for borrowers whose homes are worth much less than their mortgages. Attack the problem of option adjustable rate mortgages. Cut down on red tape.

Those are some of the ideas in a plan issued Wednesday by a group of state officials who have been working for more than two years to stem the foreclosure tide.

The state attorneys general and banking regulators urged the Obama administration and loan servicing firms to step up their efforts.

"Potential foreclosures are being built up in the system, said Tom Miller, Iowa's attorney general. "The efforts really need to be more efficient more effective more timely on behalf of the servicers."

"Strategic Defaults and the Foreclosure Crisis"

That is the title of an article in Yahoo Finance that was posted yesterday. It basically talks about how more and more people are just walking away from their mortgages (strategic defaults) because it make financial since to them.

Even though the main stream media has not been talking about foreclosures lately... the latest numbers are:

{Foreclosure filings were reported on more than 2.8 million properties in 2009, up 21 percent from the previous year and 120 percent from 2007, according to RealtyTrac.}

Record 3 million households hit with foreclosure in 2009
CNN Money
By Les Christie
January 14, 2010

Almost 3 million homeowners received at least one foreclosure filing during 2009, setting a new record for the number of people falling behind on their mortgage payments.

RealtyTrac, the online marketer of foreclosed homes, reported that one in 45 households -- or 2,824,674 properties nationwide -- were in default last year. That's 21% more than in 2008, and more than double 2007's total.

Bucktown (Chicago) condo site faces foreclosure
Crains Chicago Business
By Andrew Schroedter
December 30, 2009

A Chicago condo developer who recently criticized aggressive price cutting by rivals faces two foreclosure suits totaling $6.8 million.

William Senne had proposed a 94-unit condominium project in the city’s trendy Bucktown neighborhood. Called EcoLogic Lofts, the proposed “green” building was to feature a rooftop garden, recycling stations and power-producing wind turbines.