Bloomberg: ***U.S. Home Foreclosures Jump 90% as Mortgages Reset***

[El Pinko]

http://www.bloomberg.com/apps/news?pid=20601087&sid=azx0LzcT19ao&refer=home



U.S. Home Foreclosures Jump 90% as Mortgages Reset
By Sharon L. Lynch


Feb. 26 (Bloomberg) -- Bank seizures of U.S. homes almost doubled in January as property owners failed to make higher payments on adjustable-rate mortgages.

Repossessions rose 90 percent to 45,327 last month from the same period a year ago, according to RealtyTrac Inc., a seller of foreclosure statistics that has a database of more than 1 million properties. Total foreclosure filings, which include default and auction notices as well as bank seizures, increased 57 percent.

``The most troubling thing is that we are seeing more and more of these properties actually going all the way through the process and going back to the banks,'' Rick Sharga, executive vice president of Irvine, California-based RealtyTrac, said.

Defaults among subprime borrowers and those unable to meet rising payments on adjustable-rate loans drove foreclosure filings to the highest since August and the second-highest since RealtyTrac started keeping records three years ago. About $460 billion of adjustable mortgages are scheduled to reset this year, raising minimum payments for borrowers, according to New York-based analysts at Citigroup Inc.

[madrchsod]

1. where are all the people moving to?

it`s never mentioned where these people have gone to and if they still have anything but the shirts on their backs? instead of coming up with a plan to keep them in their homes the banks throw them out and watch their property gutted by the scavengers...

[fasttense]

3. Yes, I've been wondering that too. Where have all the homeless people gone?

"January was the sixth straight month with more than 200,000 foreclosure filings, RealtyTrac said."

Just assuming 200,000 per month that is 50,000 foreclosures a week (in the middle of the Republican Great Depression, there were 200 foreclosures a week), or more than 6,666 foreclosures a day. Where are all the homeless people going? Even if half those properties are foreclosures of Contractor held homes (not yet sold to households), that still leaves 3,333 families out on the street. They can't all be moving in with relatives or renting.

Where have all the homeless people gone? Is bush arresting them or killing them? Or are we all just ignoring them?

[Johonny]

4. The question is

How many of these houses are families and how many of these houses belong to investors who where trying to make money flipping homes?

Frankly have no interest helping out the people that jacked up housing prices well beyond what is reasonable because they were using the ultra low interest rate to flip houses. Business is business. Let the families try to keep their homes, but let the investors lose their investment.

[ThomWV]

2. Resets that occur today won't lead to forclosures for months - think about that.

What we are seeing is not the result of resets that happend this month, or last month, or maybe even 6 months ago. It takes a while, some period of delenquency, before the banks even start calling. You've got 6 to 8 months before they toss you out, if they ever actually bother to at all.

So the resets that are taking place now will be the forclosures of mid to late summer, maybe right up to election time.