Pennsylvania Foreclosures: Something to talk about

31 March 2008

Author: admin Posted under Foreclosure homes

In a recent event, U.S. Senator Bob Casey visited Pittsburgh, PA to discuss about the alarming increase in Pennsylvania foreclosures and how they could put a stop to it. He delivered a statement that referred to the overall mortgage crisis in the country and how it has affected home sales and increased real estate foreclosures.

According to him, this is a threatening situation that will jeopardize all efforts to find the American dream and end up in hurting the national as well as state economy. In an effort to reduce the number of Pennsylvania foreclosure homes in 2008, Casey has co-sponsored funding worth $180 million to a foreclosure prevention counseling program that will assist several homeowners who are at risk of foreclosures. Some of these programs will also try and strengthen homeowners to fight bank foreclosures and avoid them through active counseling.

In the last year or so, Pennsylvania has seen a high rate of foreclosures with Monroe County recording 1,253 foreclosure filings, which is an all time high for the county. The last record by Monroe County was 941 foreclosures in 2003. Some of the top cities that have contributed to the high rate of foreclosure in Pennsylvania include Philadelphia, Pittsburgh, Harrisburg, Bedford, York, New Castle and Bradford.

The current rate of foreclosures indicates that there is more to come in 2008. On top of that, there are newly raised issues stating that banks have started to act as predatory lenders, which have increased the rate of Pennsylvania foreclosures. Real estate foreclosures are harmful for the economy of a state as they can destabilize various communities and decrease the tax revenue.

So whether it is because of high interest rates in sub-prime mortgages or lower employment rates, the truth is that many more Pennsylvania foreclosure homes have piled upon the existing number of vacant homes and this could create a problem in the long run.