CNN reports this morning that, according to a newly released report, foreclosure filings between October and November dropped 7 percent. Could this be a ray of sunshine in an overcast economy? Not so much, says CNN. The news source warns, "Don’t break out the bubbly."
CNN quotes James Saccacio, RealtyTrac’s CEO, who says, "There are several indications that this lower activity is simply a temporary lull before another foreclosure storm hits in the coming months." And his colleague, RealtyTrac’s vice president of marketing Rick Sharga says the reports to be released at the end of this year will likely reveal more drops, but come January, we’ll see another increase in filings due to temporary moratoriums from Freddie Mac and Fannie Mae. Not to mention job loss, which will undoubtedly have an effect on homeowners’ ability to pay the mortgage.
CNN says the highest rate of foreclosure filings is in the southernmost states, but Virginia is feeling the effects too. C-VILLE reported this week about the local case of Doug McGowan, a real estate agent at RE/MAX and owner of two city properties in foreclosure.