Posted on 09/12/2007 2:36:16 AM PDT by freedomdefender
The nation’s foreclosure abyss has widened with 11 states seeing triple-digit increases in August compared to a year earlier, says Foreclosures.com, a Fair Oaks-based foreclosure information service.
Through August, 355,624 homes have been taken back by their lenders following foreclosure, according to analysis of REO filings by the company. An REO (real-estate owned) filing is the final step in the foreclosure process and occurs when the bank or lender files notice that it has reclaimed a property for nonpayment of debt.
Eleven states have recorded triple-digit increases in REO filings so far this year compared to the same period last year, according to Foreclosures.com’s report Monday.
Among REO filings in August, states with triple-digit gains year over year are: California (with filings up 471 percent), Arizona (up 217 percent), Nevada (up 192 percent), New Mexico (up 157 percent), Florida (up 141 percent), Hawaii (up 138 percent), New Hampshire (up 119 percent), and Minnesota (up 112 percent).
On a per capita basis, states with the most people losing their home this year include: Louisiana (14.7 homeowners out of every 1,000 households in the state), Michigan (11.1 per 1,000), Nevada (11 per 1,000), Georgia (9.9 of every 1,000), Colorado (9.8 per 1,000), Indiana (8.8 per 1,000), Ohio (7.6 per 1,000), and Missouri (7.6 per 1,000).
Costilla County, Colo., leads the nation in REO filings per capita so far this year with 256.2 of every 1,000 households lost to foreclosure. But in a bit of irony, that’s actually down more than 33 percent from the same period last year.
Pre-foreclosure filings — including notices of default and notices of foreclosure auction — continue to increase, the company says. “If the current trend continues, the number of homeowners in default on their mortgages in the United States since the beginning of the year could top 1 million by the end of October,” Foreclosures.com says.
So far this year, 731,244 pre-foreclosures have been filed nationwide, it says. That translates to nearly 10 out of every 1,000 households in trouble financially with their mortgages.
States with the most pre-foreclosure filings per capita year to date include: Nevada (30.9 per 1,000 households); Florida (21.5 per 1,000); Colorado (16 per 1,000); Illinois (15.3 per 1,000); California (14 per 1,000); New Jersey (14 per 1,000); Arizona (13.5 per 1,000); Utah (10.6 per 1,000); Texas (9.2 per 1,000 households), and Tennessee (8.7 filings for every 1,000 households).
According to Foreclosures.com, the nation’s Northeast and Southeast regions have suffered triple-digit increases in per capita numbers of homeowners in pre-foreclosure this year compared with last. Pre-foreclosures in the Southeast — 14.2 filings for every 1,000 households — were up nearly 145 percent so far this year compared with the same period last year. The actual number of filings in the Southeast — 158,466 — also rose 145 percent to date over the same time in 2006, it says.
The number of filings in the Northeast — 95,528 to date in 2007 — is 120 percent higher than last year’s number.
Foreclosure rates (from the link): 1990--0.9%; 1995--0.9%; 2000--1.2%; 2003--1.3%
Oh, ok. I was wrong. I guess Cramer was wrong last week when his head almost exploded on live TV.
Nothing to see here. Go back to sleep.
Now that’s the question that could solve the riddle.
Shrinkage figures are part of a company's pricing formula--losses that are made up in higher pricing. An individual company has to try to keep shrinkage as low as possible in order to remain competitive.
And obviously, Safeway & Wal-Mart can't exactly repossess the steak someone had for dinner three months ago, to point out that slightly less than one percent of secured real estate loans are in foreclosure. Less than one percent mortgage foreclosure rate is not out of the ordinary according to the rates in the link I posted at #21.
Yes, yes, yes, and yes.
“Among REO filings in August, states with triple-digit gains year over year are: California (with filings up 471 percent), Arizona (up 217 percent), Nevada (up 192 percent), New Mexico (up 157 percent), Florida (up 141 percent), Hawaii (up 138 percent), New Hampshire (up 119 percent), and Minnesota (up 112 percent).
