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Cleveland Sees Half of it Sub Prime Mortgages go to Foreclosure
By jason | May 13, 2008
A local Cleveland newspaper covering the foreclosure crisis in the area called the Plain-Dealer released an alarming new report on the sub prime mortgage market in the city. The report indicated that of all the properties bought with sub prime mortgages in the year 2005 in the Cleveland area, about half those homes have now gone into foreclosure, a staggering fact that points to just how badly the sub prime mortgage market has affected the real estate market as a whole.
As a result, Cleveland now has one of the highest foreclosure rates in the nation, and one of the most ravaged markets. The entire city, from the poorest urban areas to the most affluent suburbs, has been hit hard by the foreclosure crisis, and it’s clear that in most cases sub prime mortgages and their effect on foreclosures and home values are largely to blame.
The Plain Dealer also reported that it’s now impossible to tell how many of these loans were the result of unfair or predatory lending, as many of the lenders responsible for those loans have had their loans bought out by bigger mortgage companies.
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Topics: Sub Prime Market |