Increase in Sheriff sales and Property foreclosures
According to recent articles written in the Tribute Review and the Associate Press; the number of sheriff sales in Allegheny County are at an all time high. Economic professionals believe the large increase in sheriff sales is a direct reflection on the economy. The increase of properties brought to sheriff's sale has prompted several community organizations to request a six-month moratorium. A moratorium was granted 20 years ago with the demise of the Steel Mills. However, since the increase in property foreclosures can not be attributed to a single factor it is believed, the request for a moratorium will be denied.
According to the articles, properties are forced to sheriff sale for three reasons. First, school districts and taxing authorities have begun to aggressively pursue property owners for non-payment of taxes. In the past school district gave property owners a considerable amount leniency for tax delinquency. However, because of numerous funding cuts school districts have been forced to retrieve funding from any and all sources. Second, many financial institutions have decreased the standards required to obtain mortgages and home equity loans. The debt ratio requirements have been increase so individuals who could not qualify for loans in the past will now qualify. The new banking standards have created an environment where many homeowners are financially unable to maintain their payments. The third and final reason cited for the increase in Sheriff sales is the economy. Property owners, who are laid off, become ill or divorced, are listed as potential candidates. The unavailability of decent paying jobs or a death of a primary breadwinner contributes to the increase in property foreclosure.
My current status as a property owner and the financial commitment of being a real estate investor has spl