Sunday, May 14, 2006

Foreclosures Hit New Jersey

From the Star Ledger:
Rise and fallout: Real-estate professionals adjusting to new reality

"Joyce Aponte has spent the past 20 years selling single-family homes and properties repossessed by lenders after their mortgages have gone sour -- and she is concerned about what she is seeing these days."

"Families who bought houses with cheap, teaser-rate mortgages a few years ago, when interest rates were at rock bottom, are falling behind on their monthly payments."

"When I started doing this in 1988, we were in urban areas. We were in Newark. We were in Paterson, Jersey City," said Aponte, who for the past four years has worked from Better Homes VRI Realtor's Hazlet office. "Now we are talking $900,000 houses. $700,000 houses. It runs the gamut. We'll go from Newark to Holmdel to Upper Saddle River."

"Nationally, the number of mortgage loans that entered some stage of foreclosure -- the process by which banks can ultimately take back the properties that secure mortgages -- stood at 101,597 in March, a 63 percent increase from March 2005."

"Here in New Jersey, the numbers have been steadily climbing during the past 12 months, as well."

"During the first quarter of 2005, 6,482 properties entered into some stage of foreclosure, according to Realtytrac. By the end of the fourth quarter, that figure had climbed to 13,487."

"In March, 3,708 properties entered some stage of foreclosure -- or one out of every 893 homes -- a 13 percent increase from the previous month."

23 Comments:

Anonymous Anonymous said...

grim - is there anyway to get Joyce Aponte's listings from the bank?

5/14/2006 08:04:00 AM  
Anonymous Anonymous said...

Interesting

5/14/2006 10:11:00 AM  
Anonymous Anonymous said...

TAKE A LOOK AT SOME OF THE MOST CURRENT NJ MARKET CONDITIONS THAT THE REALTY TIMES ARE REPORTING- THESE
REALTORS ARE INCAPABLE OF TELLING THE TRUTH! BELOW THESE ARE DIRECT QUOTES TAKEN FROM THE REPORTS.

..."As we look forward to Spring, the good news is that the real estate market will not collapse, and will likely see an overall increase in home prices during 2006"...


..."The market has not been up or down these last few months but more simply, there's been no market. Happens every year"...

..."It looks like the market is already starting to perk up"...

..."so if you are looking to buy, NOW is a good time"...

..."The real estate market in Spring Lake has always been at the top echelon of southern Monmouth County and remains so today"....

THEY ARE KILLING THEIR OWN REPUTATIONS WITH THESE LIES!

5/14/2006 10:32:00 AM  
Blogger chicagofinance said...

Looks as if the "snapper head" is back at it......

http://tinyurl.com/psgd8

5/14/2006 11:55:00 AM  
Blogger new 200 Mbps BROADBAND over POWER LINES said...

OCEAN TOWNSHIP, NEW JERSEY: Updates on Possible Collapse of REAL ESTATE MOGUL`S EMPIRE

Solomon Dwek's woes could have wide impact

He's a major real estate investor
Posted by the Asbury Park Press on 05/14/06

5/14/2006 12:08:00 PM  
Blogger Metroplexual said...

CF,
Perfect name for him. I never heard the term but "urban dictionary" set me straight.

http://tinyurl.com/js5rb

5/14/2006 12:18:00 PM  
Anonymous Anonymous said...

Grim:

Today I saw this house still for sale, with price tag of $989,900.

But realtor told me it was listed at $1,495,000 and already under contract.

So could make your lowball list in the coming months.

What I want to know is what was the exact listing price now? Do you still think it is overpriced at the current price? Also wondering for how much that it was under contract for.

Thanks a lot for your help,

Central Jersey house hunter

5/14/2006 07:49:00 PM  
Anonymous Anonymous said...

MLS: 2271107

Sorry left that info. out...

Central Jersey HH

5/14/2006 07:50:00 PM  
Anonymous Anonymous said...

The Dwek story is major news. There is little question that his empire is/was huge and, if indeed it is in the process of completely collapsing as some of his creditors fear, that collapse IMHO will have massive negative ripple effects throughout the NJ economy, including most significantly the real estate market.

5/14/2006 08:45:00 PM  
Anonymous craig said...

Seattle is still promoting these suicide loans.

the Seattle Times ran an article today about how , with housing at historical unaffordabilty even for professionals, paople had to do above and beyond things to get a house in this city.

the article recommends, among other things, suicide loans and buying with friends. the more incomes the better. I gues 2 incomes are not enough anymore, let alone one.

5/15/2006 02:03:00 AM  
Blogger minutesfromNYC said...

