A recent NY Times article headed: Owners Stop Paying Mortgages and Stop Fretting, cited how so many homeowners have made the conscious decision to allow their homes to go into foreclosure, due to lack of ability to pay, and use the savings to either get back on their financial feet, or just enjoy the money savings.
Because mortgage foreclosures are at such a high rate nationally, over 1.7 million households, the foreclosure process can take well over one year, and even longer if one has the knowledge of how to challenge it. Just wondering? Does anyone else find this to be a rather disturbing trend? In fact, people are paying their unsecured credit cards, but not their mortgages! The reason being that they are then able to keep spending lines open and have resigned themselves to the fact that they will ultimately have to leave the home.
From another recent article in WORLD NET DAILY, we learn that of the supposed 4 million homeowners in mortgage trouble that the present administration was going to help, a noteworthy ambition, only 257,944 have received permanent loan modifications. Not very encouraging. Add to this a recent CitiGroup report which stated that their are another eight million homes that could go into foreclosure. Getting nervous yet?
Why is this happening? Well, lets see, do you think 10% unemployment has anything to do with it? By the way, as I wrote in a previous newsletter, home sales have been up for the past six months, but prices steadily down over the same period.
So what, my loyal readers, is the moral of these stories? The moral is be very careful what you are depending on, for your financial well being. My best advice, is to get debt free and stay debt free. Just think about it. If your only expenses are basic living expenses, and by that I mean, food, clothing and shelter, then you can survive a storm. Is a more significant storm coming, then the one we have been through? I absolutely believe it is.
If you need help getting out of debt, then please visit: AMERICAN DEBT ENDERS, and see what options are available to you, to help you achieve debt freedom.
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Written By:
Steven Ciantro
Member National Association of Certified Credit Counselors
American Debt Enders
help@americandebtenders.com
877-766-2465
Approaching a Debt Management Company can be a step in the right direction on the road to financial freedom. The first step is to admit you have financial problems. The second step is deciding how you can tackle the problem. The third step is 'Action'.
Posted by: Perry | July 23, 2010 at 10:19 AM