Some stats on home default notices.

  • In the last 3 months of 2006, home default notices rose 145%.
  • Largest number of default notices since 1998.
  • The Inland Empire and Central Valley are the most vulnerable.
  • The risk of default is greater if you do not have any or little equity in the home, because it makes refinancing more difficult.
  • In the 4 th quarter of 2006, lenders sent out 37,000+ default notices.
  • In the 4 th quarter of 2005, lenders sent out 15,000+ default notices.

Defaults do not necessarily lead to a foreclosure. However, the most recent numbers show a definitive rise. Here are the numbers.

  • In the 4 th quarter of 2006, foreclosures were 6,000+.
  • In the 4 th quarter of 2005, foreclosures were around 800.

Let’s put the stats in perspective to the greater mortgage marketplace.

  • 6.5 million people in the Central Valley
    • 4 th quarter 2006 – 8,500 defaults and 1,600 foreclosures
  • 10 million in Los Angeles
    • Much less then in the Central Valley

Be smart. Be up to date on your mortgage options. If you are feeling a little stress around your mortgage payment – check the interest rate environment with a few mortgage specialist to see what those options are and cut back on your expenses in place that make sense.

All the Best,

James Nexus

CompareYourLoans Contributing Editor