The overall feel out there right now is that foreclosures are subsiding. The incredible increase in foreclosure activity that hit the United States hard over the past couple of years was a huge catalyst for falling home prices, as well as a staggering hit to the real estate market as a whole. The decrease in foreclosures for the end of 2009 that has been reported is good news for all. As foreclosures disappear, real estate values will be less affected. The Mortgage Bankers Association reported on Friday that there was a decrease in foreclosure applications for the last quarter of 2009. This was particularly good news considering the fourth quarter typically sees a rise in foreclosures due to heating costs and other factors according to the MBA.
While foreclosures will still be an issue going forward,the decrease appears to demonstrate that the problem is improving, or at the very least, not getting any worse. The nation™s employment numbers still need to improve considerably before we are out of the woods, but slowly and steadily we are climbing out of the recession and real estate is taking baby steps toward a solid recovery.
Click here to read the full report from the MBA.