Does anyone know someone personally who has lost their home to a foreclosure?

Question

I read about the high foreclosure rate and all these people who have lost or are losing their homes, but I have never met anyone personally who has gone through this experience.

I was just wondering what happens to them afterwards--where do they go to live? Are they totally broke? Do they lose their cars too?

Answer 1

People have to go out and find another place. This situation is high crime starting with the buyer all the way thru to the banks in most of these foreclosures of recent history. A house goes on the market, a real estate agent picks it up, he brings in an appraiser this is where it starts. The appraiser inflates the appraisel 60-70 large over the actual appraised value or pay off as an example. The buyer goes to a bank and floats a variable rate loan because his credit is bad or questionable anyway. These loans were being made because of the pres plan for everybody to own a home. The seller is paid and there is cash at closing for the buyer. The buyer kicks back an amount to the real estate person because the buyer is  involved from the start. The real estate person kicks back to the appraiser. Now the buyer has some cash on hand which keeps him afloat for a while. Then the bank kicks the interest rate up to an unresonable rate because it's variable. The buyer says I can't pay and the foreclosure happens. The buyer isn't concerned because his credit was bad to begin with. He just had a free place to live for a couple of years.  This is how it was explained to me by the largest real estate firm in our area. Not all are like this, some folks do get sick and that sort of thing but the people who explained this to me said that 95 % of their foreclosures are this way . There are a lot of these real estate people who are now serving prison time or on the run.

Answer 2

Yes. Folks who lived next door until about five years ago. He had a heart attack, was in the hospital, and had no income coming in. They moved to a rental house about four miles away.

Answer 3

seeing that i live in a higher middle class neighborhood and go to a private school, no, i have never heard of anyone who has lost their home due to a foreclosure.

Answer 4

I don't anybody that has foreclosed on their house.  The way this foreclosing gets reported by the media sometimes I wonder if I should though.  I get tired of hearing about it.