New Home Sales Lower as Foreclosures Stall Process; Stop Foreclosure on Existing Homes and Mortgages; Benefit Economy
Posted on | November 26, 2010 | No Comments
Last months sales of existing homes fell more than economists had forecast as it dropped 2.2% according to the National Association of Realtors. The process of closing on a home has recently been elongated due to the increased scrutinizing of paperwork due to the regulations related to potential foreclosure. Foreclosure process is confounding. There is no official estimate regarding the number of home sales that have been stalled due to this process, but the real estate sector is currently struggling in America and this is one variable that is not helping to provide the needed boost. The economy as a whole is sometimes gauged by progress seen in this market.
Recent economic reports have been relatively positive in that the average American income reportedly rose and the number of Americans filing for first time unemployment decreased. It seems as though these reports would imply that more people are in position to take on and be able to pay for a mortgage, and or continue payments on their existing mortgage. Mortgage rates are at historic lows, but data does reveal mortgage interest rates edged up this week. This is another variable that may prevent home sales in our current economy. The Fed reported that the economy is improving but at a slow pace and this pace will remain lethargic for the next several years. Those undergoing a process of foreclosure need to understand that the foreclosure process must be done in accordance with applicable law. Be sure to verify the foreclosure paperwork process. Also, many lenders are open to mortgage payment revisions to avoid the foreclosure process altogether. The housing market is struggling right now and reducing the number of foreclosures will benefit the sector and the economy as a whole.
Author: Stephen Johnson