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The foreclosure crisis in USA that has so far been focusing on Arizona, California, Nevada and Florida is spreading its wings to engulf new other states.
The housing crisis that had so far been confined to some pockets are now spreading with foreclosures teaming up with loss of jobs to push people out of their homes.
Even responsible borrowers are not spared the effects of foreclosure problems. Recently President Obama initiated a comprehensive plan for mitigating the housing crisis. It aimed to bring down the number of foreclosures that were not only evicting families but also causing blight on the entire neighbourhood in Hawaii and the rest of the country
The month of August 2008 has seen huge increases in foreclosure filings in Hawaii as compared to the numbers of August 2007. Nevertheless although the comparative increase is high, the actual numbers of filings are low. There were 336 foreclosure listings this year as compared to 145 in August 2007.
Foreclosures have now ensnared Mervyns departmental store chain to file for bankruptcy in Southland. It was the sub-prime crisis setting off the chain of foreclosures that started to snow ball into a major crisis fueled by high food and fuel prices. Now it is the turn of the local retailers to feel the foreclosure heat.
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