Claims regarding a new “surge” in foreclosures and bad debt appear to be exaggerated based on data from the Mortgage Bankers Association. The foreclosure picture is looking better, not worse, than it was one year ago. The share of loans in the foreclosure process during the July-to-September period fell to 2.4 percent of all loans, from 3.1 percent one year earlier.
If you’re in the market to buy a home, then now might be the perfect time to seal the deal on your purchase, as there are several conditions working in the favor of home buyers. Firstly, gains in home prices have slowed down and mortgage rates historically remain low. Furthermore, loan requirements are softening, and with fewer buyers around the holidays, there could be less competition and more bargaining power for buyers.