One in every 33 homeowners is likely to be in foreclosure sometime in the next two years, according to a study released today by the Pew Charitable Trusts.
"Stronger standards from federal policy makers could have helped avert this crisis," said Shelley A. Hearne, managing director of Pew's Health and Human Services Program. "Future legislation must consider ways to strengthen standards to prevent more troubling loans from being made.”
Homeowners won’t be the only ones affected, the study predicts. It found that an additional 40 million neighboring residents will see their property values decline, while municipal tax bases drop by as much as $356 billion nationwide over the next two years.
Pew's research analyzes two principal data sets: the Mortgage Bankers Association 4th Quarter National Delinquency Survey and the Center for Responsible Lending's foreclosure projections and Subprime Spillover data.
Source: Pew Charitable Trusts (04/15/2008)
![](img src="https://images.secureserver.net /rcc/extranet/Marketing/Banners/15532_Reselle r199_468x60_red.gif")
