The Garden State is located in the center of all the action. A few miles to the west you have all that is New York City, to the south Atlantic City, and to the west the beauty of historic Philadelphia. This is part of the reason millions flock to Mew Jersey to start a family. The trouble for these residents is that exploding property taxes and one of the highest cost of living rates in the country is causing many to lose that dream of owning a home in the state. New Jersey leads the country in foreclosures, and this is in contrast to the rest of the country seeing a decrease across the board.
The Woes of New Jersey
Part of the reason the foreclosure rate is exploding in New Jersey is people can not afford to live in the state any longer. It isn’t all to blame on property axes, there are other factors in play that have ballooned the foreclosure rate in New Jersey. Manufacturing jobs leaving the state, toll roads increasing fees annually, some of the highest auto insurance rates in the country, and cost of living among the highest, all contribute to a family being unable to make payments on their homes any longer. The national average rate for foreclosure is currently at .006, but according to RealtyTrac, New Jersey is tops at .16 and growing. Although New Jersey did see a 7% drop in foreclosure rates in the last year, the national average dropped by more than double that at 17% last year.
The Numbers Don’t Lie
Take a closer look at the foreclosure problem and the numbers are concerning, with over 5,900 foreclosures just last month. That equates to one foreclosure in every 598 homes in New Jersey. Of all the counties in New Jersey, Salem County had the highest rate of foreclosure in the country. A whopping .35, which equals one foreclosure in every 287 homes. According to the data, Trenton and Atlantic City had the biggest foreclosure rates with populations of more than 200,000 residents. Currently there is no legislation on the books to further help New Jersey residents to keep their homes.
The foreclosure numbers for New Jersey only reflect the actual houses that are currently listed in the court system for foreclosed properties. This does not account for the growing number of houses in default or the pre-forclosure process.