Foreclosures Increasing

Homeowners in hardship having problems stopping foreclosure.

Numerous stories have been appearing in the previous weeks detailing the worsening foreclosure situation across the country. New numbers have come out recently from Realtytrac and ForeclosureS.com. Just today, a story ran on the website for Default Servicing News with the title ”US Foreclosure Rates Soar 19.6 Percent.”

The report by Default Servicing News starts out by stating that, “Foreclosure rates are running rampant,” and, “Fueled by the high cost of energy, rising interest rates and lenient lending, homeowners in the thousands are losing their homes.” We have known for years that most victims of foreclosure find themselves in these situations because of financial hardships.

The article also summarizes foreclosure statistics from ForeclosureS.com. According to ForeclosureS.com, which show that the Southwest section of the country has experienced the highest foreclosure filings, including California, Texas, and Colorado. However, no part of the nation has experienced a let-up in filings. Foreclosures in the states of New Jersey, Alabama, and Illinois have experienced double-digit increases in foreclosure filings, as compared to 2005.

Another article from Yes Weekly reports on the situation of Nathaniel Gibson, man who is in danger of losing his home due to a hardship: “Gibson, 48, faces eviction from the house he inherited from his uncle less than a year ago. He suffered a stroke and was hospitalized for five days in January. Faced with mounting medical bills, he found himself behind on mortgage payments and faced foreclosure.” Unfortunately, Gibson is not the only homeowner in danger of losing a home that means a lot to him, due to a hardship that was unavoidable.

As more ARM payments increase, and the housing market continues to slow, and more homeowners face hardship situations, more stories like this will appear in local news arenas. Possibly the only consolation to the story is that Gibson did not fall for any of the numerous foreclosure scams listed in our foreclosure ebook.

Sadly, though, according to the Yes Weekly article, Gibson’s situation does not seem to be getting any better: “On Nov. 9 Gibson was asking a visitor for a $10 emergency grant and inquiring about the possibility of food aid. ‘I ain't got nowhere to go,’ he said. ‘I ain't working. I can't borrow no more money.’”