October 05, 2007 at 01:03 PM
A mortgage lender has helped to answer a common question about the relative effects of illness and death on home mortgage foreclosure rates.
Disability insurance, experts say they have had a hard time tracking down the sources of some of the commonly quoted statistics dealing with that subject.
Countrywide Financial Corp., Calabasas, Calif., recently reported during a presentation for analysts that “curtailment of income” was the primary cause of 58% of foreclosures recorded in July.
Illness and other medical problems were responsible for 13% of the foreclosures, and death was responsible for only 3.6% of the foreclosures.
Other primary drivers included divorce, which caused 8.4% of the foreclosures; problems an investment property or inability to sell a property, 6.1%; and low regard for property ownership, 5.5%.
Countrywide did not talk about how many cases involved both illness of the borrower and illness-related loss of income.
NOT FOR REPRINT
© 2023 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Copyright © 2023 ALM Global, LLC. All Rights Reserved.
