Georgia foreclosure ranks sixth during April

Georgia foreclosure bagged 6th rank in foreclosure listing in the month of April 2007 with one foreclosure filed for every four hundred and thirty homes. This is an increase of around 5.5 percent from its previous month, March and an amazing increase of 38 percent from April last year. Georgia foreclosures ranked fourth in the month of March and maintained third rank for earlier several months.

Georgia economy faces high risk from housing markets despite several bright factors such as health care and small business sectors. Georgia foreclosure reports a downward shift. And the total housing permit for Atlanta dropped by five percent last year and is expected to drop further by 21 percent. As per the forecast, permits would rise by 3.0 percent in the year 2008 and 6.2 percent by the year 2009.

Georgia foreclosures skyrocketed by 67 percent during the year 2006 with eighty thousand homes foreclosed and auctioned. Foreclosed homes have just five weeks for the homeowner to vacate the house else county marshals would knock the door. The housing market is in a slump state with many homeowners losing their homes and properties because of defaults and missed payments.

The process of foreclosure is difficult to bear but if the resident or the home owner do not move or vacate their homes once declared as foreclosed, they would forcibly get evicted by the marshals. Those who wait till the marshals arrive probably expect miracles to happen that would save their homes from getting foreclosed.

The total number of foreclosures during the month of April this year throughout the nation has been around 147,000 in the month of April, which is one percent less from that of March and a 61 percent increase from the month of April 2006. The report compiled by leading real estate information provider reported one foreclosure listed for every 780 homes nationwide during the month of April.

Georgia’s default rate on different types of home loans, particularly in the subprime sector, falls below national average and there has been a steady increase in the number of foreclosures. According to leading real estate expert, the crisis has just begun and it has spread its wings on the national level. The increasing trend in foreclosure poses as one of the largest risk factor concerning the state and local economy forecast.

There can be silver lining expected with a strong prediction of Georgia’s employment rate increasing by 55,000 jobs this year, 80, 500 jobs by next year and 90,000 by 2009. And the percentage rate of increase would be around 1.2 this year, 1.5 next year and 2.0 by 2009 respectively.

Likewise, employment in Atlanta expects an increase of around 40,000 jobs this year with additional 58,000 jobs in 2008 and 63,000 in the year 2009. With more and more jobs and employment opportunities created, the potential to repay the loans and avoid unnecessary Georgia foreclosure. This can dampen the impact and reduce the number of foreclosures in the State.

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