House In Foreclosure
House In Foreclosure:
Why do people fall behind on their Payments?
It is a complex situation that does not have a simple answer. The situations leading to mass (?) foreclosures need to be seen in the socio economic background rather than individual stand alone cases. Here are some statistics
of foreclosures that throws light on the subject. Majority (70 % to 80%) of the House In Foreclosure cases is seen in Afro American family houses and among the rest it is the migrants that default on their payments.
The plummeting of economy in the recent past, rising interest rates make
house ownership hardly affordable by young families. For example a mere
2% rise in the interest rate from 5% to 7% means an overall out go of
40% on interest alone. Add to it job losses and inflation which make
matters worse. With their hands tied on their backs and no improvement
in sight, these families helplessly go through the motion of their Foreclosure.
See also...
