Tuesday, May 23, 2006

Foreclosures High In Healthy Economies

Some foreclosure news from around the US. "Indianapolis, Atlanta and Dallas have the highest foreclosure rates among the nation's 100 largest metropolitan areas, according to an industry report released today. 'Indianapolis narrowly edged out Atlanta as the city with the highest foreclosure rate in Q1,' said James Saccacio. 'Most of the cities with the highest foreclosure rates have above-average unemployment rates and below-average home-price appreciation.'"

"Saccacio added that other economic factors such as decreasing affordability, rising interest rates and speculative buying can also fuel foreclosures. He cited Jacksonville, Fla., and Las Vegas, both of which documented foreclosure rates in the top 10 despite below-average unemployment and above-average home-price appreciation."

"'Because of the high home prices in many areas, more home buyers have stretched themselves financially with creative, and often risky financing that involves adjustable interest rates, interest only and negative amortization loans' Saccacio said. 'Home buyers with these types of loans are more susceptible to default and foreclosure when interest rates move higher.'"

Top Ten Metro Foreclosure Rates:

1. Indianapolis
2. Atlanta
3. Dallas
4. Memphis, Tenn.
5. Denver
6. Detroit
7. Jacksonville, Fla.
8. San Antonio
9. Canton, Ohio
10. Las Vegas

1 Comments:

At 2:04 PM, Blogger Chip said...

Not a lot of rhyme or reason, that I can see. Wonder if it means that many, many other areas, including a lot that no one would guess, are just barely under the radar.

Got to laugh -- the verification word for this post is "ponrzi" -- how close to "ponzi" is that!

 

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