Repossessions rose 90 percent to 45,327 last month from the same period a year ago, RealtyTrac Inc. said today in a statement. Total foreclosure filings, which include default and auction notices as well as bank seizures, increased 57 percent. What we are seeing is the failure of home owners to make payments on their adjustable rate loans. These loans are resetting at higher rates.
The talking heads are saying this is the bottom, I see another 460 billion dollars of Adjustable loans ready to reset this year and wonder how long this next group will hold on. This is also not considering that most of these homes were purchased at the top of the market and are upside down.
Existing home sales have just fallen to their lowest level in a decade. Standard and Poor's announced that the last quarter of 2007 housing fell 8.9%. The largest single drop in 20 years.
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