Executive paints bleak picture on home-mortgage foreclosures

Foreclosures on home mortgages seem likely to continue rising for at least a year, a market expert predicted Tuesday in Kansas City. A correction is a cycle, Edward Delgado, a Wells Fargo Co. senior vice president, told a forum on home-mortgage foreclosures at the Federal Reserve Bank of Kansas City.

And because cycles take time, it probably will take at least a year, and perhaps 18 to 24 months, for lenders and overextended borrowers to work through problems created during the lending binges of the last few years, Delgado told lenders and members of community service groups at the forum. Kansas City Fed President Tom Hoenig welcomed the housing experts at Tuesday s program, but did not participate in the discussions.

Hoenig is a voting member of the Federal Open Market Committee, which determines interest-rate policy.
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