The high number of residential properties and mobile homes for sale in Pennsylvania is not caused by subprime mortgages. At least, that was what the survey from the Pennsylvania Association of Realtors had revealed. The survey attributed majority of the state's foreclosures to unemployment and emergency medical expenses.

According to the survey, unlike what most real estate market observers believe, the high number of foreclosed homes for sale in Pittsburgh, PA and in other cities of the state is not primarily due to subprime mortgages but has more to do with forces outside the housing market. The survey indicated that subprimes actually played a small role in the state's housing troubles.

Most market observers automatically blame the high number of foreclosed homes in Pennsylvania to subprimes which are considered loans with the highest risk. These mortgage loans were sold in a different market and segment from prime mortgage loans and have been blamed by most for the country's housing market meltdown.

The association's survey revealed that among state residents who lost their homes to foreclosures, and even those who had their mobile homes for sale due to foreclosure, a little over 40% actually had prime mortgages at fixed rate. Meanwhile, 12% had adjustable rate prime loans and only 14% had subprime loans.

The real estate foreclosure properties survey was conducted by Strategic Guidance Systems for the Pennsylvania Association of Realtors on June 22-27, 2010. The survey identified unemployment and unplanned medical costs as the two primary reasons behind foreclosures in the state. It also reveals that among respondents, 57% reported experiencing job loss before losing their properties to foreclosure.

Meanwhile, 47% of the respondents revealed that they had to cope with emergency medical bills and 36% simply said that they had unexpected or unplanned expenses that necessitated using the money reserved for the mortgage. Majority of respondents were within the age of 40-59 and more than 70% have been in their residence for over five years.

The survey developed by the association showed that majority of foreclosed properties and mobile homes for sale in Pennsylvania were not lost to their owners because of subprimes, but because of job losses and emergency medical expenses.

Original Post: Unemployment Behind Foreclosures and Mobile Homes for Sale on Foreclosure-Support.com.