From Bloomberg tonight:
"Over the next four years, 8.1 million U.S. mortgages will enter foreclosure as the recession worsens and home prices continue to fall, Credit Suisse said in a Dec. 4 report. Banks, insurers and mortgage companies have recorded about $1 trillion of losses worldwide since the start of the global credit crunch in 2007."
This is a staggering figure considering that so far, about 2 million homes in America have entered foreclosure! Folks, we are just getting started!
But it gets worse! From the same article:
"Almost 53 percent of borrowers whose loans were modified in the first quarter were more than 30 days overdue by the third quarter, John Dugan, head of the Treasury Department’s Office of the Comptroller of the Currency, said last week at the National Housing Conference in Washington."
This article is telling us that all those loan modifications don't work! Once the ink is dry on them, people default on their loans again and their homes go back into the foreclosure process a second time!
Click here for the full story.
