Thursday, April 23, 2009

A Positive Outcome from Foreclosures

Calculated Risk details in the post Housing Bust and Geographical Mobility that:

It is very difficult for homeowners with negative equity to move.
That is until negative equity homes become foreclosures. Comparing areas in which sales via foreclosures are picking up steam (i.e. forced to move out in California / West) against areas in which problems are still picking up steam (i.e. still stuck in their home in the Northeast), we see mobility has returned to those hit worse, while those muddling through remain stuck.

Source: Census