New Wave of Foreclosures to Hit U.S. in 2009

The U.S. may experience another shock wave of foreclosures as early as next year, sooner than expected, according to data released Tuesday from Fitch Ratings. The company reported that almost $29 billion worth of option adjustable rate mortgages (ARMs) are poised to reset next year based on its analysis of a large group of loans originated in the last phases of the recent housing boom.  Pay option ARMs differ from other ARMs in that borrowers are allowed to choose from four different payment options Read more [...]