Wednesday, December 9, 2009

Goldman Sachs: "13 Million Foreclosures in the Next 5 Years"

Foreclosure Stat Snapshots

1) More than 1.5 million homes have been lost to foreclosure already, according to the Center for Responsible Lending.

2) Goldman Sachs is projecting 13 million foreclosures of ALL types during the next 5 years.

3) One in 10 homeowners are late with mortgage payments, according to the Mortgage Bankers Association.

4) Owners owe more than the home is worth in nearly 1 in 5 homes, according to First American Core Logic.

5) Banks are braced for record debt defaults in the 2010 New Year.

6) 7.5 million foreclosure sales will have taken place between 2006 and 2011.

7) The majority of those 7.5 million foreclosure sales, however, have not been completed yet, with 4.8 million foreclosure sales expected between 2009 and 2011.

8) In Florida, about 2 million of 4.6 million home mortgages were underwater, a rate of 45%


9) Analysts at Deutsche Bank Securities expect 21 million U.S. households to end up owing more on their mortgages than their homes are worth by the end of 2010

10) If 1 in 5 of those 21 million households default, the losses to banks and investors could exceed -$400 billion.


As a proportion of the economy, that's roughly equivalent to the losses suffered in the savings-and-loan debacle of the late 1980s and early 1990s.

 
 

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