Jobs Will Alleviate Impact of California Foreclosure Homes
September 30th, 2009 by 
jdefoe
The number of California foreclosure homes is one of the highest in the country. The impact of the foreclosure problem has been staggering and widespread. Aside from the foreclosure problem, the current economic downturn has also resulted to increase unemployment rate and drop in median home prices and values.
Hardest hit in the state is the Mid-Valley region. Economic experts said that increasing the employment rate will greatly revive the economy in the region. They said that they have been witnessing signs that the languishing economy in the area will soon start to stir and show some life. Experts said that recovery means will be different from previous efforts.
The current California foreclosure homes crisis was brought about by the hundreds and thousands of homeowners who took out home loans that they could not afford to pay. When the housing market collapse, it left on its wake job losses, business failures and foreclosures.
At the start of this year, California has been in the top five areas nationwide in terms of unemployment and foreclosure rates.
A study of economic trends showed the devastating effects of foreclosures and recession on areas such as Modesto and Stockton. It noted that the recession spread to almost all community sectors.
In Yuba-Sutter, the recession resulted to the failures of retail companies Gottschalks and Mervyns and almost 20 percent unemployment rate, one of the highest among metropolitan areas in the country.
Experts said that the collapse of the housing market was so severe that they did not expect the economy to revive until 2014. Some are bullish about the regional economy, noting the cheap cost of living, incentives and available lands. They said that the region is in line to attract manufacturing jobs in the future.
City officials have decided to allot lands for industry use, which is essential in attracting new employment in the area.
Experts also said that the economic recovery will depend on events happening outside the borders of the county.
Meanwhile, experts said that if Sacramento’s economy would improve, it would entice more homebuyers in the area and could give life to the housing market in both counties of Sutter and Yuba.
