Has Florida’s high delinquency rate created a “culture of default?”

Zillow’s report Thursday showed that while Florida does not have the most negative equity in the U.S., it does have a disproportionately high delinquency rate. According to the Wall Street Journal, part of the problem lies in Florida’s exclusively judiciary foreclosure process, which can keep borrowers in limbo for as long as 861 days – the state’s average foreclosure length in April.

“There are a lot of people hanging out in that pipeline,” Stan Humphries, Zillow’s chief economist, said. “If you’ve been around people who’ve defaulted, you’re much more likely to default yourself.” [WSJ] – Christopher Cameron

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s