A recent report suggests some promising news for Tennessee’s economy. According to this report, the foreclosure rate in the state is at the lowest it has been since before the 2008 recession when the housing market collapsed. Specifically, the report by the Tennessee Housing Development Agency claims that foreclosure rates have returned to mid-2007 levels.
During the first quarter of this year, according to the report, the foreclosure rate was 32 percent lower than the rate from the first quarter of last year. Bank owned and other real estate owned properties were also down from this time last year — by 30 percent. Experts suggest that this is very good news for the real estate market within the state.
While these numbers are a positive sign for experts, they are not the reality for many Tennessee homeowners. There are still plenty of people who are struggling to make their mortgage payments and keep their family homes. For people in these situations, statistics are not comforting.
However, people may find some comfort in knowing that there are ways to stop a foreclosure. When people are behind on their mortgage payments and the bank is threatening to take the home, debt relief options can be extremely important. In some cases, people may be able to negotiate with banks or other lenders into redefining the terms of the loan. A loan modification can help to make payments more manageable for home owners who are struggling.
In addition to loan modifications, some home owners may want to consider filing for bankruptcy. A bankruptcy will stop foreclosure proceedings and give homeowners some breathing room. It may be possible to eliminate some debt so that making mortgage payments is possible again.
Source: Times News, “Foreclosures at their lowest level in Tennessee since mid-2007,” Hank Hayes, May 31, 2014