If you don't, are you thinking about getting one?
If you do, do you think the odds you may need it are greater in 2008 than they were in 2007?
Hint - keep a close eye on the foreclosure rates in your neighborhood. And watch out for those ramen eating realtors - they might get pretty desperate soon.
Foreclosures And Crime Rates
Foreclosures are on many people's minds these days, and it's not hard to see why. Foreclosures increased 57 percent in the past year, according to numbers recently released by RealtyTrac. Most of the attention paid to foreclosures focuses on their effect on the economy. But the impact of the foreclosure crisis is more broadly felt than that and extends even to crime rates in areas hit hard by foreclosures.
"Using data on foreclosures, neighborhood characteristics, and crime, we find that higher foreclosure levels do contribute to higher levels of violent crime," according to a 2005 study by the Federal Reserve Bank of Chicago. "A standard deviation increase in the foreclosure rate (about 2.8 foreclosures for every 100 owner-occupied properties in one year) corresponds to an increase in neighborhood violent crime of approximately 6.7 percent."
March 03, 2008
Posted by blogger at 3/03/2008