Massachusetts Foreclosures Up
Notwithstanding the upturn in the economy, the number of foreclosures in Massachusetts is up this year. In 2009, the number was 9,269, while this year the number is close to 10,000, through August. With the mortgage companies throughout the US stopping or slowing foreclosure cases because of improper documentation the rate of increase may slow. We will see.
The concern of course is what is on the horizon: in the 100 largest metropolitan areas in the US, the amount of mortgages that are overdue by more than 90 days, called seriously delinquent mortgages, rose by almost one third in the past year. This is up from about 10% the year earlier. While Boston is not in the top 25 metropolitan areas of foreclosure rates (Florida has 17 of the 25), all of eastern Massachusetts is in the 7-11% range, with parts of Western Massachusetts in the 11-15% range.
On the other hand, federal programs such as the Home Affordable Modification Program really is helping some folks. 11,000 households in Massachusetts have utilized the program to reduce their monthly mortgage payment by refinancing at a lower rate.