Americans at risk of foreclosure rose in Q1

AP News
Posted: May 19, 2011 11:31 AM
Americans at risk of foreclosure rose in Q1

The number of Americans at risk of foreclosure increased this year, a troubling sign that the housing crisis is far from over.

The Mortgage Bankers Association says about 8.3 percent of homeowners missed at least one mortgage payment in the January-March quarter. That figure, which is adjusted for seasonal factors, rose 0.7 percent from the October-December quarter.

The number has fallen from a record high of more than 10 percent in the same quarter a year ago. But that's partly because of delays in foreclosure filings that are backlogged in several state courts. A state and federal probe into faulty foreclosure paperwork will likely increase foreclosures this year.

In a normal market, the percentage of seriously delinquent borrowers is about 1.1 percent, according to the trade group.