Foreclosures Up Here, But It's Worse Elsewhere

CHICAGO (WBBM) - The number of housing foreclosures is up nationwide. It’s up in Illinois too, but not by as much as the rest of the country.

WBBM’s Bob Debra Dale reports.

According to the latest figures from RealtyTrac, Illinois ranked 12th in the country for foreclosures in March 2008, with 1 in every 603 households in some stage of foreclosure. 

That's a 10% increase from March of 2007, but a 2% decrease from the month before. In Cook County, foreclosures climbed 7 percent from March 2007 and 15 percent from February 2008.

Nationwide, foreclosures were up 57% from March 2007 to March of 2008, and 5% from February 2008.

RealtyTrac's VP of Marketing, Rick Sharpa, tells Newsradio 780 that Illinois appears to be more stable than states like California, Nevada, and Florida, which saw a huge number of bad loans. 

He says Illinois didn't see the astronomical price increases seen in those states and probably not as many bad loans.  Sharpa says Illinois' numbers probably reflect a more normal ebb and flow of properties and entering and exiting foreclosure.

And Sharpa tells Newsradio 780, the worst isn't over.  He says the wave of adjustable-rate loans resetting to higher rates will crest in May and June. And that's expected to push more homeowners into default and foreclosure in the third and fourth quarters of this year.

Sharpa urges those who hold adjustable rate mortgages to find out when the loan is due to reset, what the payments will likely be, and if you can afford them.  If not, he suggests you contact your lender about alternative financing packages.