This jump in foreclosures coming at this particular time makes perfect sense for 3 reasons:
1) Banks knew it was better to let people squat in their houses without paying the mortgage over the winter because it saved them (the banks) from having to deal with winterizing vacant houses, dealing with winter freeze damage, or trying to offload them during the slow sales season
2) With the Fed ending purchases of Freddie and Fanny trash MBS paper, the market for mortgage paper is going down, not up. Better to try to unload them now rather than continue to sit on them.
3) They know interest rates will soon be going up: better to try to unload these properties now because increasing rates will drive down market values even more.
So, in short, this wave of foreclosures simply proves what I’ve been trying to tell people for months: the real estate market has NOT recovered; it was only being temporarily propped up by government games. There will now be a mad rush of banks trying to beat each other to get their bad mortgages off their books.
I sure feel bad for anyone still in a house with a mortgage and less than 50% equity at this point, because they’ll soon be upside down.
The Japanese take out mortgages for two, three generations. We are on our way to 100 year mortgages, that is we just share crop the land and shack we are on.
We are already tax slaves half the year, forever.
With the WWF honesty, Congress with the tag teams Democrat vs tag team Republican show that will go on for children that believe that the great men in the tit shaped white building spewing mothers milk will save you. I of course think, believe, and feel they are all worse than crooks and bad liars, with the exception of if, in some accident, a member is proved not.
Since the dawn of time, men have desired to live as kings and princes and dukes off the backs, work, sweat and labor of others. King=Commissar=Congressman=Alderman=bureaucrat.