Local Economy Shows Gains, While Foreclosures Are on the Rise

The Federal Reserve has lowered its projection for economic growth this year, spurring fears that the economy could continue to weaken despite January's interest rate cuts, Wednesday, Feb. 20, 2008. (AP / CBS)
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Economic woes weighed on the market again Thursday, sending the Dow down 200 points in the early going.

Meanwhile, recent reports indicate a housing and credit market meltdown is sending home foreclosures to record highs.

According to information from the Brazos County Clerk's Office, in 2007 there were 396 home foreclosures in Brazos County. So far this year there have already been 165 home foreclosures.

In March of 2007 there were 34 home foreclosures and this month there have been 68 home foreclosures.

Nationwide, the numbers are alarming

According to the Federal Deposit Insurance Corporation one in every 200 homes in the United States will be foreclosed upon.

Every three months, 250,000 new families enter into foreclosure. Also, one child in every classroom in America is at risk at losing his or her home because their parents are unable to pay their mortgage.

There is good news for Texas though. According to Moody's Economy.com the lone star state as a whole has an expanding economy. No Texas areas are in a recession, and the only areas at risk are Killeen, Temple, Fort hood, Laredo and Odessa.

To see a complete list of states and their status click on the link below.

Foreclosures may be on the rise in our area, but according to the Texas A&M Real Estate Center home sales are about where they were a year ago.

In January 2007, 124 homes were sold compared to 115 in January of this year. As far as home listings, 49 more houses were on the market in January this year, compared to a year ago.

B-CS realtors tell us their business right now is comparable to one of their best years.

A report Thursday shows retail sales fell last month, when analysts had expected them to rise. The price of gold broke through $1,000 an ounce and oil prices rose again today.