Most indicators show that the national housing market is improving. But, in Florida, the recovery is probably going to take longer for the state overall. Any of our readers who are familiar with previous posts here know that the South Florida area is doing better than most, but the rest of the state isn't having the same luck. Hundreds of Florida homeowners face the threat of foreclosure every day because they still have trouble paying their mortgage.
It's no secret that Florida was one of the states that was hit the hardest by the "burst" of the housing bubble several years ago. Like the rest of the country, it has been a long slog to recover value for homeowners throughout the state. And, for many, paying the monthly mortgage payment is still a serious concern. Foreclosures remain an issue in Florida.
When it comes to be time for a South Florida resident to apply for a mortgage, there are quite a few things to check off the to-do list. After all, a mortgage is probably the biggest loan that an individual or a couple will ever take on in their lifetimes. As a result, lenders require a lot of documentation that proves that the borrower can make the monthly mortgage payment without fail.
Many of our South Florida readers make a monthly mortgage payment. But does everyone know what all is accounted for in that monthly payment?
As previous posts here have mentioned, foreclosures remain a problem for the national housing market, and the South Florida area is not immune to this issue. Although many real estate markets throughout the country are recovering from the plummet in property values that took place a few years ago, there are still too many homeowners who are struggling with their monthly mortgage payment.
Many of our readers may have seen a previous post here that detailed how delinquent payments on mortgages are still a major concern in the South Florida real estate market. This is despite the fact that the local real estate market has experienced a rebound in the last few years that is nearly unmatched in the nation. The news on delinquent payments and foreclosures, however, may be worse than what was previously thought.
Most of our South Florida readers are probably familiar with the general process of a foreclosure. This is the process by which a mortgage lender can seize the home of someone who is not keeping up with their monthly mortgage payment and, as a result, the lender makes the determination that it is a better option to take over ownership of the property itself rather than to try to work out an arrangement with the delinquent borrower. However, there is another process that our readers may not be too familiar with: the deed in lieu of foreclosure process.
When people are having financial problems, they may see a possible foreclosure looming in the near future. But, oftentimes homeowners do not begin thinking about what other options may be available to them until it is too late. Recognizing that they are having a tough time financially and recognizing this fact early may allow homeowners to explore all available options before a foreclosure action commences.
There are a lot of factors in play when a South Florida resident is looking for that prime piece of property to call home, but perhaps no factor is more important than the process of applying for a mortgage. Securing a mortgage for a home is probably one of the biggest financial decisions a person will ever make, so it is important to know the basics of this transaction.
Anyone who has been a property owner in South Florida over the last 10 years or so has probably felt like they have been on quite a roller coaster. First, when the real estate "bubble" burst a few years back, home values plummeted to levels no one would have expected. It has been a long, slow climb back from those dark days, but most of the reports about the local real estate market over the last couple of years have been positive. Another recent report will add to that trend.