For several quarters, the rate of foreclosure around the nation, including states with a high share of institutional investors, such as Ohio, decreased overall. The most recent quarter has seen a dramatic increase of 66 percent of homes that face foreclosure action due to the default of a loan repayment. This means that families who are already facing financial hardship might face the very real threat of losing their home.
Most properties that are seized by banks have been in default for an extended period. They are often even vacant, but others are the only home that many families have. Foreclosure offers a way for the banks to gain back some monetary assets on a loan that was previously financed, then neglected to be repaid. Single family properties such as these are sought after by eager investors.
Action is now being taken against property owners whose homes might have been looked over in previous quarters. Those who are unable to make their mortgage payments should not automatically assume that they will lose their home, but are encouraged to look at options that will help them to keep the residence.
Bankruptcy is a tool that can be used by citizens in Ohio to stop the process of foreclosure. Filing a chapter 7 or chapter 13 bankruptcy petition might be the best option for obtaining debt relief. It is important that property owners who are facing foreclosure take action as soon as possible, rather than waiting until is it too late to seek help. If you are facing foreclosure, speaking to an experienced attorney might be beneficial.
Source: National Real Estate Investor, “Banks Double-Down on Home Foreclosures, Creating Opportuniuties for Investors”, Bendix Anderson, Nov. 16, 2015
