Foreclosures

Research hypothesis

            •         Explain three possible outcomes that may result from this research.

            •         Define operational definitions for each variable.

Many city and states differ in numbers with foreclosures because of the economic problems that have hit the nation as well as other factors that may cause a foreclosure on a home. The problems with foreclosure include the privately securitized mortgages which are where more than 50 percent of foreclosures begin. If loans were modified, then that would prevent many foreclosures and save millions of dollars across the nation. Delays in foreclosure may also help. A program that helps with foreclosure would also be good. Too many companies have given out easy loans to people who were not qualified for loans. Bank of America is attempting to help with the foreclosure rate. Bank of America is projecting a 600% increase in its already large number of monthly foreclosures. After they bough out Countrywide Home Loans, they announced this year that they would start a principal forgiveness program. This still might not be enough. 1.2 million Bank of America homeowners are in default (IrvineRenter, 2010). Even if they helped the people who will be foreclosed on 45,000 a month for a full year which is their plan, it is only 540,000 foreclosures (IrvineRenter, 2010). There are still 660,000 people that would need assistance. It’s a hopeful thought but a tough fix.

References

IrvineRenter, . (2010). Irvine Housing BlogIrvine Housing Blog. IHB. Retrieved from http://www.irvinehousingblog.com/blog/comments/bank-of-america-to-increase-foreclosure-rate-by-600-in-2010/