Richard Tafoya
Jul 12th, 2006, 01:52 AM
Sun Sentinel:
http://www.sun-sentinel.com/news/local/southflorida/sfl-smortgages09jul09,0,2314899.story?coll=sfla-home-headlines
The number of foreclosures is ballooning as strapped homeowners can no longer make their mortgage payments or quickly unload properties in a cooling housing market.
Among those most at risk: owners who used creative financing to stretch their budgets in the 2000-2005 housing boom. Buyers who took out a five-year adjustable-rate mortgage in 2000 are seeing their house payments rise for the first time.
The new payments usually are much higher, and homeowners looking for a way out typically can no longer sell in a few days or weeks, as they could during the height of the market. Today, a large inventory, high prices and rising interest and insurance rates make selling difficult. Those who can't hang on often have their homes taken over by their lender.
...
Molly and Yvette Sealey of Miramar surrendered ownership of their home last year with the hope of being able to buy it back.
The mother and daughter had fallen $15,000 behind on their mortgage, and turned to investors to help them keep their 3 1/2-bedroom home of 20 years. They agreed to become tenants, receiving no credit for the equity in their house.
Meanwhile, they struggle to pay the rent, which is $1,500 a month. That's $425 more than they paid on the mortgage when they owned the home.
"This has caused me to cry every day,'' said Molly, 74, a retired nurse. "I wish I had never gotten behind in my mortgage. That was my biggest mistake.''
http://www.sun-sentinel.com/news/local/southflorida/sfl-smortgages09jul09,0,2314899.story?coll=sfla-home-headlines
The number of foreclosures is ballooning as strapped homeowners can no longer make their mortgage payments or quickly unload properties in a cooling housing market.
Among those most at risk: owners who used creative financing to stretch their budgets in the 2000-2005 housing boom. Buyers who took out a five-year adjustable-rate mortgage in 2000 are seeing their house payments rise for the first time.
The new payments usually are much higher, and homeowners looking for a way out typically can no longer sell in a few days or weeks, as they could during the height of the market. Today, a large inventory, high prices and rising interest and insurance rates make selling difficult. Those who can't hang on often have their homes taken over by their lender.
...
Molly and Yvette Sealey of Miramar surrendered ownership of their home last year with the hope of being able to buy it back.
The mother and daughter had fallen $15,000 behind on their mortgage, and turned to investors to help them keep their 3 1/2-bedroom home of 20 years. They agreed to become tenants, receiving no credit for the equity in their house.
Meanwhile, they struggle to pay the rent, which is $1,500 a month. That's $425 more than they paid on the mortgage when they owned the home.
"This has caused me to cry every day,'' said Molly, 74, a retired nurse. "I wish I had never gotten behind in my mortgage. That was my biggest mistake.''