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South Florida Foreclosures Spike 35%

Written by Posted On Friday, 14 September 2018 15:47
Florida Foreclosure Forecast Florida Foreclosure Forecast

Florida is in the headlines once again. However, this time it’s not because of a hurricane or any other natural disaster. This time, Florida has made headlines for its high rate of foreclosures. According to a study report conducted by Attom Data Solutions, the foreclosure rates are the highest in Florida compared to the last few years.

The rates are higher than most of the states.  Only Maryland, Delaware, and New Jersey had higher foreclosure rates.

What are the reasons for the rate spike?

The reasons are still unknown. It might be, ironically, due to growing real estate values. Home values have been increasing steadily over the last five to six years. Now homeowners are taking equity loans and second mortgages. Such additional borrowing can easily boost the rate of foreclosure.

In fact, analysts warn that the increasing foreclosure rates could impact higher-priced homes as well as the foreclosures start to put downward pressure on over-all pricing.

Interestingly, the Attom study says that the foreclosure number in Miami-Fort Lauderdale-West Palm Beach increased by 29% in July. South Florida now once again holds the dubious honor of being in the top three positions of geographical areas that face the highest foreclosure rates this summer. The other two areas are Houston and Los Angeles.

South Florida continues to show more elevated rates of foreclosure than the rest of the nation. South Florida has been burdened with an increase in mortgage default rates since Hurricane Irma devastated portions of the State last year. That explains why Miami posted one of the highest spikes in foreclosure starts across in large metro areas, logging a 29 percent increase.

Mortgage lenders gave many homeowners an abatement or a reprieve after last year’s Hurricane Irma and many folks got used to not paying their mortgage for a few months and then frankly decided to continue to not pay as opposed to catching up.

Senior Vice President and analyst at Attom, Daren Blomquist says that ups and downs are normal in foreclosure. He also said the hurricane might contribute to the increasing rate. He also believes that the rising rates in the foreclosure in other cities such as the San Diego, Fort Wayne, and Austin might have some deeper implications.

What are the implications of increased foreclosure rate?

Increased foreclosure rates can cause distress in the housing market. It can decrease the value of homes and can cause problems for the house owners. It can result in more underwater homes.

As supported by Attom’s 2018 second-quarter report, 1 in 10 properties in the United States with a mortgage remain underwater. This is going to trouble homeowners as foreclosures drive down overall housing values. However, this condition is certainly better than 2012. In the second quarter of 2012, 29% of homes in the USA and 49% of homes in Florida were seriously underwater.

Of course, increased interest rates are pushing homeowner’s payments up as  adjustable rate mortgages are reset, leaving many people in a bind what to do. Sell the house, or hunker down, default and then either enter into some kind of loss mitigation or foreclosure defense.

But this increased foreclosure rate can impact both the housing market and most people. When folks are struggling with stagnant wages and income inequality, the increased rate will only make the situations more troublesome.  The impact, unfortunately, will be disproportionately felt on moderate income communities within our tri-county area.

How to deal with increasing foreclosure rates

It is difficult for everyone to fully understand how the economy impacts foreclosure rates. You can always consult with us as your Fort Lauderdale Foreclosure Defense to find out the reasons for the increased rates and its implications.

In the interim let us just be thankful that we are not going through a foreclosure crisis like we did a decade ago.

From the Trenches,

Roy Oppenheim

Should you have any questions or would like to schedule an appointment,
contact us.

Oppenheim Law
2500 Weston Rd #404,
Fort Lauderdale, FL 33331
954-384-6114

Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

Website: https://www.oppenheimlaw.com

 

Original Source: https://southfloridalawblog.com/south-florida-foreclosures-spike-35/ 

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Roy Oppenheim

From Wall Street to Main Street, Roy Oppenheim is a successful serial entrepreneur and attorney focusing on Florida real estate, foreclosure defense, loss mitigation and Internet ventures.

 

He founded Oppenheim Law in 1989 with his wife Ellen Pilelsky and uniquely positioned the Firm as one of Florida’s leading boutique law firms in Weston, Florida.

 

Serving national, international, and local clients, Mr. Oppenheim has the highest rating (A-V) conferred by Martindale Hubbell Law Directory, the most respected directory of lawyers and law firms in the U.S.

 

In 1989, Mr. Oppenheim also co-founded and served as general counsel to ShopSmart Corp., the company that originated and owned the GNC Gold Card Program, a program that continues to this day and was one of the first cross-promotional programs of its kind.

 

In addition, in 1994, he co-founded Weston Title & Escrow, the oldest title company in Weston, Florida, and he currently serves as its Vice President. In 1999, Mr. Oppenheim served a one-year term on the board of directors for Catalina Lighting, a publicly traded company on the New York Stock Exchange.

 

Growing up in the Bronx, Mr. Oppenheim learned to be focused on success and driven to always persevere for opportunity.

 

In 2009, he started the South Florida Law Blog, which was voted the best business and technology blog by the South Florida Sun-Sentinel. He also serves as an expert witness on title industry practices.

 

Mr. Oppenheim has also authored two law review articles with Jacquelyn Trask; namely, Deconstructing The Black Magic of Securitized Trusts, published in the Stetson University Law Review’s Spring 2012 Edition, and The Emperor’s New Clothes, published in the William & Mary Business Law Review Volume 6.

 

Today, Mr. Oppenheim is a sought-after legal expert on issues relating to the real estate crisis and beyond. In addition to his own blog, he also has been a contributor to Yahoo! Homes, and featured on HuffPost Live, FOX News, and Lifetime TV. In addition he has been quoted in prominent national publications, including USA Today, The New York Times and Huffington Post, among others. Mr. Oppenheim also understands the power of social media, and can be found on a variety of social media platforms.

 

Mr. Oppenheim also speaks fluent German.

 

Admissions

 

  • Florida Bar, 1987; Member of the Real Property Probate and Trust Law Section
  • New York Bar, 1987; United States District for the Southern and Eastern Districts of New York, 1987
  • U.S. District Court, Southern and Middle Districts of Florida, 1993

 

Education

 

  • Princeton University, A.B., cum laude, 1982
  • Northwestern University School of Law, J.D., 1986
    • Member of the Northwestern University Law Review
    • Member of the National Moot Court Team

Original source:  https://www.oppenheimlaw.com/who-we-are/meet-our-team/roy-d-oppenheim-esq/ 

https://www.oppenheimlaw.com

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