7.2 Million Foreclosure Filings In The Next Two Years?
It’s usually estimated that there are about 50 million homes in the U.S. with first mortgages, thus it is amazing to consider the loss of homes through foreclosure. The number could top 7 million in the next two years at the rate things are now going — 300,000 per month x 24 months = 7.2 million.
RealtyTrac.com Senior Vice President Rick Sharga says foreclosure filings are now running at better than 300,000 a month and that more than 1 million filings have been recorded in just the past three months. That’s an enormous number, larger than for all of 2005 and a figure which does not bode well for home prices or a general economic recovery.
RealtyTrac is the country’s largest source of foreclosure listings and is widely quoted. Below is an interview Sharga gave last week with Bloomberg News. As Sharga explains, with unemployment rising and start rates for many option ARMs ending, the downward pressure on home prices is likely to continue.
© Copyright 