Tissa said that the companies failed to pay the mortgage for their $4 million loan. The properties located at 210 Torrington Road, 115 Torrington Road, 193 Torrington Road, 214 Torrington Road and 331 Phelps Road were used as collateral in a 2007 deal which named more than 20 guarantors, including Silano’s attorney Ralph Crozier and Aurora Rosa, his business partner.

The multi family homes project is said to be the biggest in the real estate development history of Winsted. The project includes development of 455 adult subdivision units, 225 condominium units and a 641-acred golf course.

The Winsted Planning and Zoning Commission approved the development project which was planned in two phases, sometime in 2006 and 2008. The work has already started in the area planned for a subdivision.

According to industry experts, both Winchester Highland Ridge and Winchester Estates LLC owed unpaid taxes amounting to $10,894, plus interest. Both companies’ taxes were unpaid since 2006.

Meanwhile, Pension Services has filed a lawsuit against Winchester Estates for payments exceeding $340,000. Pension Services said that Winchester Estates had defaulted on its mortgage. Additionally, TD Bank also filed a breach of contract lawsuit against Silano after he allegedly issued a bad check. The bank is demanding payment of $105,000.

Industry experts said many real estate development projects are going into foreclosures. What is happening in Connecticut is mirrored across the country as foreclosure rates continued to soar. Many development projects are vacant or halfway constructed.

Experts said that lenders are refusing to provide refinancing to many developers because they are unsure about the current market situation and they do not want to risk putting their money on an unstable market. Many of them would approve to restructure troubled loans only if developers would be able to provide new cash infusion on their projects.

Additionally, multi family homes developers are hesitant to take more risks on the housing market as home prices and values continued to drop drastically.

According to industry experts, auctions allow investors to purchase the best foreclosure properties at cheap prices. Investors can check out foreclosure listings if they are interested in finding available foreclosure homes at Hialeah and the surrounding areas.

Most foreclosure listings feature multi-family and single houses, duplexes and buildings of various kinds. Typically, foreclosure of a Hialeah distressed property takes only almost two months. At the end of three months, the foreclosure property will be placed on the auction block.

The auction is usually conducted by the court clerk who will also be responsible for turning over the property to the winning bidder. Notices of sale will be released which contain all the necessary information such as the place and time of auction and case details.

HUD-foreclosed houses are popular in Hialeah and its surrounding areas, especially after the hurricanes in Florida. Majority of HUD-foreclosure houses are sold at very low prices. Usually, the preference to buy the foreclosed property is given to owner-occupants.

Previous owners who want to buy back their property should arrange their finances before the auction. A pre-approved loan will give them leverage during the auction. Usually, the HUD provides incentives to encourage repairs of the Hialeah foreclosure homes.

Meanwhile, seized property auctions are common in Hialeah. After various notices and homeowners still failed to find ways to remain on their properties, the distressed houses will finally by seized due to non-payment of mortgage.

Once the lender acquires the distressed home, it becomes a repossessed property. The lender has the option to remodel or refurnish the repossessed property to boost its resale value. Industry experts said that repossessed properties are great bargains as they can be bought at very cheap prices.

Many lenders in Hialeah conduct foreclosure auctions and anyone who has the means can join in the bidding process. Many first-time homebuyers prefer to buy foreclosure properties at auctions because of their low prices.

Countywide, home buyers, real estate investors and agents seeking foreclosure properties, real-estate owned and auction opportunities can find great deals in Miami-Dade. The most populated county in Florida, Miami-Dade is an international playground attractive to foreign visitors.

However, with the continuous rise in the number of unsold properties, the unabated spread of foreclosure and the falling home prices, experts do not expect an immediate housing market recovery.

According to the U.S. Department of Commerce, construction of apartments and new homes declined 12.8 percent in April to an annual seasonally adjusted rate of 458.000 units. The numbers were the lowest in the construction activity record. Furthermore, new building permit applications also declined 3.3 percent to year-over-year rate of 494,000, still the lowest data on the record.

The biggest decline in building permit applications and construction activity last month was seen in the multifamily sector. On the other hand, single-family permit applications and construction both increased, indicating that this sector of the house construction is starting to get back on its feet and on its way to stability.

Despite the continuous increase in foreclosures in the country, single-family house construction performed a 2.8 percent jump, reflecting a yearly rate of 368,000 construction. In March, construction activity at the single-family home level showed a gain of 0.3 percent, but figures remained unchanged in February.

BMO Capita Markets economist Benjamin Reitzes said that the overall housing construction in the United States remains very weak. However, he pointed out that the show of stability in single-family home permit applications and construction is encouraging.

Meanwhile, multifamily home construction declined 46.1 percent to 90,000 units annually, with a 23 percent drop in March. Permit applications for multifamily construction also dropped by as much as 19.9 percent to 121,000 houses.

According to analysts, the apartment construction activity was severely affected by the flood of condominiums on the market and by strict credit conditions for the commercial real estate.

Analysts noted that the recovery for single-family home construction will be far from coming as massive unemployment and the unabated foreclosures continue to wreak havoc on this sector.

Paul Dales of Capital Economics said that low-priced bank foreclosed home and the excess new homes supply on the market have made new home construction less appealing.