WASHINGTON — Over 25% of mortgage delinquencies and foreclosures involve seniors, AARP has found. And, older homeowners with subprime mortgages are 17 times more likely to end up in foreclosure than their peers with prime mortgages.
AARP's Public Policy Institute examined how Americans age 50 and over have fared during the housing and mortgage market crises.
The organization says it's the first time that an “age analysis” has been undertaken on the mortgage crisis.
Older Americans appear particularly vulnerable to housing price declines and to subprime loans, AARP said.
Foreclosure data in the sample surveyed covered July 2007 through December 2007. Of the 2.5 million mortgage holders in the random sample, about 1 million were age 50 or older.
AARP concluded that the problem is likely to grow as homeowners are increasingly likely to carry mortgage debt into their retirement years.
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