County processed more than 4,000 filings for foreclosures (Pittsburgh, PA)

http://www.post-gazette.com/localnews/20031201foreclosureslocal3p3.asp

An Allegheny County record will be broken this morning, but it's no cause for celebration.

The 9 a.m. sheriff's sale will culminate the busiest year on record for mortgage foreclosures and tax-lien sales. For the first time ever, the sheriff's office has processed more than 4,000 filings from creditors who want to seize real estate from debtors.

Already, creditors have filed more than 400 properties for the January sale, setting a pace that could push the county above the 5,000 mark in 2004.

<snip>

If it's any consolation, the county's numbers reflect a national trend. When the percentage of residential mortgages in foreclosure reached 1.2 percent this year, it was the highest mark recorded in the United States since the Mortgage Bankers Association of America started keeping track in 1972.

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just keeps breaking the records!!!

that needs to get beat into everyone's heads by the Dem candidates, time and time again.

People don't care what Wall Street thinks, they don't care what Wal Mart thinks, and they certainly don't care what the Fed thinks...if people are losing their homes, then they realize things are bad.

Wait, no it isn't!

360 degrees around... :mad:

it's landlords. Good luck finding apartments, people, and don't forget - VOTE DEMOCRATIC!

People with jobs and good credit can buy because of the low interest rates, and people without jobs can't pay the rent. In Phoenix the vacancy rate is 10%, and apartment complexes are giving away free rent and computers to get people to sign six month leases. In San Francisco, apartments are sitting empty for months, and that has never happened in the 20 years I've lived here. Basically, just about everybody's getting screwed, one way or the other.

?

the "BUSH MIRACLE"

Roddey claimed credit for balanced budgets and increased revenues based on a massive tax windfall from reassessments ordered by the courts. Then he did absolutely nothing with the money.

In PA, there is a stupid law that says no taxing body can have a windfall of more than 5% per year. This basically gives taxing bodies free rein up to the 5% limit.

Considering Allegheny County has the second highest average age in the country (first is Dade County), many seniors could not absorb the massive property tax increases they were handed.

My property taxes have gone up 115% in two years. Imagine what those on fixed incomes must feel like.

Onorato is basically Repub-lite, but he is better than Roddey.

Later,
JM

Roddey was at the helm of the biggest tax debacle in county history.

He had to take responsibility for pissing off nearly every homeowner in the county.

He is now history thanks to the voters.

Winning the war on mortgages

but profits are likely to skyrocket as steel prices baloon.

Most of the Pittsburgh (and other integrated) mills are booked solid, but shortages of scrap and coke will force major production cutbacks.

Prices will likely double from lows of a couple of years ago.

Imports will increase slightly, but high ocean freight rates will keep a lid on the inflow.

Look out Bush! Bad times are coming for your 'recovery'!

...and to my knowledge only Edgar Thompson is running in ALlegheny County.

Pittsburgh is mostly finishing mills now. Raw production is almost all in Gary and down south.

Later,
JM

but there are numerous steel processors in the Pgh. area.

My own plant converts strip from Irvin, Gary, and Granite City into pipe for US Steel Corp. We still are considered a 'steel plant'.

Property taxes are so high now that it's a wonder anyone can afford to keep their home. I hope things turn around soon-- it hurts to see my hometown folks struggle so much.

to step in...i can see this happening in the US....somebody is on the hook...and loan standards have bee reduced to a point of danger if the downturn continues

On average, 30 to 40 Wichita families each week are losing their homes at sheriff's auctions in the Sedgwick County Courthouse.
As of Oct. 1, Sedgwick County had recorded 1,231 foreclosures of homes and businesses in 2003 -- far outpacing all of last year and twice the number of foreclosures in 2000, according to figures compiled by Security Title in Wichita. Most of those were home foreclosures, the company said.

The recession still has a grip on Wichita, where Boeing Wichita, Cessna Aircraft, Bombardier Aerospace and Raytheon Aircraft have aircraft plants. The companies have cut nearly 13,000 jobs since air craft sales went soft in 2001.
http://www.kansas.com/mld/kansas/business/7211303.htm

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Foreclosures up 34 percent in 2003 (Dallas)

Residential foreclosures rose 34 percent in the Metroplex this year, hitting the highest level since the real estate bust of the late 1980s and early 1990s, said George Roddy Sr., president of the Foreclosure Listing Service.

The pace of foreclosures has picked up in the past few years, Roddy and others said, largely because of a sluggish economy that has left more people unemployed or underemployed.

isn't all that expensive a place to live. Granted there are high-end communities and McMansionvilles...but you can actually get a decent home in Pittsburgh and not be housepoor.

The reassessment disaster was horrific. I have never seen something so mismanaged. I think that whole fiasco should have been thought out more carefully. But then again is anything every thought out carefully... I know Westmoreland county is due for one...I don't look forward to that either.

