Recent market data showed that about 14 percent of home loans in Illinois are delinquent in the second quarter of this year. This means that the number of homeowners who are facing the risk of seeing their properties placed on bank foreclosed home listings rose by 9 percent compared with the same period last year.
Delinquent loans reached 9.2 percent of all home loans in Illinois, 6 percent higher from the previous year. Additionally, the percentage of loans in some kind of foreclosure proceedings reached 4.7 percent, an increase of 3.1 percent.
The delinquency rate earned Illinois the 14th spot in the nationwide ranking while its number of foreclosure starts placed it on the 17th position, overall.
In the first six months of this year, Illinois' foreclosure filings surged over 29 percent, double the national percentage. The first half figures represented an increase to 69,000 troubled properties compared with the same period the previous year and 19.2 from the second half of 2008.
For the month of June, foreclosure filings in Illinois gained 32.4 percent compared with the same month last year, and higher by 5 percent from the previous month. In July, about 10,796 homeowners received a foreclosure filing or one out of 486.
Nationwide, over 13 percent of homeowners were delinquent on their loans or in some stage of foreclosure proceedings. The number of fixed-rate home loans that is in on the brink of foreclosures rose substantially while repossessions due to subprime loans declined.
All these increases in delinquency and foreclosure rates happened while the unemployment rate was also rising.
Meanwhile, mortgage interest rates declined to their lowest level in one quarter. The average rate for a 30-year, fixed mortgage was about 5.12 percent, a drop from 5.29 the previous week. Also, the average rate for a 15-year fixed mortgage dropped to 4.56 percentage point from the previous 4.68 percent.
Additionally, the average 5-year subprime mortgage dropped to 4.57 percentage point from 4.75 percent, while one year adjustable rate loans declined from 5.29 percent to 4.72 percent.
Industry experts said that the increases in defaults and foreclosures in Illinois and other parts of the country happened despite federal and state foreclosure prevention initiatives.
John Cutts has been educated in the finer points of the foreclosure market over 5 years.
Notice: In accordance with FTC guidelines, we state that RealEstateProArticles.com has financial relationships with some companies and may be compensated if consumers choose to buy, subscribe or take any action to a product or service via the links on our website. Occasionally, we receive free access to review a product or service. We do not accept compensation in exchange for a positive review. These reviews are strictly the opinions of the author.
![[Valid RSS feed]](http://www.realestateproarticles.com/images/icon_Rss.png "XML Feed For RSS"){kind=icon}
Category Rss Feed
Print This Article
Add To Favorites