Almost every Tennessee consumer will have financial challenges at one point or another in life. People face job loss, high medical debt, family challenges and other unexpected financial issues. Even with a small set back, people can face overwhelming debt very quickly. For many families, the past few years have been very difficult. The housing market collapse has left some families with large mortgages on properties that are worth far less than people paid for them. Others were unable to pay all their bills during the recession and borrowed against their house.
As a result, over the last several years many Tennessee families lost their homes to foreclosure. In a foreclosure the bank that owns the mortgage on the property starts legal proceedings to take back the property from the owners. If the foreclosure is completed, the homeowners must vacate the property. A foreclosure can be the source of great financial and emotional stress for a homeowner.
Thankfully, a new report suggests that the rate of foreclosures in Tennessee and across the United States has been decreasing. According to the report, 613,874 homes were lost in foreclosure proceedings in the US during the first half of 2014. This represents a 23 percent decrease from the first half of 2013. In fact, the report says that Tennessee was one of 10 states to see the lowest number of foreclosures in June of 2014 since August of 2006.
This represents good news for many consumers because it means that people are keeping their homes. However, there are still people who are failing to meet all their obligations, and they should know that there are steps to take to try and avoid foreclosure. For example, a Chapter 7 or Chapter 13 bankruptcy may be able to help Tennessee residents stop foreclosure.
Source: National Mortgage Professional Magazine, “June Foreclosure Activity Hits Lowest Point Since 2006,” July 17, 2014