The one state recession........

Last night I started watching the Republican Presidential debate. This debate was focused on the economy and as a real estate agent, I was interested. I turned the debate off after the first question. Both Fred Thompson and Mitt Romney responded to a question about the housing market by stating that the economy overall is in good shape and the housing market/crisis is not as bad as everyone says. In fact, they both stated that relative to the foreclosure crisis and it's affect on the economy, we are seeing a "one state recession". That state being Michigan where foreclosure rates are extremely high.

Here's the reality. Michigan's foreclosure rate of 1 filing for every 320 households ranked the third highest for July 2007. Detroit does rank the highest for metro areas with 1 filing for every 97 households. Nevada is actually the highest in the nation for July 2007 with a filing rate of 1 in every 199 households and Georgia ranked #2 with 1 filing for every 299 households.

Nationwide, foreclosures rates for July 2007 increased 9% from June 2007 and a whopping 93% increase from July 2006. The truth is that for July 2007, the foreclosure rate nationally was 1 filing for every 693 households.

Are they stupid or are they lying? I don't know. But I do know that they are WRONG. The housing market is a national problem. It is affecting consumer confidence and it's only a matter of time before this lack of consumer confidence begins to affect other areas of the economy. Wake up America! The first step to solving a problem is admitting there is a problem!


All of these statistics according to http://www.realtytrac.com/.
To view a list of foreclosures rates nationwide by state please visit: http://www.realtytrac.com/ContentManagement/Library.aspx?ChannelID=9&ItemID=3221