The Slowdown of the Housing Market in Middletown, New York

Drive around Middletown, New York and this site is all too familiar, "House for Sale or Pending". All too often down every block you will find several signs for sale. As stated recently we are officially in a housing slump.

Middletown, New York is no different. Recently I saw in the paper at least 12 properties that are in foreclosure because of tax lien. Many people have found their homes in the foreclosure process because of mortgages that are just too large to pay.

I know a dear friend that related to me that after living in her home for over 30 years she now has to move out because she could not continue the payments. Her situation is a tragic one. Five years or so ago she loss her husband. After several winters of frozen pipes and difficulties in making payments she has finally loss the battle and is moving to subsidized housing.

Even though she was losing her property there was a look of relief on her face after the many years of stress. Mortgage companies never sleep that's for sure their employees have to get paid too.

Several years ago Middletown and the surrounding towns were in a euphoric frenzy of building and many people were being offered mortgages at outrageous interest rates. Many people did not fully understand the implications of the adjustable rate mortgage, balloon payment, or interest only mortgage. With the rising prices in the area contractors were making a killing.

Now that the market has slowed down some mortgage companies have gone out of business because their clients cannot afford to pay. It has become a common occurrence for someone to lose their home, tragically.