On Real Estate: Missed mortgage payments common in Illinois
By Jim Hagerty
Of the 1.7 million Illinois home loans on the books, one in 10 were at least 30 days past due in the second quarter of 2010, stats released last week indicated.
According to the Mortgage Bankers Association, foreclosures rose from 5.85 percent in the first quarter to 6.02 in the following three months of the year. While Illinois remains among the markets worst hit by the real estate stall, it is still behind the national second-quarter delinquency.
Nationally, past-due rates on residential home loans were at 9.85 percent. Economists reported a 9.94 percent tally in the first quarter.
While loan modification, low-cost refinance and government incentives are saving homes from foreclosure, Illinois unemployment continues to chip away at the market and is believed to be responsible for delinquency numbers. “These are the loans most susceptible to unemployment problems,” Mortgage Bankers Association economist Jim Brinkmann said. “It takes a job, it takes a paycheck to make a mortgage payment.”
Illinois was ranked sixth for its percentage of foreclosed properties for the second quarter and 14th for the number of loans at least 30 days past due.
From the Sept. 1-7, 2010 issue