http://www.everyjoe.com/articles/banks-decline-to-take-foreclosures/ Sports News - Tech Reviews - Entertainment - Life Tips for EveryJoe Thu, 17 Dec 2009 19:41:35 -0500 http://wordpress.org/?v=2.8.4 hourly 1 http://www.everyjoe.com/articles/banks-decline-to-take-foreclosures/comment-page-1/#comment-339043 LoanShak » Banks Walk Away from Foreclosures Mon, 30 Mar 2009 22:18:11 +0000 http://www.bizzia.com/?p=17339#comment-339043 [...] The idea behind a foreclosure is that, when it becomes evident to the bank that the borrower will likely completely default, the bank takes over ownership of the home and then tries to auction it off in order to recoup some of the losses. A regular foreclosure can mean losing between 50% and 60% on average. However, with the housing market so bleak in some areas, that loss is mounting. Banks are thinking that — in some cases — it’s not worth it to take over ownership. After intitiating the foreclosure process, some banks are just…walking away. [...] [...] The idea behind a foreclosure is that, when it becomes evident to the bank that the borrower will likely completely default, the bank takes over ownership of the home and then tries to auction it off in order to recoup some of the losses. A regular foreclosure can mean losing between 50% and 60% on average. However, with the housing market so bleak in some areas, that loss is mounting. Banks are thinking that — in some cases — it’s not worth it to take over ownership. After intitiating the foreclosure process, some banks are just…walking away. [...]

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