Despite a decrease in area foreclosures, Los Angeles residents are reporting a fear of losing their homes and becoming homeless.
Examining Foreclosure Rates in Los Angeles
According to recent reports, the number of foreclosures in the Los Angeles-Long Beach-Glendale region fell in January by 0.16 percent when compared to the previous year with a rate of 0.48 percent. Furthermore, the foreclosure rate for the region remained well below the national rate, which was at 1.15 percent in January. The area also experienced a drop in its mortgage delinquency rate, with 1.83 percent of mortgage loans being late by 90 days or more in January. In January of the previous year, this rate was at 2.34, representing a 0.51 percent decrease.
Local foreclosure rates in L.A. County were also on a downward trajectory throughout 2015. While the rates remained unchanged when comparing December to November, the November rate was down by 0.51 percent when compared to October. Likewise, the October rate was down by 0.53 percent when compared to September and the September rate was down by 0.54 when compared to August. The 90-plus day delinquency rate was also moving in the downward direction, with the rate being 1.82 percent in December compared to 1.86 percent in November and 1.89 percent in October.
Facing an Increase in Rent-Control Evictions
A recent report has also found that there has been a significant increase in rent-control evictions in Los Angeles, with 1,137 rent-controlled units being removed from the market in 2015 and the number of evictions doubling. While the city still has approximately 641,000 rent-controlled apartments available, the 1985 Ellis Act allows landlords to evict tenants if they plan to take the property off of the rental market or wish to demolish the building.
Residents Report Fear of Homelessness
Despite a decline in foreclosure rates, a new survey released by UCLA has found that many residents of Los Angeles are concerned about becoming homeless. The same survey found that respondents rated their quality of life at just 59, which is barely above the midpoint figure of 55. Overall, the survey found that this perception is largely influenced by income. While those who make under $30,000 rated the fairness of the city’s economy at 52, those making over $120,000 rated it at 71. Lower income residents were also more likely to be concerned about financial security, which isn’t surprising.
The survey further found that about a quarter of those with incomes as high as $120,000 have recently been concerned about becoming homeless, while nearly half of those with an income of under $30,000 had the same concern. Overall, nearly a third of all respondents reported that they have been worried about becoming homeless in recent years while nearly as many reported concerns about going hungry due to an inability to afford food.
These findings indicate that the divide between the haves and have nots is growing wider in Los Angeles. Overall, residents also reported that residents were not satisfied with the cost of living, the number of employment opportunities or the quality of education in the county. On the other hand, they were generally positive about access to healthcare, their neighbors and the state of race relations within their communities. Environmental ratings, law enforcement and transportation all earned neutral ratings.
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(all data current as of 10/19/2017)
Listing information deemed reliable but not guaranteed. Read full disclaimer.