U.S Home Foreclosure Hardest Hit States

Posted by anthony flores on November 8, 2009

Home foreclosures have hit a record high in the U.S. Lenders are not able to collect on their loans because of numerous economic issues including high unemployment rate, this has resulted in a shortage of money and jobs.

It has been reported that the U.S is facing a tremendously high number of foreclosures. The numbers are staggering with one in every 398 households are facing foreclosure.

Nevada leads with one in every 33 households facing foreclosure. Currently there are over 34,417 homes that are currently in the foreclosure process. Florida comes in second with a record 165,291 homes, which equates to one in 50 homes facing foreclosure.

Some of the other hardest hit states are California, Detroit, Texas, Virginia, Illinois, Georgia, and Michigan. It has been reported that almost 77 percent of the U.S is facing foreclosure.

Las Vegas continues to suffer the most with foreclosure filings, as the state saw around 14,861 foreclosures. That is one in every 54 housing units in Las Vegas is being foreclosed. Florida accounted for 15 percent of the total number of home loan borrowers to deal with home foreclosures. The most important question that rises in the mind is why these particular states were hit so hard.

The factors behind this may include foreclosure policies, exploding demands, vastly different housing markets and differing mortgage plans.Overall, the number of home loans that entered the stage of foreclosures rose to 117,259 in February of 2009, which was 68 percent more from the same month of the previous year.

So what are the reason for high delinquencies and foreclosure? There are several factors. The two that come to mind are depreciation of home value and the other is related to job loss. Lower property value makes it impossible to refinance which has contributed to the highest rates of foreclosure we have ever seen in the country.

There is hope and a solution to curb these foreclosures numbers and help homeowners fight foreclosure. In an effective way to provide a solution to these foreclosure rates, most banks and lenders are providing homeowners with a repayment plan known as loan modification.Loan modification is a great solution in combating these horrific foreclosure rates by reducing the homeowners interest rate and lowering their monthly payments. If you are having trouble making your mortgage payment, consult with your lender to see if there is a program that they may have to help you save your home.