Why are Foreclosures Increasing in Pennsylvania and New Jersey?
Many people have been wondering why foreclosures are increasing in Pennsylvania and New Jersey. First of all, are foreclosures increasing in PA and NJ – or does it just seem that way? When looking at some actual data on foreclosures, PA and NJ are near the top of the list of foreclosures. According to ATTOM Data Solutions, in October of 2021, New Jersey had one foreclosure for every 3,438 housing units – Trenton NJ specifically had 1 in 1,293. Pennsylvania saw a 107 percent increase in foreclosure starts month over month.
The Moratoriums are Ending
The Federal Housing Administration (FHA) ended the extension of its moratorium on evictions for foreclosed borrowers and their occupants on September 30. The expiration of the foreclosure moratorium was on July 31, 2021. New Jersey’s foreclosure moratorium ends on November 15th. Which means that after that day, properties that were already sold at sheriff sale will start to get notices of eviction from courts, if they are that far ahead of the process.
Also in 2021, the option to enter forbearance on your home because of the CARES Act went away. Mortgage forbearance allowed many homeowners in New Jersey and Pennsylvania to defer the payments on their mortgages and work out a payment plan on the back end.
The ability to pause your mortgage payments without consequence is coming to an end, which is leading to more foreclosures, as people who were not able to get ahead financially during the pandemic deal with the tough reality that the banks eventually are going to be asking for their money each month. It is a tough situation for many homeowners.
If you live in Philadelphia are looking to avoid foreclosure, there are some free resources available to try and save your home from mortgage and tax foreclosure.
New Jerseyans can contact Legal Services at www.lsnjlawhotline.org or call 888-576-5529. To find a free housing counselor in your area, visit the New Jersey Housing and Mortgage Finance Agency website.
Also, check with your individual bank, credit union, or loan servicer to find out if there is additional help available.
How can Property Buyer Connect help?
If you have exhausted all options or are simply in a position where foreclosure seems inevitable, there is a way out. Don’t get stuck in a short sale or sheriff sale that could take months or even years to play out. Contact us and we may be able to help take your property off your hands. We specialize in fast and easy transactions to make the process as painless as possible.
If you live in the Philadelphia or New Jersey areas, selling your property to us is an option. First, we offer a free evaluation of your situation. Next, we offer recommendations for the best solutions in your specific situation.
At Property Buyer Connect, we have a specialized team that can help solve any problem you have. Give us a call today at 215-770-3122.