I've seen very basic houses in areas like Brookline with tax bills in the $3000 range. That's a lot when you're on a fixed income.

1500 Officers in a City the Size of Los Angles which only has 600 officers.

Pittsburgh has been over policed for decades, and since Mayor Barr (the 1960s) every administration has deferred making payments on pensions for the Policemen, Firemen, Paramedics and other city workers (including Garbage men, who are the only workers in short supply in the City).

Now the City has to make the pension payment but does not have the money. The City deferred for to pay the pension as the police officers served meant either cutting the number of Police offices/ Firemen/ Paramedics more than the city has over the last 30 years AND raising taxes to pay for the pensions.

The City did not want to do that for the last 30 years and now the debts have come home to roost. The city must pay for the pensions contracted for (and not paid for) and that means increase taxes and less money for existing police, fire, and public safety (and other things the city provides).

A further problem is the tax of choice (a wage tax) has been know for the last 30 years to drive people out of the city. When people move from the City to the Suburbs the number one reason given is lower WAGE taxes. You can not be a 4% (including the City of Pittsburgh School District) when the surrounding suburbs have a 2% wage tax.

Now real estate taxes tend to be self-regulating i.e. if the real estate tax rate is increased more than surrounding areas it forces the value of the real property DOWN compared to the surrounding areas and thus the taxes actual due stay about the same. This is why Real Estate taxes has been the preferred form of local taxation for over 100 years.

On the other hand, Real Estate is disliked by businesses for businesses know location is EVERYTHING and thus willing to pay top dollar for a location. This is why at intersections of Four lane roads you see Gas Stations on all four corners, they will pay top price for that location.

Given this premium for top locations, valuation of those locations tend to be high and with that high valuation high taxes. These businesses want the locations, but do not want to pay the taxes that reflect that location so pressure the local government to use Wage taxes instead of Real Estate taxes.

Through businesses tend to use the example of the aged widow who is losing her home do to high taxes as the reason to keep Real Estate Taxes low, businesses really only want to keep their own taxes low.

The state has programs to help senior citizens to keep their homes (by paying the taxes) AND the state permit local government to even give them a homestead exemption (Which most businesses oppose for they claim it shifts more of the cost of real estate onto them from these same Senior Citizens). Thus the opposition for any increase in Real Estate Taxes tend to come from the Business community, but fronted by the excuse of protecting seniors. The business community is quick to protect seniors from a GENERAL increase in real estate taxes, but any increase in protection for low income seniors (the Homestead exemption) the business community fights.

Thus the problem is a failure of Will for over 30 year. First to contain costs (i.e. hire less city workers Including Police Officers) and second, failure to increase the Real Estate taxes to pay for the workers they did hire. You can not do BOTH of these mistakes and NOT expect a financial problem.

And it was only $225 per month. Hopefully his new job can get him the money to catch up before the house is sold but at least in Cambria County Pa we have a three month gap between listing for sheriff sale and the sheriff sale unlike Allegheny County which sells property every month.

If any one is from Pennsylvania and behind in their Mortgage payments through no fault of their own you can get Mortgage Assistance help from the Pennsylvania Housing Finance Agency (PHFA):

http://www.phfa.org/programs/index.htm

What PHFA will do is pay up the arrears and pay up to two years (total) in mortgage payments on two conditions, 1. The home owner is not a “fault” for the non-payment i.e. laid off, lost his job, medical problems etc (NOT just decided NOT to pay the mortgage) and 2. A good prospect of starting to pay back PHFA within two years.

Now this is a LOAN not a grant and PHFA will enter a second mortgage onto the property to cover the loan, but if you can not pay your mortgage and just need some time to tie over till you can pay your mortgage this program is for you.

Another way is Chapter 13 Bankruptcy, but in Chapter 13 you MUST pay the ongoing mortgage AND pay back the arrears within 36 months (60 months with permission of the Bankruptcy Judge). If you can NOT do that, Bankruptcy Court will reject your plan and leave the house be foreclosed on.

in my small rural county - have been doing it for about 6 years. Foreclosures, which precede sheriff's sales, have quadrupled or more since I first began doing it. It is just shocking and saddening how many families in this area (as well as others) are losing their homes.

Here in Chicago they are advertising home ownership on the same context of buying a car - for example, on radio AM 780 they advertised 'No verifiable income home loans.' It is no surprise, then, when reactive types that go out and make a bad risk decision, and become 'homeowners,' and then end up getting foreclosed.
The spike in foreclosures is directly related to the housing boom, that has been fueled by Mr. Greenspan's continuous lowering of interest rates. Actually, there was an article in The Economist not too long ago that talked about the housing bubble 'impoding' in the not too distant future, using Chicago as a case study.
I am just sitting here, waiting for all those yuppies and their condos to get theirs.
:evilgrin:

We were forced to take a fairly big loss in order to sell. It's a great city, but jobs have just dried up....especially in the past 3 years!