The Boston Herald reports: "The number of Bay State homes put up for foreclosure auction nearly quadrupled last month as tough market conditions left financially strapped homeowners unable to refinance or sell."
“There’s just not much people (in financial jams) can do these days,” said Tim Warren of market tracker The Warren Group, which yesterday reported banks advertised 1,712 foreclosure auctions in April.
"He conceded that lenders stopped writing the riskiest mortgages a few months back after the subprime market collapsed. "
"But Warren said many 5-year adjustable-rate mortgages taken out during the 2002-2005 refinancing boom will face their first “rate resets” in the next year or so. "
"If borrowers can’t afford the resulting higher interest rates, “we may be facing continued difficulties,” the expert said."
News events from the Warren Group can be found here.
Thursday, May 17, 2007