Foreclosures Increasing In Pima And Maricopa Counties

October 25th, 2007

Foreclosures increased by leaps and bounds in Pima and Maricopa County. The rise was by 311%. In September this year the number rose to 2,414 from 777 in 2006. In Arizona, the race was led by Maricopa County with 2,127 foreclosures. Pima County recorded 287 last month.

It is the same story coming from sufferers. They saw a house. They fell in love with it. But soon the love has turned sour. Foreclosures are now pinching them. In Arizona, the price of land was reasonable even during the housing boom. So many could afford comfortable houses. But when the mortgage interest began to more than double the situation became dangerous for the house owners. The Phoenix area is one of the worst afflicted spots but this foreclosure virus has attacked the entire nation with some pockets being worse off than the others.

If it is night in one part of the globe it is day in another. For some the sun is shining and opportunities galore are opening up to make a bargain deal. The housing market is plummeting and with sellers more than eager to get rid of properties at any cost, one could easy snap up a dream house. A vacation region like Arizona seems to be the best place to buy a unit. The house can be rented out during winter when the birds fly in from colder climes. Nevertheless, one should be wary about anything that is too good to be true – because in all probability it is not true. Before making a decision the homework pertaining to foreclosure sales should be carefully done. The advice is to think before the ink. No step regarding buying foreclosure houses should be taken without taking the help of real estate agents and legal experts.

The sub-prime mortgage loans are primarily held responsible for this foreclosure crisis. The original idea was that those who could not avail of prime mortgage because of low income and weak credit record would now get an opportunity to have a house of their own. Not too many questions were asked at the time of granting loans and the borrowers moved into houses without any down payment and initial low payment. But when the interest began to double, mortgage payments could not be continued. Millions were served foreclosure notices right across the country.

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