Scott Van Voorhis, writing in the Boston Herald, said:
The number of Bay State homeowners faced with losing the keys to their castles has hit its highest level in decades in another troubling sign for the local home and condo market.
Foreclosure filings in Massachusetts skyrocketed 105 percent in May over the same period the year before, Framingham-based ForeclosuresMass.com reported yesterday.
Banks and lenders filed 1,613 foreclosure notices in local courts – or about 80 each business day.
Heaviest hit was Cape Cod, which saw a 200 percent jump in foreclosure filings. Suffolk County and Boston came in a close second, with the number of homeowners facing foreclosure jumping 140 percent, to 171 from 71 the year before.
â€œThese numbers are startling,â€? said Jeremy Shapiro, president and co-founder of ForeclosuresMass.com.
â€œThis is one of the biggest increases we have seen.â€?
We’re in a Depression, people!!!
The ForeclosuresMass.com people are talking about the “rate” of increase in foreclosures. Not the percentage of people going into foreclosure. This completely ignores the fact that more people own property in the US than ever before, and that the number of mortgage loans written has doubled, over the past five years.
Here’s some additional data for you, courtesy of The New York Times:
Mortgages have gotten more costly for some homeowners as interest rates have climbed steadily since early last year, but borrowers are generally keeping up with their payments, the Mortgage Bankers Association says …
… Late last month, the association released figures showing that in the first three months of this year, delinquencies on one- to four-unit residential properties rose slightly from the same period a year earlier, to 4.41 percent from 4.31 percent, but dropped slightly from late 2005, when delinquencies reached 4.7 percent. Delinquencies are defined as loans 30 days past due.
Meanwhile, [the association’s economist said], housing prices are still expected to rise by about 6 percent this year, giving many homeowners enough equity to maneuver out of financial peril.
The Times story appears to contradict what the Herald story is saying.