U.S. Foreclosures Rose 53% in June, Bank Seizures Almost Triple

[Chimichurri]

``The foreclosure problem is getting worse and will stay with us well into the next decade,'' Mark Zandi, chief economist for Moody's Economy.com in West Chester, Pennsylvania, said in an interview. ``The job market is eroding and homeowners have less equity. Lenders are much less willing to work with you if you've got negative equity, and you're more likely to give up your house if you're deeply underwater.''

About $3.5 trillion in homeowner equity has been wiped out since the spring of 2006, when housing prices were at their peak, Zandi said. Home prices fell the most on record in April, according to the S&P/Case-Shiller index of 20 U.S. metropolitan areas. June was the second straight month in which more than a quarter million properties received foreclosure filings, RealtyTrac said. Filings fell 3 percent from May.

`Faster Pace'

``The year-over-year increase of more than 50 percent indicates we have not yet reached the top of this foreclosure cycle,'' James Saccacio, chief executive officer of RealtyTrac, said in the statement. Bank repossessions, which increased 171 percent in June, are rising at a ``much faster pace'' than default notices and auction notices, he said.

http://www.bloomberg.com/apps/news?pid=20601087&sid=abT98mv4UtNI&refer=home

[tekisui]

1. I was just going to post this. One in every 501 homes in forclosure.

Shit's hitting the fan. More shit, faster fan.

[Chimichurri]

2. I just saw a headline that read Freddie and Fannie's decline means

they are now insolvent!
"Fannie, Freddie `Insolvent' After Losses, Poole Says"
http://www.bloomberg.com/apps/news?pid=20601087&sid=a7NPAG.LEjHQ&refer=home

It's remarkable to watch this happen just a few short years after watching the same thing happen in technology.

[tekisui]

3. Latest domino.....

Hold on, everybody.

[Truth4Justice]

4. Yeap.No hiding the depression now. Its all Obama's fualt

[tekisui]

6. How is it Obama;s fault?

Or are you predicting what the RWers will say when the economic collapse comes in 2009?

[Truth4Justice]

8. Yes, the wingnuts will blame it on Obama. We have only seen the start of this mess, IMO.

[Chimichurri]

7. It's Clinton's and Bush's fault for deregulating the financial industry.

Clinton dismantled the Glass-Steagell Act and Bush's cohorts lowered interest rates to unsustainable levels which only fueled the the unholy alliance between banks and investment firms that allowed for toxic loan "products" currently destroying our financial system with no end in sight.

[northernlights]

9. not true

Clinton did not dismantle the Glass-Steagal act.

The republican-controlled congress dismantled it. Clinton vetoed their de-regulation, and the congress overrode his veto.

I still remember the moment, sitting in my little hi-tech cubicle reading the news and thinking "oh shit, we're going to have a depression." That was back in the mid-90s.

(I slaved and saved like the dickens and thought I had enough nest egg to ride it out. Life had other plans, though, as I've been hit by one thief after another, and now can't even get minimum wage work. I have enough cash and school loans to get through maybe 1 more year and then I have to sell the house at a huge loss, but will be able to buy a bankruptcy house and hopefully still have some cash left to pay off the school loans.

Will the healthcare industry hire an entry-level tech in their mid-50s?)

[AnneD]

10. I hear you....

I lost my nest egg in the downturn of 87-88. Houston was hit by oil market drop, S&L scandal and real estate bust. Lost most and had just enough to retool but it took everything. Ended up in healthcare and have had fairly stable time. I am approaching this go round a little better, but this is the 3rd time I have had to rebuild. The older you are, the harder it is.

[populistdriven]

11. WRONG! Bill Clinton Supported and Signed The Repeal - Bill Clinton DID dismantle Glass-Steagal

http://www.progressivehistorians.com/2007/11/bill-clintons-role-in-mortgage-crisis.html
http://www.lasvegasgleaner.com/las_vegas_gleaner/2008/04/miniglean-clean.html
http://tpmcafe.talkingpointsmemo.com/talk/2008/04/bursting-the-bill-clinton-bubb.php
http://stephencrosehome.blogspot.com/2008/05/bill-clinton-made-mortgage-crisis.html

[xchrom]

5. recommend

[Wednesdays]

12. K&R

:kick:

[earth mom]

13. OMFG.

:wow:

[Journals420]

14. Obama will inherit the worst blody mess of an economy

and will be blamed for the troubles ala Carter.

[DLnyc]

15. Hate to be picky, but foreclosures did NOT rise anything like 50% in June.

The headline is highly misleading. The June numbers were 50% higher than the previous JUNE, not 50% higher than the previous MONTH. Actually went down slightly from the previous (very bad) month.
=========
"Nationwide, Filings fell 3 percent from May."
=======

I agree we are in seriously bad shape, but the phrasing of the headline is not the best.