A 'record number' lose their homes (Philadelphia)

[UpInArms]

http://www.philly.com/mld/philly/news/9615303.htm?1c

About 800 people lose their homes in Philadelphia every month.

"It's the biggest number we've ever seen," said John Dodds, director of the Philadelphia Unemployment Project.

If a homeowner gets behind in mortgage payments, the mortgage company or creditor refers the case to an attorney to handle a foreclosure. The homeowner is notified that he's in danger of losing his home.

<snip>

"With a 7.9 percent unemployment rate in this city, we have a record number of families losing their homes every month," Dodds said. "It's a really hard struggle for families out there."

...more at link...

[displacedtexan]

1. What's sad is that it's not just because of missed payments.

Mortgage companies can also "call your note" if your employment status changes (like the Bush admin canceling funding for the grant which pays your salary)... even though you have the cash to continue making the monthly payments. They do this if they think they can get an appreciated price for your property.

[Jacobin]

2. That's a new one on me

Do you have any examples of that. I do foreclosure work from time to time and the last thing any lender I've worked for wants is to get the property back, if payments can be made. They have to pay for insurance, property taxes, legal fees, court costs, a real estate commission to re-sell the house and write the loan down on their books until the property is re-sold, usually at a loss. Typically by the time they get the house back, it needs repairs and is harder to sell because of that.

There are some predatory second mortgage and finance company lenders who will do this where I live, but the AG usually shuts them down pretty quickly.

Maybe this is occurring where you are?

[wildflower]

3. So much for *'s "Home ownership at an all time high" n/t

[struggle4progress]

4. kick

:kick: