The Problem Of The Foreclosure Crisis

919 WordsDec 15, 20144 Pages
Three out of four home owners say that their home is their biggest source of wealth. This statistic comes from the National Association of Realtors. When buying, you aren’t just buying a place to live, but also an investment in your future. It’s very easy for home owners to get in over their means. Suddenly the economy drops bringing the housing market down with it. Before you know it that long term investment has turned into a long term money black hole and you are headed towards foreclosure. Now that the economy is recovering, collective home prices are appearing and interest rates are low. Hopefully buyers can take what they have been through and make wise decisions when looking for a home. They will need to take a few actions, along with a few options they should be aware of before they even think about going all in on another mortgage. Create a savings, reestablish credit, rent-to-own or seller carry back, figure out their budget, and find a good interest rate. In my home town, Tucson, AZ, there are currently 2,139 properties in some stage of foreclosure (default, auction or bank owned) while the number of homes listed for sale on RealtyTrac is 1,600. In November, the number of properties that received a foreclosure filing in Tucson, AZ was 28% lower than the previous month and 33% lower than the same time last year. Home sales for October 2014 were up 1% compared with the previous month, and up 42% compared with a year ago. The median sales price of a non-distressed
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