Mortgage Delinquencies increase to 10%

Home loan Delinquencies rates in the US reached a record high 10% in December, up from 9.97% in November, which was the previous high, according to Lender Processing Service or LPS.

Accounting for the foreclosures in the pipeline now, the delinquency rate is expected to rise to 13.3% in the next few month. Nationwide 7.2 million loans are now behind in their payments. This figure is sure to rise with unemployment staying above 10%.

Despite all the hype about stabilization in the housing sector, the government literally controlling the mortgage market and the high amount of loans in trouble, I don't see how this market can stabilize. Hold on this ride is going to get ugly.