Foreclosure

==Experiences of households post-foreclosure==
A 2011 research paper by the [[Federal Reserve Board]], “The Post-Foreclosure Experience of U.S. Households,” used credit reports from more than 37 million individuals between 1999 and 2010 to measure post-foreclosure behavior, especially in regard to future borrowing and housing consumption. The study found that: 1) On average 23% of people experiencing foreclosure had moved within a year of the foreclosure process starting. In the same time, a control group (not facing foreclosure) had only a 12% migration rate; 2) Only 30% of post-foreclosure borrowers moved to neighborhoods with median income at least 25% lower than their previous neighborhood; 3) The majority of post-foreclosure migrants do not end up in substantially less-desirable neighborhoods or more crowded living conditions; 4) There was no significant difference in household size between the post-foreclosure and control groups. However, only 17% of the post-foreclosure individuals had the same number and composition of household members after a foreclosure than before. By comparison, the control group maintained the same household companions in 46% of cases; and, 5) Only about 20% of post-foreclosure individuals chose to live in households where one person maintained a mortgage. Overall, the authors conclude that it is “difficult to say whether this small effect is because the shock that leads to foreclosure is not long-lasting, because the credit constraints imposed by having a foreclosure on one’s credit report are not large, or because housing services are more inelastic than other forms of consumption."<ref>{{cite web |url = http://journalistsresource.org/studies/economics/housing/post-foreclosure-experience-of-u-s-households |title = Post-Foreclosure Experience of U.S. Households |date = 6 September 2011 |publisher = Journalist's Resource.org |url-status = live |archive-url = https://web.archive.org/web/20110929121335/http://journalistsresource.org/studies/economics/housing/post-foreclosure-experience-of-u-s-households/ |archive-date = 2011-09-29 }} Reviewed 2013-07-20</ref>