Tuesday, November 29, 2005

Low-Income Areas See Most Defaults In New York

The New York Daily News has the breakdown on defaults in various neighborhoods. "The number of homeowners unable to afford their mortgages is rising in Queens, though foreclosure rates are leveling off or declining in other boroughs. Despite the dip, foreclosures remain highest in the Bronx and Brooklyn, and low-income neighborhoods such as Bedford-Stuyvesant and Crown Heights in Brooklyn and Highbridge and University Heights in the Bronx are still hit the hardest."

"In Queens, the number of foreclosure notices rose in 2004 over 2003 in all types of home categories. 'The question would be, are we beginning to see more predatory lending going into Queens?' said Furman Center director Vicki Been. 'We've seen rampant predatory lending in Brooklyn.'"

"There were 782 notices of foreclosure actions filed for single-family homes in Jamaica and Hollis in 2004, the highest number in the city. For two-to-four-family homes, the highest number went to Bedford-Stuyvesant, with 429. Bushwick had the most large apartment buildings, with 70."

"'About 70% of our work on evictions comes from buildings that have been in foreclosure,' said Rick Echevarria. His group has been working with tenants at a six-family unit on Bleecker St. that went into foreclosure 18 months ago. The building was finally bought by a new owner last month, but many of the rent-stabilized tenants fear they will be forced out by the new owner, who has sent them letters charging they owe thousands of dollars in back rent."


At 6:36 PM, Blogger el scooter de heffe said...

"Low-Income Areas See Most Defaults In New York"

And this is news because? People with less income default more because, uh, they have less income. With less income comes less fundage to pay a mortgage.

This ain't rocket science. Perhaps you can crow about predatory lending here, but that is really circumstantial more than anything - and, remember, there is a moral morass once you go there. You know, the whole "certain people shouldn't get loans" kind of stuff.


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