Mortgage foreclosures continue to rise in NH

CONCORD, N.H.—The number of home mortgage foreclosures has been climbing for several years in New Hampshire, with the last few years showing a dramatic spike.

In Merrimack County, foreclosures have jumped from 32 four years ago to 376 last year. A foreclosure hotline the state Banking Department set up a year ago receives between 100 and 150 calls a month.

Banking Commissioner Peter Hildreth said the calls suggest several reasons for the increase in foreclosures, including subprime mortgages and more recently, people losing their jobs.

"It's a combination of a lot of things," said state Rep. Stephen DeStefano of Bow, who owns a realty company that sells many properties taken in foreclosures. "People were in mortgages they couldn't' afford, where the rates bumped up. People lost their jobs. Divorce plays a big part. We've seen people who never even made it to their first or second mortgage payment."

When someone calls the hotline, Hildreth's office contacts mortgage company workers who can modify the terms of a loan. The state's authority is limited; it can reach out only to mortgage companies it regulates and it can't force a company to adjust a loan. Still, the hotline has helped, Hildreth said.

One woman who was going to sell her home for a loss was able to renegotiate her loan and stay in her home, he said. In another case, the office got an auction set for a Friday postponed until a Monday so the property owners could secure a new loan.

"Call us early," he said. "If they can't pay the mortgage and have ability to, there is nothing we can do. But we have had some luck>"

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Information from: Concord Monitor, http://www.cmonitor.com