Residential real estate is very important to the health of our economy. It is one of the largest assets on a family’s balance sheet and it comprises about 2.2% of our nation’s annual gross domestic product (GDP). Stabilizing prices and increasing new housing construction are critical to economic recovery. Another critical component is keeping people in their homes. As can be seen from the numbers below, we are gradually seeing improvement in the percentage of homeowners who are past due on their payments or in foreclosure. This bodes well for our future.
Time Period
|
One Payment Past Due
|
In Foreclosure
|
Dec. 31, 2009
|
10%
|
5%
|
Dec. 31, 2010
|
9%
|
5%
|
Sept. 30, 2011
|
8%
|
4%
|
Sources: Mortgage Bankers Association and JP Morgan Asset Management
