Wednesday, October 13, 2010

120,000 Per Month: Tsunami Of Foreclosures Coming

If you think the U.S. housing market is in bad shape now, prepare yourself for the "tsunami" that's coming. That's what at least one financial expert is saying.

Charles Brown of CB3 Financial says that instead of selling foreclosed homes, banks have been hanging onto them, waiting for the economy to improve. "These banks that have all this pent-up inventory will unleash it on the market, as soon as they see a minor uptick in real estate prices," Brown said, which will, in turn, reduce housing prices even further.

Experts agree that we have not hit rock bottom yet. People are still losing their jobs. Homes are going into foreclosure at a rate of 120,000 a month. Many who feared foreclosure in their future say they tried to work with the banks for "loan modification
" -- but they "were denied or given the runaround," Rep. Mike Quigley of Illinois said. The banks weren't working with people so they made the problem worse. "Servicers are famous for delay claiming the fax machine was out of paper," he said.

You don't have to tell that to Mary Ramirez. When she and her husband bought their home 12 years ago, it was the American dream come true. Now, "it's a nightmare," she says.


  1. Off-topic: Google the bill for more info

    HR 4646: Debt-Free America Act
    introduced by US Rep Peter DeFazio D-Oregon and US Senator Tom Harkin D-Iowa. It is now in committee and will probably not be brought out until after the Nov. elections.
    One percent transaction tax is proposed
    President Obama's finance team is recommending a transaction tax. His plan is to sneak it in after the November election to keep it under the radar. This is a 1% tax on all transactions at any financial institution i. e. Banks, Credit Unions, etc.. Any deposit you make, or move around within your account, i. e. transfer to, will have a 1% tax charged. If your pay check or your social Security or whatever is direct deposit, 1% tax charged. If you hand carry a check in to deposit, 1% tax charged, If you take cash in to deposit, 1% tax charged.

  2. say's to replace income tax at 2017 along with various personal tax credits..yeah right. To be used to pay off national debt as if it would keep up with current gov spending...let alone run a surplus? but hey, maybe long term unemployment is now a given and they can't rely on income taxes as much as revenues drop, also makes a nice set up to impose something like GB is forming-paychecks etc directly to gov 1st then after their cut, on to the bank and the worker. they should just say-a new transaction tax atop income tax...with more to follow..later a vat tax aswell to pile on your broken backs.
    as for home ownership..yeah is no dream, my prop taxes haven't fallen, rose all yrs until this and was simply flat, thinking they'll pass a rise in prop as state is broke..well they can't expand their spending so I guess that to them is broke. paper economy must expand or it dies, but no lie can expand forever..check gold..whoot!! go baby yet the rise signals bad things ahead

  3. Hopefully everyone will lose "their" home. Then we will be able to form up the human-home where we all become friends together under one house.

    I'm excited!


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