The Forgotten Foreclosure Crisis

No worries, the Treasury's predatory lending program, AKA HAMP, slowed things down a bit.

US foreclosure activity rose in August from the previous month, and banks and lenders took ownership from homeowners at a record pace, according to a new report released Thursday.

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“There is a buildup in delinquent loans that are not in foreclosure,” said Rick Sharga, senior vice president of RealtyTrac, adding that banks and lenders are slowing the process to avoid a drop in home prices. “It’s a managed slowdown more than anything else,” he said.

“The underlining conditions haven’t improved,” Sharga added, referring to high unemployment and falling home prices in certain markets.