MBA Q2 2010: 14.42% of Mortgage Loans Delinquent or in Foreclosure

From Calculated Risk: The MBA reports that 14.42 percent of mortgage loans were either one payment delinquent or in the foreclosure process in Q2 2010 (seasonally adjusted). This is down slightly from the record 14.69 percent in Q1 2010. From the MBA: Delinquencies and Foreclosure Starts Decrease in Latest MBA National Delinquency Survey The delinquency rate for mortgage loans on one-to-four-unit residential …

The Great Unwind and the Final Redemption

The “great unwind” is now upon us and is picking up reverse speed every day. And, the unwind is going to be deflationary. Prices and salaries will decline, jobs will become more scarce, and debt will continue to increase. When debt exceeds a certain level it becomes a cancer on society. Easy credit fuels speculation which triggers bubbles. These bubbles lead to a temporary lift in apparent wealth, which increases economic activity beyond its sustainable level. But eventually more and more debt triggers economic decline with the inevitable glut of goods produced by an overheated economy. What people are discovering too late is that their debt is not repayable. Not now, not in the future, not ever.