Lorain County saw mortgage foreclosure filings jump 30 percent in 2009 over 2008 - more percentage-wise than in Cuyahoga County, where filings were up 20 percent.
The increase came largely from Lorain County homeowners simply not paying property taxes, and then being foreclosed on by the county. Foreclosures due to tax delinquency were four times greater that those resulting from mortgage defaults.
Lorain County Clerk of Courts Ron Nabakowski believes this is a new phenomenon stemming from mortgage walkaways.
Mike Schramm of CASE Western Reserve University's Mandel School of Applied Social Sciences agrees. He says his research in Cuyahoga County points to increased numbers of walkaway homeowners. And, he suspects BANKS are ALSO walking away rather than foreclosing.
MIKE SCHRAMM:
..and the reason could be, and i stress could be... banks making decisions to not file on delinquent mortgages in the neighborhood in which foreclosed properties are in essence worthless."
Schramm says banks' reluctance to file has falsely stabilized inner city foreclosure numbers - and makes the suburban, and outlying county spikes, far more noticeable.
