Even though the mortgage market is seeing some degree of recovery, many think that it will be short lived. Indeed, it is expected that by April of 2009, another wave of foreclosures will be in evidence.
Why?
Because that is when another bunch of adjustable rate mortgages will reset to higher rates. Additionally, many interest only home loans will reach the end of their special interest only terms.
This means that, amdist a slowing economy, many homeowners will no longer be able to afford their mortgage payments. Brace yourself. The housing market crisis is a long way from over.
image source: sxc.hu
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