Default Activity Is Rising In NYC
A foreclosure advisory and data firm here says that foreclosure activity is rising in the New York City metropolitan area.
"New York City is one of the five most troubled housing markets in the nation," said Alexis McGee, president of Foreclosures.com. "The employment picture is getting worse."
New York City has lost 225,000 jobs since 2000, with 176,000 of those jobs vanishing in the last two years. The city's unemployment rate, at 8.5%, is well above the national average.
Moreover, the number of people who have been out of work for six months or more is increasing.
A research institute estimates that half of the city's job losses can be attributed to "economic aftershocks" of the 9/11 terrorist attacks, which contributed to weakness in the financial and tourism sectors.
"When you combine the dismal employment outlook with a cooling housing market, more people find it impossible to hang on to their homes," Ms. McGee said.
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