Foreclosures Up 39 Percent in 1Q

MSNBC ^ | 5/21/2006 | Liz Flaisig

[ex-Texan]

NORTHEAST FLORIDA -- The rise in foreclosures that analysts predicted would follow an easing in lending restrictions, low interest rates and creative mortgage products has emerged in metropolitan Jacksonville.

Recently released data from California-based RealtyTrac Inc. showed the five-county metro area experienced a 39 percent increase in foreclosures over last year's first quarter, or 3,579 foreclosures for the first three months of this year compared with 2,570 for the same period in 2005.

The increase was just above the national foreclosure increase of 38 percent for the first quarter, which RealtyTrac analysts said could mean foreclosures going above 1.2 million in the United States this year.

[Rte66]

GMTA

[mmyers]

1% payments are good for 5 years with an adjustment max of 7.5% of the payment increase per year.

[BigTex5]

Buddy of mine is sold his house after 3 years for 30k profit. He had to sell because they increased his property taxes to almost 4k a year. I will probably be in the same boat within a few years if they keep raising property taxes. For 2006, my payments jumped from $973 to $1103 a month. That's nearly half my check. If it goes up anymore I'll be forced to sell.

[ex-Texan]

Bingo! . . .

[Hydroshock]

Foreclosures are already edging up. I have a cousin who is a realtor has been for over 10 years. She thinks a wave of foreclosures is coming as well.

[Rte66]

I "got the house" in my divorce - that is, I "got the mortgage" and it would have been OK, except that the oil industry went into a bust and banks were failing, the bottom falling out of everything.

I still would've been OK, except that it was a condo and my payments were reasonable, I got it refinanced at a lower rate and then BOOM!

They raised our HOA monthly fees from $60 to $300. I finally gave it back.

[Rte66]

I don't deny that there are probably going to be a lot, all over everywhere, but it won't be like it was in Houston 20 years ago. Conditions are very different.

[Hydroshock]

I hope you are right, but think you are wrong. There are different reasons but I think we will see a steep recession start in 2007 and a lot of foreclosures in early 2008.

[BurbankKarl]

the new home sales went up, because the average sales price went down.

[A.P.M.]

I'm so glad that my husband and I don't live above our means in an effort to keep up with everyone else. We bought our new home (which was modestly priced and quite fitting with our "as free from debt as possible" philosophy) in late 2002 with a traditional 30 year mortgage with a little over 20% down. We know more than a few couples who are losing everything they have right and left because they can't come up with the mortgage payments that stemmed from all of these "creative" loans. And don't even get me started on the ones who're realizing what a mistake it was for them to jump into a new mini mansion by borrowing against the equity they had in their existing home. Now they've got two houses they can't pay for (much less sell). It's a shame.

[Hydroshock]

My wife and I believe the same. If we can not pay cash we do not buy it.

[anymouse]

Ever wonder why Houston home prices are still so low?

The Houston area job market is skewed towards a lot of low end jobs and a few high end jobs. Houston is once again becoming dependent on oil and gas for high end jobs.

The Clear Lake area is overly dependent on NASA for high end jobs. A significant cut in NASA funding to JSC would send shock waves through the local real estate market.

The Galveston housing market is driven by retirees and the leisure class. The tourism and entertainment industry cannot sustain the bubble housing market, if the gentrification of Galveston becomes not sustainable. If property tax relieve is not enacted and/or Galveston suffers a direct hurricane strike, it will be "foreclosure beach."

[litehaus]

"I smell cheap homes acomin soon."........Think I'll apply for a job in some banks REO dept!

[AD from SpringBay]

What you said. Debt is bad.

[herkbird]

Your wrong on the JAX being the biggest land city. I lost tht bet back in the eighties. Someplace in Alaska did the same thing and took away the JAX claim to fame. Check it out.

[stainlessbanner]

Well - it used to be a little known fact (mebbe you can change it to say the continental 48 states). Google it - I'm sure the real answers are out there.

[stainlessbanner]

apartment complexes which were going condo

That's going on all over the state and in VA. Why is that? Developers getting more money out of the units than renting them perhaps.....

[ex-Texan]

Who is that keeps vandalizing the KEY WORDS in this thread.

Cowardly trolls throw HATE SPEECH like rocks at innocents while hiding behind their screen name anynominity.

ANDAGONYONME; BROKENRECORD; CEREAL; CHICKENLITTLE; DESPAIR; EXTEXANLUVSKEYWORDS; FEAR; GLOOM; GLOOMANDDOOM; GOLDPIMP; HELPME;ILUVWILLIEGREEN; RECORDINVENTORY; SAMEOLDSAMEOLD

Is that you, narby? Vile HATE SPEECH and personal attacks violate the posting rules.