Foreclosure scourge hitting the suburbs

"Foreclosure scourge hitting the suburbs"
By Mary Jane Smetanka, Star Tribune, March 20, 2008

Jeff Crump (Housing Studies) is cited in this article examining the growth of suburban foreclosures of homes financed with near-prime mortgages. Crump told the Star Tribune that foreclosures had previously been driven mostly by irresponsible lending but now people are starting to lose their homes as a result of job loss. The housing studies expert said that these loans were sold with the idea that the finances didn't matter because the borrower would eventually refinance. But now house values are falling and borrowers can't refinance because they might owe more than the house is worth.