Ohio Repossessed Homes

Ohio State is in the Midwest of USA – part of the region around the Great Lakes. The capital city is Columbus. It is the geographical location of Ohio that has largely contributed to its prosperity. Ohio is a centre for manufactured good that range from machine tools to industrial chemicals, plastic mouldings, jam, jellies and paints. The automobile industry dominates the economy. Ohio is also famous for being the place where the first airplane was invented following the inventions of the Wright Brothers.

Today another chapter in the history of Ohio is being written with the increasing number of Ohio repossessed homes. The banks take over or repossess foreclosed houses after the latter fails to get sold at court auctions. The real estate market being in a slump invariably the houses do not get sold and become Ohio repossessed homes. The banks then try to sell these Ohio repossessed homes – it being no easy task. Various methods are being resorted to, to lure in the buyers. Heavy discounts are offered. Bus tours to view the Ohio repossessed homes are organized and gifts are offered to purchasers. With the market being flooded with Ohio repossessed homes it is becoming more difficult each day to dispose of the houses. Meanwhile the Ohio repossessed homes stand vacant and empty attracting crime and disease. These innumerable Ohio repossessed homes are raising the ire of communities and local governments. The Ohio repossessed homes are not in good condition having come from the foreclosed category. The longer these Ohio repossessed homes stand vacant and deserted, the property runs into ruin. Often Ohio repossessed homes have to be bulldozed. The worthless Ohio repossessed homes are causing the ruin of banks and lenders.

There is similarity between Ohio and Michigan with Florida and California as regards the foreclosed units but the reasons are totally different as are their climates. Michigan and Ohio rank first and second on Fannie Mae’s list as states with the largest number of Ohio repossessed homes till 30th September 2008 – that translates into losses for the companies. The number of Ohio repossessed homes means the company has no hope of recovering $101 million. The economic background in Ohio and Michigan are worse than those of California and Florida according to Mortgage Bankers Association. Unemployment in Ohio was 5.9% – this also being responsible for the spike in Ohio repossessed homes. The national unemployment rate is 4.7%. Jobs and the related income are vital for keeping at bay foreclosures and reviving real estate market. According to Countrywide Financial – job loss, illness and divorce are the main reasons for foreclosures in Ohio and Michigan. In Ohio 20,000 jobs were lost since 2001. This has been compounded with the problem of sub-prime markets making for a cocktail of woes. There has been less speculation here than in Florida and California.

The report from Fannie Mae showed that the Midwest was suffering from the biggest loan loss. Of the top seven offending states, five are in the Midwest.