Subprime loans still a factor in Wisconsin

Here's an interesting article from Paul Gores of the Milwaukee Journal Sentinel. From the article:

• Wisconsin subprime lending as a percentage of all mortgage loans exceeded the national average in 2006 and 2007.
• In 2007, subprime loans made up 17% of all Wisconsin loans, compared to 14.9% for the nation as a whole.
• In 2006, subprime loans made of 39.3% of all Wisconsin loans, compared to 37% nationally.
• Adjustable interest rates are scheduled to reset on 30.2% of Wisconsin's subprime loans over the next 12 months, compared to 27.8% nationally.
• Research suggests that a 1% increase in unemployment rates raises home foreclosures in a county by 3% to 9%.

The numbers, from Russ Kashian of the University of Wisconsin - Whitewater, suggest that Wisconsin foreclosures will continue to exist at high levels over the next year or two. Our preliminary review of October data shows that Dane County foreclosures reached a new high last month. We'll be publishing the October data soon.