Stunning Statistic on Foreclosure Delinquencies

An article by Kimberly Miller of the Palm Beach Post, published today in the SunSentinel, reflects what may seem to be a stunning portrait of ortgage delinquencies in Florida. A report shows that 56% ofFlorida foreclosures involve homeowners who are more than 24 months behind on their payments.

Based on my experience, this really is not that surprising based on the situation that many of my clients confront. Mortgage servicers are taking forever to review modifications with excuse after excuse that they need the same documents over and over again. Foreclosures were put on hold with the closing of foreclosure mills and the robosigning fraud issues. Many lenders don’t want the properties back, especially condominiums with association fees. And it is generally understood that banks don’t want to write off all the loans so that their capital requirements are not met, and that they don’t want too many homes on the market which would further depress prices. On the other hand, some lenders are increasing their interest in short sales and deeds in lieu even to the extent of offering cash incentives to the homeowners to move.

The foreclosure delays have had a great impact on the slowdown of bankruptcy filings. Perhaps nothing motivates a debtor to proceed to file bankruptcy and clear up debt issues then a pending foreclosure sale(not to mention service of a writ of garnishment)

Contact Fort Lauderdale foreclosure attorney

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