Foreclosures Brooklyn

Brooklyn borough is one of the five of New York City. It was named after a Dutch town – Breukelen. It is on the western edge of Long Island. Brooklyn is densely populated with 2.5 million residents. If the borough had been counted as an independent city then it would have ranked 4th in the country. Although it is in New York City, Brooklyn has a separate culture and ambience. In ethnic enclaves it is the Brooklyn culture dominates.

Foreclosures in Brooklyn have been pushing down differences with other parts of the country that has been seized by the housing crisis. The difference is that foreclosures in Brooklyn are much more intense than elsewhere. The analysis of foreclosures in Brooklyn has led many experts to opine that the Blacks have been targets of predatory lending that has led to rampant foreclosures in Brooklyn.

Two factors will help contain foreclosures in Brooklyn – federal help and health of the local economy. Jobs in Brooklyn are guided by three things – the national or city economy, flow of population and the position of the borough has an expedient backroom office set up for the businesses in New York. 44% of the employed population work in Brooklyn itself and over half commute to neighbouring regions. As such the economy of Manhattan is important to that of Brooklyn. Manhattan firms too have been setting up backroom offices in Brooklyn.

In New York City foreclosures have been modestly down in the first quarter of 2009 from the previous year’s first quarter. There has been a sharp fall of foreclosures in Brooklyn. As per the findings of PropertyShark there were 37 foreclosures in Brooklyn during the first three months of this year. In 2008 there were 140 foreclosures in Brooklyn during the first quarter of 2008. In the fourth quarter of 2008 there were 83 foreclosures in Brooklyn.
New foreclosure filings dropped by 74% in Brooklyn during the first three months of 2009 in comparison to 55% noted in the last quarter of 2008.

In 2007 Brooklyn had been one of the worst foreclosure hit regions of the country. This was mainly because of the heady increase of sub-prime mortgages that increased to 25% in 2005. The sub-prime borrowers in Brooklyn were mostly the non-Whites. In 2007 the highest concentrations of foreclosures were in Bedford Stuyvesant, Bushwick and also East New York/Starrett City in Brooklyn.

The foreclosure situation in Brooklyn has improved most probably because of the various measures being taken by the government and private bodies but how far it will establish itself as a trend of decline over the next months, only time can tell.

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