Future Foreclosures in Chicago & Other Cities Put Anticipated Housing Recovery at Risk
Many experts are declaring the end of the U.S. housing crisis to be on the horizon. But there may be another storm brewing before the dark clouds can part.
As our Chicago bankruptcy attorneys discussed in recent blog posts, foreclosure starts have been on the rise this summer as banks attempt to unload their inventory following this spring's $25 billion nationwide mortgage settlement.
Yet signs of foreclosure activity - such as notices of default, scheduled auctions, and repossessions - have actually declined, according to information released last week by RealtyTrac.
Currently, it takes an average time of 378 days for the foreclosure process to be completed. So while lenders are preparing to foreclose on a growing number of properties now, the effects may not be fully felt until next year - when they could interfere with the momentum of the improving housing market.
If today's delinquent homeowners aren't able to make good on payments, they could spur a wave of homes sold as short sales and REOs at below-market prices - dragging down values for everyone.
With almost 13 million homes underwater across the U.S., many homeowners remain at high risk of losing the roof over their head. But while loan modifications are hard to come by, there's another more direct route property owners may be able to take to stop foreclosure.
By filing for Chapter 13 bankruptcy in Atlanta, homeowners can often receive the legal protection and financial relief they need to stay in their homes.
Many folks avoid bankruptcy because they fear it will damage their credit or hurt their reputation. However, bankruptcy is the most powerful tool for preventing foreclosure and allowing homeowners to regain financial freedom.
With the right bankruptcy plan, you may be able to save face while saving your home.
Are you at risk of losing your home to the bank? Contact the DebtStoppers Bankruptcy Law Firm at 800-440-7235 today to schedule an absolutely free one-on-one personal debt analysis with one of our Chicago, Tennessee, or Atlanta bankruptcy attorneys.
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