Foreclosures are up 71% this quarter. That is an astonishing number. The article mentions that some of the hot spots are AZ, CA, and FL.
This quarter and next should be the end of the major spikes in foreclosures. Lending standards have been tighten for quite some time now and high LTV and risky loans have not been made for over a year.
Another stat that I read last year, was that in Oct. 2008 is the month when the most sub-prime ARMs come due and start to adjust. That means that the wave of bad sub-prime deals should be working it’s way through the system. I do also think that our government will step in after the election and help to curb some of these foreclosures.
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