BofA to increase foreclosures significantly

I see those record Wall Street compensations are well-deserved!

Record Wall Stret compensations made possible By Federal Reserve's record low interest rates. The only beneficiaries of zero interest rate policy. See Thomas Hoenig's comments.

The foreclosure numbers have been down recently because of the modification efforts, but there are more loans not qualifying for modifications and more loans defaulting on modifications, the foreclosure numbers will rise drastically....

Modifications are designed to delay foreclosure, not avoid them. The skeptical view is that BAC is managing the foreclosure/modification process to maximize their earnings and capital position. While they can't dispose of the properties its in their interest to keep the "home owner" in their home even at zero mortgage payment on the theory that these people are watching the property and saving BAC from hiring security and maintaining it.

Riversider:

That's a good point, a lot of people are under the impression they can be completely saved by the modifications, I guess it's just buying time until they are forced to move, very interesting...

There have been large numbers of loans that were never eligible for mods. Banks chose not to foreclose until their balance sheets were better. Plenty of additional foreclosures could have occurred over the past couple of years but the banks didn't want the properties. People living housing-cost free has likely added billions to PCE numbers. Things are indeed looking up.