Despite the bad news/good news nature of the above developments, they are not as contradictory as they might seem. They do, however, have markedly different implications for existing home owners and potential buyers.
Are you living in Florida and facing foreclosure? According to WWSB ABC 7 Florida foreclosures, were up about 6% last month. United way started up a hotline to help some people save their homes. United Way 2-1-1 of Manasota is a 24-7 hotline that connects callers with Suncoast groups offering assistance. More and more people are needing help so to accommodate this growth, 2-1-1 is expanding its reach.
At the same time, lenders have tightened underwriting standards, requiring better credit scores, higher income, and larger down payments before granting mortgages. So those who might have become homeowners as home prices fell are finding that home ownership remains just out of reach. Finally, fear of making a homebuying mistake has kept a sizable portion of the population from buying — pushing rents up.