Foreclosure crisis just about finished
RealtyTrac reports that the rate of foreclosure filings was down 18 percent in 2014 from the previous year, and are approaching the same level as in 2006, before the housing crisis hit.
Daren Blomquist, VP at RealtyTrac, said: “About 1 percent of all loans is the historic average that go into foreclosure, and I think we’ll probably end up below that for the next decade, as a reaction to what we’ve been through.”
Blomquist predicts fewer foreclosures than average because home prices have come down, homebuyers need very good credit to get a mortgage due to tighter underwriting standards, and many buyers are hedge funds and other investors with deep pockets.
Stories You Might Like
We’re here to help you navigate this changed world and economy.
Our mission at Marketplace is to raise the economic intelligence of the country. It’s a tough task, but it’s never been more important.
In the past year, we’ve seen record unemployment, stimulus bills, and reddit users influencing the stock market. Marketplace helps you understand it all, will fact-based, approachable, and unbiased reporting.
