A whopping 46,760 notices of default were sent to California homeowners from January to March 2007, an increase of 23.1 percent from the preceding quarter and 148 percent higher from the year-ago period, according to a report by DataQuick.
The number of defaults last quarter was the highest for California since the second quarter of 1997.
The hardest hit areas are said to be the inland regions where many lower-income families flocked to find affordable homes amid record-high home prices in California.
Unfortunately, they were misguided into thinking they could afford a home with the promise of further appreciation and super-low mortgage rates that would seemingly never end.
The data, while extremely negative, is not surprising, and probably just the tip of the iceberg.
The news has most analysts waiting for a surge of foreclosures, which will further dampen the economy and the already sluggish housing market.