The foreclosure crisis on Long Island is much more serious than in the rest of the country. On a national basis, approximately 2% of all homes were in foreclosure during the month of January 2014. However, on Long Island, 6.3% of all homes were in foreclosure. That is three times the national average.
Long Island real estate has not recovered as fast as the rest of the nation for a variety of reasons. The court rules concerning foreclosures are designed to protect homeowners. However, the legal protection afforded homeowners impacts on the length of a foreclosure process through the courts in New York. During the 2013 calendar year, 663 homes were sold at auction in foreclosure on Long Island.
Rising Home Prices
Home prices have been rising on Long Island. The rising home prices allows more homes to be sold quickly and should have an impact on reducing the number of homes in foreclosure. The average home price, excluding homes on the east end of Long Island, during the last quarter of 2013 were sold for approximately $360,000. This is up approximately 3% from 2012.
Superstorm Sandy Impacts Homes on Long Island
The large number of homes on Long Island damaged by Superstorm Sandy has had a significant impact on the number of homes going into foreclosures. Many homeowners spent all of their savings bringing their homes back to liveable condition after Superstorm Sandy. However some of those homeowners overspent and fell behind on their mortgages while trying to rectify the problems caused by Superstorm Sandy to their homes.
Delinquency Rates on Long Island Are High
It is estimated approximately 10% of all mortgage loans on Long Island are more than 90 days past due. This is double the national average of 5% of mortgage loans which are 90 days past due.
Elliot Schlissel and his associates maintain one of the busiest foreclosure defense law firms in the Metropolitan New York area. Elliot has been interviewed on radio and in newspapers concerning foreclosure defense issues and is widely considered to be one of the best and well known foreclosure defense lawyers in the Metropolitan New York area.
