Foreclosure stresses take human toll
In this day and age the news is filled with stats and stories about foreclosures, short sales, loan modifications etc. etc. What many fail to see is the toll foreclosures take on the human race. They take an emotional toll on those that are involved often causing the break up of family and friends. The most devastating impact can be on the children.
If you are involved, in any way, with a property that is involved with a distressed sale, be aware of the human toll…..be aware of the children.
Foreclosure stresses take human toll
By Renae Merle
The Washington Post
The stress of a foreclosure can disrupt marriages and produce behavioral changes in children, according to a recent study.
The study is based on interviews with 25 Latino families by the National Council of La Raza and the Center for Community Capital at the University of North Carolina at Chapel Hill.
“People losing their homes is more than losing a physical space, bricks and mortar,” said Janis Bowdler, deputy director of Wealth-Building Policy Project at the National Council of La Raza.
“We have been so focused on the short-term impact of the financial crisis, the policy solutions, the physical loss of the house, that we don’t always consider the larger picture.”
The families, who were from Texas, Michigan, Florida, Georgia and California, said that after the foreclosure, they incurred significant financial losses, on average about $89,000.
Of the parents interviewed, about half reported problems in their relationship, and more than a third were considering divorce or separation.
Thirteen families reported that after they lost their home, their children had academic or minor behavioral problems in school. Many parents reported more conflicts with their children.
“Parents often perceived their children being withdrawn and having trouble making new friends,” the study said.
The study is the latest to link foreclosure and mental-health issues, and Bowdler said she hoped it would spur more research.
Last year, researchers at the University of Pennsylvania School of Medicine found 47 percent of the homeowners going through foreclosure showed symptoms of depression, with 37 percent exhibiting signs of major depression.
Moody’s Economy.com has forecast that more than 1.9 million homeowners will lose their homes to foreclosure this year.