Foreclosure Crisis Still Prevalent
With all the news about the improving market, low rates, and looser credit guidelines, it is easy to overlook the fact that foreclosures are still a prominent feature of the market today.
Foreclosures may not be ruling the market as they were a decade ago, but they still remain at prevalent levels. Why is this? Foreclosures remain prevalent because even though they have begun declining from astronomical levels, the foreclosure prevention programs are also beginning to disappear. The decline of these programs paired with the looser credit guidelines is still putting borrowers in risky situations.
It is this very system that has many wondering if another crash is in our future. Are we setting up our industry and economy for success or repeating the same mistakes that got us in trouble in the past?