Is anyone worried about the upcoming foreclosures?

Question

Do you think that the government trying to keep foreclosure numbers down will keep the housing prices inflated or will this new crash be as bad or worse than 2008?

Kimberly Marshall · Answer

It's not going to be like 2008. 2008 was mainly due to the sub-prime mortgages and variable interest loans that people couldn't afford once the rates adjusted

Adam Martin · Answer

I am worried because as much as it would benefit me I don’t think it is going to happen. Wages are up and unemployment is down. People who were unable to pay due to COVID or other excuses were able to go onto forbearance to try to straighten things out and the payments will be added to the tail end of their loan. Unless you let your house fall into disrepair there is little reason to foreclose as most people are not underwater and could sell and walk away with money vs. loosing it to the bank. I don’t see a wave but maybe a slight trickle. Also a lot of the law firms specializing in foreclosure have shut down or gone dormant since the moratorium so I feel it is going to take a while to get back up to speed and cause a huge backlog. I could be wrong the business person in me hopes so but morally and for the larger benefits to society I hope I’m right.

Account Closed · Answer

Do you mean here or in China? It's a bigger problem than CA, NY, WA, Il combined. Have a nice day.

"Catastrophic" Property Sales Mean China's Worst Case Scenario Is Now In Play

https://www.zerohedge.com/mark...But first, a quick update on Evergrande, which - to nobody's surprise - we learned today is expected to default on its offshore bond payment obligations imminently according to investment bank Moelis, which is advising a group of the cash-strapped developer’s bondholders. Evergrande, which is facing one of the country’s largest defaults as it wrestles with more than $300 billion of debt, has already missed coupon payments on dollar bonds twice last month.We had to do a double take when we saw this because these are absolutely terrifying numbers and are, to put it bluntly, scarier than Goldman's "worst case scenario"; what's worse this sudden collapse in China's property market is taking place before Evergrande has even defaultedAs such, any contagion from the ongoing turmoil sweeping China's heavily indebted property sector will impact not the banks, which are all state-owned entities and whose exposure to insolvent developers can easily be patched up by the state, but the property sector itself, which as Goldman recently calculated is worth $62 trillion making it the world's largest asset class, contributes a mind-boggling 29% of Chinese GDP (compared to 6.2% in the US) and represents 62% of household wealth.

Amanda Dallman · Answer

I don't think there is a big foreclosure threat. There are millions less of mortgagees close to foreclosure then there was in 2008. What I think we will will see is a big sell off by investors that haven't collected rent in almost 2 years and don't want to spend the time going through evictions. Sell or 1031 exchange will probably be the fastest way to get behind renters out.

Sam Yin · Answer

Ditto! If it comes, then its time to go shopping! A crash will be an opportunity for the solid and savvy investor to grow. I am still buying as much as I can now with leverage. But when that time comes, I will use the cash flow from the current market to buy as much as I can.

Jay Hinrichs · Answer

there are always foreclosures in every market cycle.. be it the market hot , warm, tepid or cold.

Bob Reinhard · Answer

Greetings.Worried in what way?Will a problem for some current home owners, some opportunities arise for investors.Regards, Bob

Is anyone worried about the upcoming foreclosures?

Is anyone worried about the upcoming foreclosures?

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