New York Governor Wakes Up To Foreclosures

May 11th, 2008 | Tags: Foreclosures

The New York Governor woke up to the foreclosures. It was breakfast time for Governor Paterson of New York. Several notable congress delegates attended the meal. Among them were Charles Rangel, Corolyn Maloney, Gregory Meeks and Charles Schumer. Paterson New York’s congress delegates could do well to be pioneers in a move that would correct foreclosures. The situation, he said, calls for immediate action. The writing is on the wall. He strongly commented “it was lack of action that helped get us here, and more inaction is inexcusable.”

Foreclosure news has become common talk in all the media coverage. Since the last one year the volatile real estate market is being closely detailed. Paterson outlined that the worst is yet to come. The numbers confirm this. The writing is on the wall for all to see.

During the first quarter of this year, there were nearly 900 new foreclosures. The number was 600 in the previous quarter – it being the last of 2007. The data was released by propertyshark.com – a site tracking data across the country. Ashleigh Rose Clark of the firm commented that the latest figures were staggering. Since they started keeping records, this is the worst foreclosure performance in New York City metro region. Most are concentrated in south east Queens. Other severely affected localities were Howard Beach, Woodhaven and Richmond Hill. The statistics of the state were even gloomier. Analysis shows that 70% of delinquent borrowers are not doing anything about loss mitigation.

Paterson however refuses to accept this finding. He feels that at the federal level there are lots more to be done. National priority should be given to foreclosures – addressing the problem in such a way that people can continue to stay in the houses that are their homes. Within the state there is still scope for corrective action. As a governor to him this issue is of supreme importance. Senator Brennan and Assemblyman Padavan had suggested a hold on foreclosures in the state. The state government was to back it with the support of local leaders including Hillary Clinton. The bill is in the committee in the state Senate.

Meanwhile house owners are desperately waiting for effective action, commented Ricahrd Neiman the New York Superintendent of Banks. The feds have taken a long time to bestir themselves. Borrowers in dire straits have to be immediately given help. It is vital that the local, state and federal governments act in tandem to address the foreclosure problem.