On a per capita basis, states with the most people losing their home this year include: Louisiana (14.7 homeowners out of every 1,000 households in the state), Michigan (11.1 per 1,000), Nevada (11 per 1,000), Georgia (9.9 of every 1,000), Colorado (9.8 per 1,000), Indiana (8.8 per 1,000), Ohio (7.6 per 1,000), and Missouri (7.6 per 1,000). “
Look at electoral votes here. Can someone post them?
Quit throwing cold water on a good doomsday panic! :-)
I agree, but he didn't turn on a dime. Once he finally saw the light and started lowering rates, he didn't lower them nearly fast enough considering the economic conditions.
The observation that the Fed is creating booms and busts in our economy is true. And the irony is that the net effect is still inflation. If you or I had such an abysmal track record, we would have been fired a long time ago, not treated like rock stars and oracles of truth.
As the saying goes “figures lie and liars figure”
This from a recent article. Remember Walmart has a lower “shrinkage” rate than a lot of companies.
“The hit is likely to rise to more than $3 billion this year for Wal-Mart Stores Inc., which generated sales of $348.6 billion last year,”
That is just about 1% loss, due to theft. So yes, stores seem to operate with a 1% loss.
An industry that could not handle a 1% loss is not going to stay around very long at all. For comparison:
Retail Theft and Inventory Shrinkage
http://retailindustry.about.com/od/statistics_loss_prevention/l/aa021126a.htm
According to University of Florida criminologist Richard C. Hollinger, Ph.D., who directs the National Retail Security Survey, retailers lost 1.7 percent of their total annual sales to inventory shrinkage last year.
Yes, they would, and in fact they do. Shoplifting and counterfeiting take a bite out of all retailers.
That's the safe bet.
What's your opinion of the Partnership for Prosperity agreement (with Mexico) & the New Alliance Task Force?
What effect has both of these had on the mortgage loan industry?
Hey, if you want to have some fun torquing “investors,” er, I mean, shopping for a beach condo, consider that Miami has a record 23,000 condos for sale today, and will have 42,000 condos for sale by the end of 2008 due to current construction being completed.
...selling at a mere 10 condos per day rate ain’t gonna help ‘em, either. Just beware of Florida’s outrageous property taxes and insurance for new condo buyers and for out of state condo buyers.
But my econ professor told me that government intervention in the economy is what was supposed to temper these boom and bust cycles!
I read a book on Deming a few years ago, and I learned his observation that the more managers try to control variation in a system, without knowing the cause of the variation, the worse the variation becomes. Deming demonstrated this with his Funnel experiment. I don't think it's coincidence that the worst period of inflation in our country has been since the FOMC started trying to control it in 1936.
Real estate prices are based in great measure on how much banks are willing to lend to cover the loan.
As long as prices are rising, banks are eager (aren’t banks always eager?) to loan more assuring the suckers customers that there is no way they can lose money.
This whole scheme is based NOT AT ALL about whether we produce steel in this country anymore or how many Tulips we can grow.
And now the Fed and the ECB is pumping billions of dollars into the system IN THE MISTAKEN BELIEF that it will fix things, it Cannot fix things by going to the institutions, and the consumer is too tapped out on the credit nipple to benefit!!
During the depression, it was not unheard of for sheriffs to simply ignore foreclosure notices. You have a legal right to be informed of any notice and demand.
This is the beginning of a commodities bull like we have never seen before. It even makes sense to invest in paper!!”
There’s alot to what you say. My pet theory on this thing is that larger banks wanted a vehicle to buy up smaller banks and mortgage lenders. Chase (I think) just bought a great chunk of Countrywide stock for example.
Otherwise I just can’t understand why they lent money to people who obviously couldn’t pay it back. When I think of that I see the Guiness guys saying: We’ll loan money to people who can’t pay it back and be stuck holding notes on properties worth a third of what we lent—brilliant!
Just an opinion though!
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