Foreclosure filings were up in North Carolina by 30% from January to May and slightly higher in the Triad.
A major difference now is that prime loans are foreclosing where, previously, it had been mostly the sub-prime mortgages that were failing, loans that had been given to people who really shouldn’t have received them. Now people who qualified for good loans, had good jobs and good credit scores are losing their homes in the Triad in increasing numbers. Most of this is, no doubt, due to the economy. Loss of jobs or pay cuts are making it harder for homeowners to continue making their mortgage payments even if they didn’t have adjustable interest rates.
Guilford County Courts recorded 1791 foreclosures from January to May and these foreclosures occurred in every property price point. Forsyth County recorded 1010 foreclosures during that same time period.
Expectations are that the increase will continue and that we will end the year with a foreclosure increase of about 20% over 2009.
