Monday, February 18, 2008

Now Georgia's On The Danger List

From Calculated Risk, another good reason why Georgia should be on your danger list (with California, Florida, New Mexico, and Arizona)

For the most part, Atlanta didn't participate in the price boom. This graph compares the Case-Shiller house price index for Atlanta and Miami. Although prices rose much quicker in Miami, and are now falling faster, Atlanta has a higher percentage of loans in default.

One reason might be that Georgia led the nation in Interest Only loans. Another might be that lenders are able to foreclose quicker in Georgia: From the NY Times last July: Increasing Rate of Foreclosures Upsets Atlanta

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