Home Foreclosure Notices Hit Record High

The Associated Press on FOXNews.com reported that "the rate of home loans in foreclosure rose to a record high in the second quarter of 2007" (through June). Many of these loans wound up in foreclosure because they were adjustable rate loans where the borrowers were trying to refinance them into fixed rates but could not.

"It was the third straight quarter in which the foreclosure rate rose to a record-setting level and the worst is likely still ahead" the article continued.

The article reported that the problems are somewhat concentrated in states where the largest property price increases have occurred a few years ago. That includes Arizona, unfortunately.

Borrowers trying to refinance out of their ARMs often find that they owe more than the property is worth, so a new lender will not refinance their loan (unless they could make up the difference in cash, which most cannot). If they can't afford the increased payments and can't sell the property for enough to payoff the loan, these families often wind up facing a foreclosure.

If you would like to read the entire article, click here:

Home Foreclosures Hit Record High

If you are facing a foreclosure now or fear that you will be soon, and would like to talk to us about the situation, please call our 24-hour free educational message and leave a message or follow the prompts to be direct connected to us. We will send you a free Consumer Guide to the Foreclosure Process by return very discreet mail. You can also send me an email by clicking this link: Email Me!. We really can help, and we really DO care. Just call 1-800-433-8563 ext. 86186 right away!

August Foreclosure Filings More Than Double Versus 2006

I saw an interesting and stunning article today on FOXNews.com by the Associated Press. It reported that nationally, the number of foreclosure filings last month have more than doubled since August of last year.

The most amazing figure was what came next, that the number of foreclosure filings has increased 36% from LAST MONTH! This is an incredible jump. All indications are saying it will get worse before it gets better, especially after more and more subprime and adjustable rate loans start to reset to market interest rates this year and next.

Arizona is among the top 10 states with the highest foreclosure rates, ranking #7.

Speaking of the RealtyTrac, Inc. real estate tracking company, the article stated "August's (2007) total represents the highest number of foreclosure filings reported in a single month since the company began tracking monthly filings two years ago."

"Lagging home sales and flat or decreasing home prices have also left homeowners unable to make their mortgage payments hard-pressed to find buyers." Many of these houses wind up going back to the banks at auction, since often the opening bid (typically what the foreclosing mortgage company is owed) is more than what the property is worth. No one bids and then the property becomes the bank's (REO or real-estate owned).

If you'd like to read the whole article, it's here:

August Foreclosure Filings More Than Double Versus '06