pageoneresults - 3:53 pm on Aug 11, 2007 (gmt 0)

Lenders filed 53,943 Notices of Default (NoDs) during the April-through-June period. That was up 15.4 percent from 46,760 for the previous quarter, and up 158.0 percent from 20,909 for second-quarter 2006, according to DataQuick Information Systems of La Jolla.

I want to expand on the above a bit. 53,943 NoDs in 3 months. Up 15.4% from the previous quarter. 158% from the same quarter last year. 158%. I'd say that is rather major, wouldn't you?

For those of you not familiar with what is happening, we had this real estate boom that was fueled by ARM (Adjustable Rate Mortgages). Many people purchased properties at these unbelievably low "introductory rates". For example, you could start off with a mortgage payment of $3,000.00 per month for the first year. But, when that rates adjusts, your payment could now be $6,000.00. And when it adjusts again, it could now be $9,000.00. Yes, the math is that simple.

What we are now going to see are all those properties purchased using ARMs going into default as the statistics are clearly showing. New loans are going to be difficult to get. Independent Brokers are going to have a tough time qualifying buyers.

I would imagine this really changes plans for quite a few people in the Real Estate SEO Industry?