Sometimes it's hard to find some valuable good news to report. On those days I just have to report on the jaw-dropping news that makes you go hmmmmmm.
A new report from Lender Processing Services revealed that foreclosure inventory levels were more than 30 times that of monthly foreclosure sales volume last month. And the average loan in foreclosure has now been delinquent for an astounding (record) 537 days, while 30 percent of those in foreclosure haven't made a mortgage payment in over two years (lots of free rent). The numbers indicate a huge foreclosure backlog, exacerbated by the ongoing robosigning scandal, which should put downward pressure on home prices for some time as mortgage lenders are forced to sell them on the open market.
Additionally, February's data showed that foreclosures related to option arms increased 23 percent over the past six months, making them the worst types of loans out there at the moment.
--Submitted by Katherine Swanberg of TriStar Finance