Foreclosures linked with unemployment are leading to homelessness

The homeless shelters are filled in capacity with foreclosures being linked with unemployment causing homelessness.
In the suburbs the number of homeless people is spreading across the nation.

The homeless shelters are filled in capacity with foreclosures being linked with unemployment causing homelessness.

In the suburbs the number of homeless people is spreading across the  nation. According to HUD the number of homeless living in shelters in  the suburbs and rural regions increased from 23% to 32%. In the big  cities however it dropped from 77% to 68%.

Lawrence Levy of National Center for Suburban Studies (Hofstra  University at Long Island) said, “Homelessness has been an issue, but  has not shown up as visibly as it is now.

The average person didn’t  know someone who was homeless and rarely saw someone who was homeless  as long as they stayed out of those pockets of poverty that have been  there for a while. But they’re seeing it more and more now, in train  stations or other public places, and it’s people that they know.”

In the suburbs it is becoming a problem because of the poor facing  uncertain conditions and a huge numbers thrown out of homes by  foreclosures are migrating to the outskirts of the cities. Many small  businesses have downed shutters as unemployment figures are increasing  in general. The city facilities for the homeless are full up and many  are moving out hoping for better amenities in the suburbs.

Carol Walter of Connecticut Coalition to End Homelessness said, “In  Connecticut cities, we’ve done a decent job of creating permanent  supportive housing and creating long-term opportunities, particularly  for those people with ongoing and significant barriers to housing. So  the urban areas might be a little bit ahead in making a dent in the  homeless population.”

A big problem is that those homeowners who have lost jobs are losing  their properties also. As the hard days drag on, they are exhausting  their benefits like severance pay etc. Employment meanwhile continues  to elude them. . Renters are also suffering from the foreclosure crisis  as they are being evicted when the landlords face foreclosure or  suddenly need additional space to accommodate family members who have  been evicted.

Connie Lassandro of Housing and Homeless Services of Nassau County  said, “We were dealing for so long with the sub-prime-mortgage and  predatory-lending crisis, but now what we’re seeing is a greater  percentage of those losing their jobs. We thought we were getting  things under control, but the job losses are now creating a second wave  of foreclosures. You can’t save a home if there’s no income.”

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