Foreclosure rates rising due to unemployment

ORANGE, Calif. (KABC) — Foreclosure signs are what most people never want to see in their own neighborhoods. Homeowners hope they never have to face it themselves.

But more than 1 million families in the U.S. could lose their homes to foreclosure by the end of the year, about 100,000 more than last year

“Clearly it’s bad news, but we know what’s going on,” said Esmael Adibi, an economist at Chapman University. “When we started going through this problems with housing, everything was concentrated on subprime mortgages.”

Experts said the foreclosure problem used to be linked more to lax lending standards, but now it has more to do with high unemployment – more than 12% in California as well as a slow economy.

Similar Posts:

• Homeowners stranded in loan modification limbo
• Homeowners’ Rebellion: Could 62 Million Homes Be Foreclosure-Proof?
• Americans Set To Get Out Of Debt
• Home loans and Property Progress are complementary to each other
• Funding for Zero-down Home Loan Programs Restored by President Barack Obama