Published July 19, 2010

George Costanza taught us the double dip is something to fear.

Just take one dip and end it. (Peyri Herrera/Flickr)

But WBUR’s Curt Nickisch is not talking about chips and dip. He’s warning about the potential for a second nationwide economic slowdown, following a modest recovery that began last year.

While Massachusetts has fared better than the nation, Curt reports, we don’t live in a vaccuum. People in other states still have to buy what we make — and sell us what we don’t make. That’s why another national dip could hurt our commonwealth.

Now local economists turn their attention toward new foreclosure numbers due out tomorrow. Here is Curt’s prediction:

I expect the number of completed foreclosure proceedings (as in foreclosure deeds) to be up from the same month last year, and the number of foreclosure petitions (the start of the process) to be down from June of last year.  Those would be good indications we’re working through the wave – you have fewer folks going into the pipeline, and more coming out.  But…

The big question is if the slowing housing market will show up in these numbers.  Banks were foreclosing on more because they knew they could unload them quickly in a good market.  If petitions are not down (as in more people behind on payments, thanks to a weak recovery) or deeds are not up (as in banks are afraid to take back the house because they’re not sure they can unload it), then that would tell us something.

Look forward to more reporting on this tomorrow.