| The mortgage crisis is hitting states all over the | | | | to stay current. They have fallen behind on their |
| country. No state is exempt from feeling the | | | | payments and some even just remove |
| pinch financially and all of the housing markets are | | | | themselves from the mortgages due to the hard |
| looking quite bleak. However, the hardest hit areas | | | | financial times we are all facing now. The cities of |
| are in the states of Nevada and California. The | | | | Seattle, Honolulu, and Minneapolis saw their |
| worst city for housing markets is Las Vegas | | | | foreclosure rates double the national rate from |
| where the foreclosures are the highest. On the list | | | | 2009. Other cities which saw rising rates but not |
| of the top 20 cities for foreclosures, 17 of these | | | | quite as much included Rockford in Illinois, Provo, |
| were in California, Florida, and Nevada. It is | | | | UT, and Portland, OR. |
| estimated by many that over 3 million people will | | | | The numbers of people who face foreclosure in |
| face foreclosure this year alone. Some other | | | | Las Vegas is 12% of the households, or more |
| states where the numbers are increasing are | | | | than 1 in 10 people. This number is five times |
| Oregon, Utah, Illinois, and Arkansas as well. | | | | higher than the average across the country. |
| The economy appears to remain in a state of | | | | These 12% all either received repossessions, |
| distress with the unemployment rate being close | | | | auctions occurred or notices of default were |
| to 10% and estimated to remain the same | | | | given. In the good news, in the fourth quarter of |
| throughout the entire year. Foreclosures and | | | | 2009, the filings for foreclosures fell from the |
| unemployment are directly related. People are | | | | third. |
| unable to pay their mortgages when they don't | | | | The state of Florida did not see results that were |
| have income coming into the home any longer. | | | | much better. The city of Cape Coral-Fort Myers |
| The government has been trying to help the | | | | received the second highest rate of foreclosures |
| mortgage crisis but their help cannot extend | | | | with a close number to Las Vegas, 11.87%. Other |
| forever and when it does come to halt | | | | Florida states that experienced high rates included |
| foreclosures will continue to rise. The Federal | | | | Orlando0Kissimmee, Port Saint Lucie, and |
| Reserve spent $1.25 trillion in their program to | | | | Miami-Fort Lauderdale-Pompano Beach. In the |
| purchase mortgages. In December the federal | | | | state of Arizona in the city of Phoenix over 8% |
| loan rate was set to 4.71%, which was the | | | | of the households were in some stage of |
| lowest since the program originated and data was | | | | foreclosure when the results were compounded. |
| kept beginning in 1972. | | | | The results of the communities were collected by |
| In December the rates of new home sales fell | | | | RealtyTrac. They collected data from over 2,200 |
| 7.6% which shows that even the $8,000 tax | | | | individual counties. These counties were a decent |
| credit wasn't enough to encourage people to | | | | representation of the population and showcased |
| purchase homes. Many borrowers are finding | | | | 90% of the population in the entire country. |
| themselves in frustrating situations and are unable | | | | |