Recent reports from the Wall Street Journal and other major outlets have highlighted a concerning trend: in some housing markets, homeowners are now paying more for insurance and property taxes than they are for their mortgages.
A July 2024 article from Realtor.com cautioned, “Soaring Costs of Insurance and Property Taxes Are the Top Risks for Triggering Mortgage Delinquencies.” This shift in financial burdens is making it clear that taxes and insurance—once secondary costs—are now a major concern for homeowners.
While a September 2024 headline from Zillow suggests that mortgage payments in some areas are now lower than rent in 22 of the 50 largest U.S. metros, this can be misleading. Zillow’s article points out that cities like New Orleans, Chicago, and Pittsburgh offer the greatest savings on mortgage payments compared to rent, but it overlooks the crucial costs of taxes and insurance, which are rising rapidly.
If Realtor.com’s warning is accurate, these rising “hidden costs” will trigger mortgage delinquencies, resulting in foreclosure and property abandonment.
As foreclosures increase, municipalities face the challenge of dealing with vacant properties. This is where MuniReg comes in.
MuniReg works directly with municipalities to track vacant and foreclosed properties through our no-cost specialized registry programs. Additionally, we help local governments navigate the complex process of returning them to productive use.
With MuniReg’s expertise, municipalities can better manageany rise in foreclosures, turning potential liabilities into valuable assets for the community.
Contact us today to learn how MuniReg can assist your municipality in managing vacant and foreclosed properties, ensuring they are returned to productive use and contribute to local growth.
To view the referenced articles please click on the following links:
MSN: Homeowners are paying more for insurance and taxes than their mortgages, study shows
Realtor.com: Soaring Cost of Insurance and Property Tax Is the Top Risk for Triggering Mortgage Delinquencies, Survey Finds
Zillow: Mortgage payments fall lower than rent in 22 of the 50 largest US metros