Vinnys House of Real Estate

by codepinkhq

Large Numbers of Arizona Foreclosures in July, 2009

Article by Abhisekh Mitra

Mortgage lenders were in a big hurry to foreclose on properties in the Phoenix metropolitan area during the last week of July. The number of home foreclosures ascended an estimated average of 60 each day in the last week of July.

Due to the large flow, the number of foreclosures pegged a new monthly total record of 5,316 in July. Those numbers are compared to the 5,149 in June, Information Market reports.

Real-estate watchers for the valley claim that the recent increase in foreclosure numbers could be due the expiration of federally mandated foreclosure moratoriums and problems attaining loan modifications. On August 4th, the first Tuesday of the month, the U.S. Treasury Department released its monthly report on its Making Home Affordable loan modification program.

The report showed various mixed results from the lenders. It discovered that 85 percent of mortgages in the nation were being held by firms participating in the federal program, and that more than 400,000 loan modification offers to borrowers have been extended.

The Obama administration has been telling mortgage lenders to increase their efforts to rework home loans that appear to be headed for foreclosure. These servicers: Aurora Loan, JP Morgan Chase and Saxon Mortgage are receiving higher marks than the other big mortgage lenders because of their efforts.

Metropolitan Phoenix pre-foreclosures also rose in to 9,169 in July, from June’s number of 8,700. However, the number of pre-foreclosures declined during the last week of July, which could be an indicator that a larger number of mortgage lenders are working with borrowers. Pre-foreclosures averaged a number of 328 per day in the last week of July. That number is compared to 523 a day during the first part of the month.

Many of the mortgage lenders could be waiting until after September 30 to start foreclosures. That is when legislation for the state allowing mortgage lenders to acquire some of the borrower’s assets to recoup some of the losses from the foreclosures is scheduled to take effect. There is a move to prevent the legislation from taking effect under way, but many Arizona real-estate attorneys are already receiving calls from lenders out-of-state asking about how this new law could aid them in getting more money from defaulted borrowers.

MortgageMediationGroup.com In this video Kevin Hardin discusses the Arizona foreclosure process and what really happens during the foreclosure process in Arizona
Video Rating: 0 / 5

Related Arizona Foreclosure Articles

Submit