Mortgage foreclosures create friction

It's all across the news that mortgage lenders are working hard to avoid as many defaults as possible, for the simple reason that it's in their best interest. Taking possession of a foreclosed home typically would come at a loss due to legal and other costs and in many cases because the property sold for less than the loan balance. They are encountering other pressure, too. It comes from the politicians everywhere who are all over them to minimize the suffering. Most delinquencies today take place in the subprime segment of the huge home loan market.

Now there is a fresh complication to the equation. To read the entire article, please click here.