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Released: June 25, 2010

Banks can relieve mortgage crisis by giving homeowners a break

Source: David Lazarus, Los Angeles Times (Free Registration)

At what point do banks finally throw in the towel and accept that they’ve got to reduce people’s mortgages if they want to ease the foreclosure crisis?

A record 1 out of every 10 homeowners nationwide was at least 90 days behind on home payments during the first three months of the year, up from 1 in 14 a year ago, according to the Mortgage Bankers Assn.

The Inland Empire remains especially hard hit. In May, 1 in 106 homes had a foreclosure filing on it, according to market research firm RealtyTrac. A separate study by CoreLogic found that nearly 18% of homes in the area were at least 90 days late on mortgage payments in March.

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