1 in 10 Americans Not Paying Their Mortgage

Wednesday, May 19, 2010 , , 6 Comments

But hey, it doesn't matter because everything is just fine, right?

Glad to see America took our advice...

Business Week:

The number of homeowners who missed at least one mortgage payment surged to a record in the first quarter of the year, a sign that the foreclosure crisis is far from over.

More than 10 percent of homeowners had missed at least one mortgage payment in the January-March period, the Mortgage Bankers Association said Wednesday. That number was up from 9.5 percent in the fourth quarter of last year and 9.1 percent a year earlier.

Those figures are adjusted for seasonal factors. For example, heating bills and holiday expenses tend to push up mortgage delinquencies near the end of the year. Many of those borrowers become current on their loans again by spring.

Without adjusting for seasonal factors, the delinquency numbers dropped, as they normally do from the winter to spring.

More than 4.6 percent of homeowners were in foreclosure, also a record. But that number, which is not adjusted for seasonal factors, was up only slightly from the end of last year.

Bloodletting is not an overnight process and we've got plenty more infected garbage to drain. Keep it up, kids!

Jr Deputy Accountant

Some say he’s half man half fish, others say he’s more of a seventy/thirty split. Either way he’s a fishy bastard.


Anonymous said...

"Bloodletting is not an overnight process and we've got plenty more infected garbage to drain."

It's a lot like one of those nasty boils one can get on the ass. It took a while to get there from not washing and wiping properly and it ain't gonna go away fast either.

How (or better yet, why) exactly is the adjustment done for "seasonal factors." You either paid your bills or you didn't...

Anonymous said...

If you let someone do interest only deferment payment, you can tack on the missing month at the end of the term. No one likes doing foreclosures at Christmas time - what do you think we are, heartless? Extend and pretend....

Anonymous said...

...maybe that's Shia's strategy too!

Anonymous said...

Financial reasons were most frequently named as significant obstacles to owning a home; poor credit topped the list.

Say "Hello" to higher rents Rentals, Rent a Center, prepaid debit cards, strip mall finance company outlets, prepaid cell phone plans should do well with the "target market" increasing in size. I saw a TV ad the other day while doing the treadmill routine (still off the smokes - yay for me) - it featured a full figured, voluptuous blonde singing the praises of Aaron's Rent - a - Center with a no credit check and "bring home the good life" message.

Anonymous said...

Higher rents - hmmmmm, isn't that one of the factors in Fed "Event Studies" (pffffffftttt - can you FEEL the contempt coming through the computer screen?) that helps them "measure inflation"?????