Foreclosuregate Goes Beyond the Banks
By Josh Wilburn
October 21, 2010
Jamie Dimon, CEO of JPMorgan Chase, suggested last week that if the foreclosure verification problem was not fixed within a few weeks, it would probably be mean bad news for everyone.
Now, with stories of evictees breaking into foreclosed homes, and fearful articles in The New York Times suggesting that buyers should steer clear of foreclosures until things are sorted out, it is difficult to imagine the situation will resolve fully within a month.
According to realtytrac data cited in a recent AP article, 24% of nationwide second-quarter sales were foreclosures. In Nevada, it was 56% of sales. In Arizona and California, it was more than 40%, and in Rhode Island, Massachusetts, Florida, and Michigan, foreclosure sales amount to more than a third of total sales.