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State moves out of top 10 in foreclosures

Wednesday, May 13, 2009

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MID-MICHIGAN (WJRT) -- (05/13/09)--After sitting for months among the states with the highest foreclosure rates, Michigan is now out of the top 10.

Michigan has fallen to the 11th spot when it comes to highest foreclosure rates in the country. It's a small step, but many see it as a step in the right direction.

After a tough 2008, things could be turning around for Michigan's housing market.

The Michigan Association of Realtors is showing a 16 percent increase in home sales for March of 2008.

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Dr. Mark Perry, an economics professor at the University of Michigan-Flint says the market could be correcting itself.

"Prices start to fall, houses become more affordable and they start to stabilize," he said.

And as Michigan is out of the ranks among the top 10 states with the highest foreclosure ratings, Carolyn Landis at Grand Oak Mortgage in Grand Blanc says we aren't completely home free.

"There was a moratorium on foreclosures since February and they were something that could have happened," she said.

But she says the combination of low interest rates, a huge housing market at lower prices and even the first-time homebuyers credit newly put into place have residents once again interested in becoming homeowners.

"People are believing enough in our economy base that they are taking the plunge and buying houses," she said.

The first-time homebuyer tax credit was instituted this year and first-time homebuyers could receive up to $8,000 back tax free that they don't have to repay.