If you want to find foreclosures you can either

1. Look in the public notices section in the paper

or

2. Contact a lending company like CitiMortgage and ask where they have listings of their bank-owned properties

or

3. Go to a search engine and type in REO properties. Only click on real bank links, never pay for free information.

5/15/2006 07:18:00 AM  
Anonymous Anonymous said...

if the mtg cos giving out 100% loans then how do they recover their money in bankruptcy when prices go down?

I know 15 years ago most people put down 10-20% to buy but now you breath and can get a loan.

Big losses going forward for these lenders.

5/15/2006 08:12:00 AM  
Anonymous Anonymous said...

minutesfromnyc-

I'll throw one other in which was used more often in pre-Internet days. You can go to any local bank that does mortgages and ask them for the list minutesfromnyc mentions.

JM

5/15/2006 08:46:00 AM  
Blogger Shailesh Gala said...

Demand from new Tunnel is growing. This editorial from StarLedger.

A new tunnel is a necessity

Corzine made his money on Wall Street and he understands the economic stakes. He knows commuting, too. The daily shuttle between Summit and New York before he entered politics saw to that. And key New York politicians, including Sens. Charles Schumer and Hillary Clinton, generally support a new rail tunnel.

I think having a Governer, who has personally gone through commuting issues, will be plus for this effort. This Governer is definitely appears more pro-Business than the previous one. I hope he also understand that RE costs in NJ have soared significantly in last 5 years and that is forcing people to think outside jersey.

5/15/2006 08:57:00 AM  
Blogger chicagofinance said...

The tunnel is useless crap.

The problem is with the railroad rights-of-way throughout New Jersey. The tracks are too twisted and not sufficiently graded to allow for a reasonable speed. Once you start having to consider more than a 75-90 minute commute each way, the option becomes laughably stupid.

The rolling stock is also not properly maintained, along with NJT buses.

5/15/2006 10:09:00 AM  
Anonymous Anonymous said...

$837/mo mortgage, but forgot to factor in $6k/yr property tax?

D'OHPE!

And teh taxxez are just gonna go up!

Muahahahahaha...

5/15/2006 10:34:00 AM  
Anonymous Anonymous said...

How will these banks recoup their loans when thye have been so reckless with lending. loanign out money with very little down does not give the bank any margin of security at all.
Big big losses going to occur.

How stupid to lend money out at peak prices with little or no collateral in the game.
The greed factor has taken over.

5/15/2006 10:55:00 AM  
Blogger Grim Ghost said...

Chicagofinance, I disagree. A great deal of the problem with train frequency is congestion at the tunnel (which is shared with Amtrak).

A new rail tunnel may still be too expensive, but its at least worth considering

5/15/2006 11:15:00 AM  
Anonymous UnRealtor said...

NJ Transit into Hoboken/NY City must have an average speed of 30 miles an hour, which is a joke.

I find it impossible to believe they can't do better.

If they plugged their entire train schedule into a computer model that simulated rail traffic patterns and could determine the optimal track switching times, etc, that would probably help speed things up.

And they need to replace track to bank them on turns so trains can travel at higher speeds. How long do we have to live with tracks installed 100+ years ago?

5/15/2006 11:51:00 AM  
Blogger chicagofinance said...

Grim Ghost:

If you traveled Metro North at all, you would appreciate the difference. If I had a job in NYC, I would sooner live in Northern Westchester or the Southern portions of some outlying counties versus the bulk of Northern Jersey. Just to get to Summit is a hike. The equivalent on Metro North is White Plains, which is 30 minutes.

5/15/2006 12:05:00 PM  
Anonymous Anonymous said...

National Median, Sales Down In First Quarter: NAR

The realtors association has some numbers out. “Real estate gains came to an abrupt halt in the first quarter of 2006, with the median price of a U.S. home falling 3.3 percent from the fourth quarter of 2005, according to a report by the National Association of Realtors.”

“Prices were basically flat or lower during the quarter as inventories of houses for sale rose and their time spent on the market lengthened. Median prices nationwide fell from $225,300 in the fourth quarter of 2005, to $217,900, a drop of 3.3 percent.’

“Many major metro areas showed slight declines, including Boston, Washington D.C. (down 2.4 percent), Los Angeles (down 0.8 percent) and Chicago (down 0.8 percent).”

5/15/2006 12:15:00 PM  
Anonymous Anonymous said...

Anonymous said...

Big losses going forward for these lenders.

9:12 AM

>>>

HA HA. Mortgage money does not originate from banks. The money is given out by govenment backed private agencies like freddiemac.

and the answer to where does the government get the money is YOU.

At the end of this saga a few lenders might be put in jail but most banks will survive and WE as individuals will pay more tax to make up for the loss.
That is if we have jobs to pay these extra taxes or we will print more bonds and extend our own imaginary credit line by a few trillion dollars.

http://www.alliemae.org/
freddiemac.html

5/16/2006 06:02:00 AM  
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5/17/2006 04:13:00 PM  

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