Judging by the news headlines, you’d think the sky had fallen and swallowed up every last homeowner who had ever seen a mortgage broker in the past 5 years. The newspapers, tv and radio folks are eager to share the bad news with you…to convince you that life as we knew is over and that we need a Henry Fonda-esqe foil to feel the Wrath.
According to a RealtyTrac report released on February 13th, the bad news is that Minneapolis forclosure rates have skyrocketed. Nearly 150% (146.81 to be precise). A 150% increase in foreclosures is nothing to be happy or excited about (unless you plan on snapping them up at auction!), but what does this actually translate in to as a portion of the entire market?
Would you guess… 7%? How about 5%? What if I told it was only 3% of the total market?
Guess what? I’d STILL be lying. Because a 150% increase in forclosures equates to only .83% of the total market in the Twin Cities metro. That’s LESS THAN ONE PERCENT even AFTER a 150% increase!
I get frustrated with the media because they gravitate to the “scary” numbers by nature. They want to tell you a story…something that will grab you and bring you in front of the TV or the radio speaker, or the computer monitor. But if the headlines tomorrow SCREAMED that we have a .83% foreclosure rate, people might actually begin to enjoy life. Heck, they might even sit and read a blog or surf the net instead of being scared…and that’s not good for BS-ness.
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