SPDR S&P 500 (SPY)

[Two-timer]

Hey, Foot. Plenty of business ahead in the foreclosed-home market. There's one foreclosure every 13 seconds, and nine million foreclosures are predicted by 2012 (which will cost neighboring homeowners about $1.9 trillion in lost house value). No wonder the stock market is going up(lol). Two


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NIGHTMARE ON MAIN STREET

According to the Center for Responsible Lending (CFRL), the number of home foreclosures so far in 2009 has just topped 1 million. The CFRL even has a handy ticker, so you can watch the tally rise in real time.

The current rate of growth equates to about 6,600 homes per day, or one every 13 seconds. The group expects this 2009 foreclosure number to more than double, meaning foreclosures will hit 2.4 million for the year. (Imagine what this does to the phantom housing inventory when you include the properties which banks are holding off the market for months.)

By 2012 the ticker figure will have grown to a total of at least 9 million.

The CFRL believes these stats will drive down the value of some 70 million homes by a number of about $7,200.00 per family. That’ll mean that, through 2012, at least 9 million foreclosures will ultimately cost 92 million neighboring families a total of some $1.9 trillion.

The notion of the study is that loan modifications are not likely to succeed with “superficial fixes that fail to lower monthly payments.” Their new guidelines call for earlier intervention and modifications that will lower monthly payments.