Friday, August 27, 2010

1 in 10 mortgages face foreclosure

One in 10 American households with a mortgage was at risk of foreclosure this summer as the government's efforts to help have had little impact on stemming the housing crisis, the Associated Press reported today. Nearly 9.9 percent of homeowners had missed at least one mortgage payment as of June 30, the Mortgage Bankers Association said today. More than 2.3 million homes have been repossessed by lenders since the recession began in December 2007, according to foreclosure listing service RealtyTrac. Nearly half of the 1.3 million homeowners who have enrolled in the Obama administration's main mortgage-relief program have been cut loose through July, the Treasury Department said last week. Roughly 32 percent of those who started the program have received permanent loan modifications and are making their payments on time. The news comes despite record low mortgage rates. Rates fell to the lowest level in decades for the ninth time in 10 weeks as concerns grow that the economy is weakening.