Foreclosures High in Connecticut for January
March 9, 2014
News reports from all across the country have been figuratively filled with good economic news. The number of jobs is up, the stock markets are doing well, home builders are getting back to work, and unemployment seems to be dropping.
Unfortunately, the numbers for Connecticut in January are less optimistic. According to a report released by CoreLogic, a financial and real estate company from California, Connecticut had a high number of home foreclosures, a high foreclosure inventory, and an unusually high number of new dwelling permits.
The report stated that Connecticut’s foreclosure inventory was the fourth highest in the country, and that the number of completed foreclosures for the 12-month period ending January had risen 16.2% over the previous year.
Adding a little extra warning, Donald Klepper-Smith, New Haven-based DataCore Partners’ chief economist and director of research said that the new dwelling permits were almost entirely for condominium and rental unit constructions, and that the actual number of permits is much lower. He also mentioned that the foreclosure rate indicates families are still finding it hard to make ends meet. He said that “the economy is making strides inch-by-inch, rather than yard-by-yard.”
While some people are seeing this as a sign of doom and gloom, it is much more likely that Connecticut’s economy is on the same upward trend as the rest of the nation, but merely going in spurts. It is perfectly natural for the housing market to switch to rental properties after rough economic periods, but eventually it will stabilize back to the way it was. In fact, experts are predicting that 2014 will be a much stronger year for every sector of the housing market than 2013 was.