Foreclosures hitting
close to home

LAFAYETTE, Ind. (WLFI) - Indiana's foreclosure rate is 10th highest in the nation.
Tippecanoe County is ranked 11th in the state.
PEFCU Risk Management Vice President Evelyn Royer said one out of every 460 houses has been foreclosed on.

"In 2007 we had an 11-percent increase in foreclosures. This is Tippecanoe County over 2006.
Seventy-four percent from 2005," Royer said.

Lafayette resident Chris Pullins paid a developer 11-thousand dollars to start building her dream house.
But the builder did not make loan payments and the bank foreclosed.

"We're just gonna have to start all over. And we have to live with my parents for four
more months," Pullins said.
"My kids are having a hard time. (crying) My husband, he just wants a house."

While Pullins had the money to pay her debts---other homeowners got in over
their heads and banks foreclosed for non-payment. That decreased the value of neighboring properties. In Tippecanoe County, Royer said the foreclosure rate is highest in the 47909 zip code. That includes the Benjamin Crossing subdivision---where Jacob Rohder lives.
"It's dropped the value of all these houses. My house has dropped about eight
thousand dollars in value since I bought it a year and a half ago," Rohder said.

While some people in Tippecanoe County are seeing rough times now, Royer
said the future looks brighter.

"It will get better. I'm very optimistic that it will get better overall but right now it's a
tough market for us," Royer said.

And that's an optimistic view Pullins and her family want to hear.
"My dad always just says it's just another bump in the road. We can pick up and
move on," Pullins said.

To avoid foreclosure--Royer offered the following tips.
Always stay within your income level.
Always stay within what you can live with as far as payments.
Avoid adjustable rate mortgages and avoid interest only mortgages.