Countrywide's (the nation's biggest U.S. mortgage lender) production for the month of November 2007 totaled $23 billion in total mortgage loan fundings; that's a drop in production of 40% since November 2006!
"Countrywide Financial Corp., the biggest U.S. mortgage lender, said foreclosures doubled in November and late payments continued to rise amid the U.S. housing slump..."
This trend isn't too uncommon in light of the vast changes our market has seen. Though programs like the recent Rate Freeze plan are meant to ease these occurrences, it seems that our foreclosure numbers have more to do with a lack of income (people living beyond their means) or a curtailment of income than they do with recent ARM resets.
Continued from Bloomberg.com:
"Foreclosures measured by unpaid principal climbed to 1.3 percent from 0.6 percent a year earlier in the unit that handles billing and processing, the Calabasas, California-based lender said in a statement today. Late payments of at least 60 days advanced to 6.5 percent of unpaid balances from 4.2 percent.
The increase reinforces evidence that the slowdown in the residential market is likely to continue into a third year..."
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Mortgage Advisor
Direct: 323.810.2175 | E-mail: ricardo (at) ricardobueno (dot) com
And if you haven't already,
at www.industry-report.com
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