In a bit of a holiday miracle, the housing market got a small injection of good news. The percentage of delinquent loans declined significantly from the previous year. So even though foreclosures jumped, at least we know that more people are able to make their mortgage payments.
In the report issued by the Office of the Comptroller of the Currency, foreclosures by major banks jumped 21.1% in the third quarter as voluntary holds for paperwork problems were lifted. But the number of homes en route to being seized fell 15.8% in October, a research firm said.
New foreclosures initiated by eight large national banks and One West Bank federal savings association in Pasadena rose from the second three months this year as mortgage services lifted holds they instituted as federal and state authorities investigated faulty paperwork.
As residents of California know, the more homes that are held up either in foreclosure or short-sales, the harder it is for the housing market to recover.
So this news could prove to be good news indeed. What do you think? Is this a positive sign of news to come or just the calm before the double (or quadruple) dip?
Please share with us.