Mortgage Deliquencies Hit Record High in First Quarter

This article is bad news for Middle Class America since it was rising home values that made most people keep spending what they really didn't have.

Mortgage delinquency rates hit an all-time high in the first quarter of 2007, according to data compiled by Equifax and analyzed by Moody’s Economy.com.

At 6.19%, Detroit (above) is the metro area with the highest mortgage delinquency rate.

The percentage of mortgages in default rose to 2.87%, surpassing the worst levels following the 2001 recession.

“The news is unremittingly bad,” CNBC's Steve Liesman said Tuesday. “Delinquency rates were up in 44 of the 50 states.”

Since it was the psychological thought that the equity within the home was enough to continue spending will Americans now pull back and cause the economy into a recession? Most Americans believe it will.
I am sure a recession right before the 2008 elections is just what the Republicans fear the most but it might be just enough to finally show the average American that the Republican party does not and has not ever cared about your issues.