The United States is facing an unprecedented home foreclosure crisis, as millions of homeowners are struggling to make ends meet.
The latest numbers show that about 11 million Americans were living in a “subprime” or subprime-mortgage environment, according to a new analysis by Mortgage Bankers Association.
About 7.4 million Americans in the Northeast are in a similar situation.
But the real estate market is not the only one in crisis, according the Mortgage Banker Association.
Mortgage Banking Association President and CEO, Jim Tompkins, said that the U.S. economy is on the brink of another recession.
“The number one issue for many Americans right now is the lack of income.
And the biggest problem that we’ve seen in this country for decades, which is a growing number of Americans, is that they’re getting poorer, and they’re looking for ways to save up for retirement,” Tompkin said.
MBA says the foreclosure crisis is the biggest in U.K. history.
According to the Mortgage Association, the number of subprime mortgages for sale has more than doubled since the financial crisis in 2008.
A majority of substandard mortgages sold by lenders have been bought by investors, many of whom have been short sellers, Tompersons comments said.
“In a typical year, between the first and second quarter, more than half of the subprime properties are sold by investors,” he said.
In many cases, these investors are using the funds from the sale of their home to buy more than one home.
While the U and U.N. have been warning of the housing crisis, Tommins comments said that while we are facing a crisis, many Americans are not.
“We have some pretty significant housing shortages in this nation.
We have some very real problems.
We need to start thinking about how to create more jobs, we need to think about how we can put families back to work and how we’re going to make sure that we have the resources we need for a transition,” Tommersons remarks said.
Tompin said that even with the financial assistance and job creation that the government has provided, some are struggling with debt.
“People are being asked to pay more than they’ve ever paid before.
So people are really struggling to pay off debt, and the banks aren’t doing anything about it,” he added.
According to the latest numbers, nearly one in four Americans are either underwater on their mortgages or underwater on a second home, according MBIA.
The Mortgage Bank Association’s Jim Tommkins said the foreclosure epidemic has hit hard, particularly among people who are struggling the most.
“The foreclosure crisis has hit people the hardest.
They’ve lost their homes.
They’re in debt.
They have been told, ‘You’re going down.
You’re going out of work.
You’ll be better off for it.
You know, if you don’t pay your bills, you’re going into foreclosure,'” Tompins said.
He added that these individuals are in extreme financial hardship.
With the foreclosure problem growing, many are now turning to alternative means of living, like renting.
The U. S. has the highest percentage of people renting in the world, according Tompings comments.
“So you’re in a rental market where you can get a place, and that place is not paying you the rent, because you’re renting,” Tomkins said.
“People, especially young people, are going to look at this opportunity and say, ‘Hey, if I can get in this market, I can really afford it.'”MBA is urging the U,S.
government to provide more financial assistance to homeowners who are in foreclosure.
Tommas comments were made after the U., U. N., U and the U-S.
Government announced a $1.1 trillion package of financial assistance for homeowners in the wake of the crisis.
The government has pledged to provide $1 trillion in additional aid to those in need, as well as help states that are struggling.
On Thursday, the Federal Reserve announced that it will not keep interest rates on the Federal Housing Administration’s mortgage loans at historically low levels.
MBA President and Chief Executive Officer, Jim Tropp, said while the U government has been working hard to address the housing issues, it is important to note that the housing market is still far from perfect.
“I would say that the overall housing market and the housing recovery is still at a very early stage, and we don’t have the full picture,” Toppins comments were said.