According to a New Report published yesterday by Realty Trac US Foreclosure activity increased 75% in 2007 over 2006 figures.
Nevada hit # 1 with Florida #2 followed by Michigan to round out the top 3.
The states with the highest household foreclosure rate were
1. Nevada (3.38 percent)
2. Florida (2 percent)
3. Michigan (1.95 percent)
4. California (1.92 percent)
5. Colorado (1.92 percent)
6. Ohio (1.8 percent)
7. Georgia (1.57 percent)
8. Arizona (1.52 percent)
9. Illinois (1.25 percent)
10.Indiana (1.03 percent)The U.S. average was 1.03 percent.
Following fresh on the report release was an interesting piece from the Today Show Wednesday, entitled Foreclosure 101 -
This interview is with Barbara Corcoran a so called business baroness. She is listed as one of the most powerful brokers in the U.S. Barbara is legendary for being the most well-known name in New York real estate and for having personally sold only three apartments. She is a Real Estate contributor on the payroll of MSNBC, who produces the Today Show.
In this news segment they break down exactly how a foreclosure process works.
Some of the not so pretty points:
- Foreclosures up 75% in the last year
- 1 out of every 100 homes are in Foreclosures
- 40% of Las Vegas Homes are in Foreclosure
- Most People don’t return calls to the bank
- Foreclosure starts after missing 3 payments
- Filing Bankruptcy doubles the time you can stay in your house
- Takes 3–18 Months before you lose your home
- Bankruptcy stall foreclosure
- It takes 6 years to restore your credit after foreclosure
- Bank Loses Average of $59,000 for each foreclosure
How to Stop a Foreclosure:
- Short Sale
- Apply for FHA Loan
- Ask for a reduced Payment
- Return the Deed
The take away from this according to Barbara, “People don’t realize they have more muscle than they think when they are in financial trouble”.
I invite you to comment on this after viewing the video.
What are your thoughts ?
Please post your comments here: How to stop foreclosure - 101
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