Brother, Can You Spare A Mortgage Payment?

(CBS/AP)  A record one in 10 American homeowners with a mortgage were either at least a month behind on their payments or in foreclosure at the end of September, as the source of housing market pressure shifted to the crumbling U.S. economy.

The Mortgage Bankers Association said Friday the percentage of loans at least a month overdue or in foreclosure was up from 9.2 percent in the April-June quarter, and up from 7.3 percent a year earlier.

Distress in the home loan market started about two years ago as increasing numbers of adjustable-rate loans reset to higher interest rates. But the latest wave of delinquencies is coming from the surge in unemployment.

Employers slashed 533,000 jobs in November, the most in 34 years, catapulting the unemployment rate to 6.7 percent, the Labor Department said Friday.

"Now it's a case of job losses hitting more across the board," Jay Brinkmann, chief economist of the Mortgage Bankers Association.

Meanwhile, the federal government's efforts to jumpstart the economy with financial rescue packages have been mixed at best. Early returns on the bank bailout have shown the taxpayers losing a third of their money - around $9 billion. And automakers still face skepticism on Capitol Hill in their efforts to obtain emergency loans from Congress.

The U.S. tipped into recession last December, a panel of experts declared earlier this week. Since the start of the recession, the economy has lost 1.9 million jobs.

Job losses are already having an impact in rising delinquency rates for traditional 30-year fixed rate loans made to borrowers with strong credit. Total delinquencies on those loans rose to 3.35 percent in September from 3.07 percent at the end of June, the Mortgage Bankers Association said.

There were some modest signs of stabilization. The number of loans that entered the foreclosure process totaled 1.07 percent of all loans in the third quarter, flat from the second quarter.

Though that number likely reflects changes in state laws that delay or extend the foreclosure process and efforts to work out or modify loans that could still fall back into foreclosure.

[gertch1951]

Brother, Can You Spare A Mortgage Payment?

"No...but our politicians can!!!!"

[rcornwell48]

Nothing is being done to help the average homeowner to survive. We are throwing money at a problem to make is go away and we might as well burn the money for heat. Stop bailing out those ******* corporation that through greed and more greed got us into this mess. We need to bailout the people not the institutions. The people will fix the economy not the greedy companys. Obama needs to focus on the people we are the ones that elected him for us not for them. I propose a 100 Year Mortage Program backed by the goverment to be instituted immediately as the first honest attempt in helping the people. Let the big 3 go into bankruptcy and restructure, stay out of their affairs, they are greedy people trying to save their own *** and bonuses. Wake up America it''s your money don''t let the goverment throw it away. People first. Remember these same corporationb took American jobs and outsourced them to foreien countries have them goto those countries and beg for money. How quickly we forget and stop the scare tactics it make me want to puke we will survive with them or without them.

[whitemale08]

shady or low credit, by offering them mortgages at a low, variable interest rate. Millions of minorities and other Americans began to default on their mortgage payments, the interest rates and fees went up, and the home went into foreclosure.


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Posted by dan_8951 at 01:15 AM : Dec 06, 2008--

You must be avoiding the Bushvilles full of ''white-folks'' living in tents some even former celebrities in California.

But heres a chance to see for yourself....

http://video.google.com/videosearch?hl=en&q=bushvilles&um=1&ie=UTF-8&sa=N&tab=wv#

[babooph]

The propaganda system stopped showing pix of the endless tent city Bushvilles popping up all over !!

[stevador39]

This financial crisis is not and accident. It is an attack on the people of this nation by the wealthy. President Jimmy Carter took rights away from Americans to hand out privileges to foreigners. Clinton with NAFTA and GATT sent millions of jobs abroad and continue importing foreign job seekers. Bush is a traitor and should be impeached for his crimes. When in the last 30 years has this government acted in the interest of this nation and its citizens?

[VegasResident]

Wait till all of these people catch up with reality and realize that they are ''''upside-down'''' on their mortgages.

Once that happens then home fore-closures will explode even more where probably half of all home owners will lose their homes.

___________________________________________

oddly you are assuming we have not figured that out yet? 50% of all homes in Las Vegas are underwater. It has been in the news for well over 1/2 a year.

[whitemale08]

Wait till all of these people catch up with reality and realize that they are ''upside-down'' on their mortgages.

Once that happens then home fore-closures will explode even more where probably half of all home owners will lose their homes.

This is more then just the Bush/Hannity/Limbaugh-Depression, this is the ''breakdown crisis''.

[bb543]

"Interesting to watch"

I don''t where you live, SockintheMouth4, but you
can''t be in much better shape, unless you''re running
an online porn site (likely). Have a little more
compassion for those in trouble. You may be next.

[chetekern]

We need to clone Suzy Orman a million times, send the clones out into the masses and let some budget corrections act on saving some homes/buyers from foreclosures. Simultaneously, we need to reset all credit rates back to 2000 levels to get some sanity in that business. The rules should be 2 credit/debit cards per family to get back to a "pay as you go" mentality.

[chetekern]

We need to clone Suzy Orman a million times, send the clones out into the masses and let some budget corrections act on saving some homes/buyers from foreclosures. Simultaneously, we need to reset all credit rates back to 2000 levels to get some sanity in that business. The rules should be 2 credit/debit cards per family to get back to a "pay as you go" mentality.