|Title:||Regional Resilience in the Face of Foreclosures: Evidence from Six Metropolitan Areas|
|Availability:||Berkeley Institute of Urban and Regional Development; http://metrostudies.berkeley.edu/pubs/reports/2009-05.pdf|
|Descriptors:||foreclosure, housing market, foreclosure response|
|Abstract:||Because surging foreclosures have been a major cause of a larger economic recession, much of the national conversation around foreclosures has been about their macroeconomic effects and the impacts on the broader financial and real estate economies. But foreclosures also have local effects, leaving behind devastated households, disrupted communities, distressed municipalities, and damaged regions. In the absence of federal and state policies, local actors have stepped in to try to deal with the challenge of spreading foreclosures. Little systematic research has been conducted on metropolitan responses to the foreclosure threat. Our research is based on dozens of interviews conducted in 2008 in six metropolitan areas.
In this paper we examine the response to foreclosures in six metropolitan areas: St. Louis, Cleveland, East Bay (CA), Riverside, Chicago and Atlanta. The first two are classic weak market metro areas, the second two are traditionally strong market metros, and the last two might be called "mixed market" metros. One of the basic lessons of our research is that the differences between traditionally strong and weak market metropolitan areas must be taken into account when designing policy responses at the local, state, and federal level. [Introduction Excerpt]