Late to arrive in the Northeast, the foreclosure crisis has swept through the New York region at an explosive pace in the past two years, destroying billions of dollars in housing wealth, according to a New York Times analysis of foreclosures filed since 2005 and federal mortgage data.NYTIMES INTERACTIVE MAP HERE.
It now touches every corner of the region, from estates along the Connecticut Gold Coast to the suburban tracts of Long Island, where 6 percent of all mortgages are at least 90 days delinquent, the point at which foreclosure proceedings usually begin.
But the storm has fallen with a special ferocity on black and Latino homeowners, the analysis shows. Defaults occur three times as often in mostly minority census tracts as in mostly white ones. Eighty-five percent of the worst-hit neighborhoods — where the default rate is at least double the regional average — have a majority of black and Latino homeowners.
... That pattern plays out across the nation. A study released this week by the Pew Research Center also shows foreclosure taking the heaviest toll on counties that have black and Latino majorities, with the New York region among the badly hit.
PEOPLE GET FORECLOSED ON WHEN THEY CAN'T PAY BACK THE MORTGAGE THEY SIGNED FOR ON THE DOTTED LINE.
THAT'S AIN'T MY FAULT - OR YOURS.
WE SHOULDN'T BEAR THE COST.
- WE ARE BEARING THE COST BECAUSE MOST OF THESE FORECLOSED LOANS WERE THE RESULT OF THE GOVERNMENT INTERFERING WITH THE MORTGAGE INDUSTRY - THROUGH THE CRA AND FANNIE MAE AND FREDDIE MAC - AND THEIR LIBERAL POLICIES.
- THE IMPLICIT GOVERNMENT GUARANTEE OF THE GSE'S LED THE RATING COMPANIES RATING DERIVATIVES BASED ON BUNDLED MORTGAGES TO OVER-RATE THEM, AND THIS LED THESE VERY HIGH RISK DERIVATIVES TO BE SPREAD THROUGHOUT THE WORLD'S BANKING SYSTEM.
- WHEN THE BUBBLE THIS CREATED INEVITABLY BURST, THAT RISK WAS EXPOSED.
- IT WAS NOT GREED THAT CREATED THE BUBBLE.
- IT WAS THE GOVERNMENT AND "DO-GOODER" LIBERAL/SOCIALIST POLICIES.
- THE SOLUTION IS NOT MORE GOVERNMENT - IT IS LESS: LOWER TAXES; LESS INTERFERENCE IN THE MARKETS.