Mortgage loan delinquencies dropped to 3.45% of all loans outstanding in Q3 2022, once again breaking the record for the lowest point since 1979. According to MBA’s National Delinquency Survey, delinquencies were down 19 BPS from Q2 and 143 BPS from a year earlier. Foreclosure starts and loans in the process of foreclosure also fell further, and remain below historical averages. “The relatively small number of seriously delinquent homeowners are working with their mortgage servicers to find foreclosure alternatives, including loan workouts that allow for home retention,” said Marina Walsh, CMB, MBA’s Vice President of Industry Analysis. Alternatives can include reinstatement, loan modification, deed-in-lieu of foreclosure, or short sale. Booming home equity is one of the reasons foreclosures have remained…
The number of loans in forbearance fell 11% in April from 1.05% of servicers’ portfolio volume to 0.94%, according to the Mortgage Bankers Association’s (MBA) Loan Monitoring Survey. MBA now estimates that 470,000 homeowners remain in forbearance plans. Of Fannie and Freddie loans, the number in forbearance dropped 6 basis points to 0.43%. Ginnie Mae loans saw an 11 basis point drop to 1.49%, while PLS and portfolio loans saw a 29 point decline to 2.15%. “With the number of borrowers in forbearance decreasing to less than half a million, the pace of monthly forbearance exits reached its lowest level since MBA started tracking exits in June 2020,” said Marina Walsh, CMB, MBA’s Vice President of Industry Analysis. “Servicers are…
Good Morning! Today is Friday, April 29. Russian missiles struck Kyiv. President Biden asked Congress for an additional $33 billion to aid Ukraine, which would more than triple U.S. spending on the war. The F.D.A. plans to ban sales of menthol cigarettes. The Mortgage Note Reports Rates Fall Back: Mortgage rates declined for the first time after a weeks-long upward streak, averaging 5% last week. Forbearances Steady: In its last weekly report, Black Knight found forbearances largely holding steady in a “typical” pattern for the end of the month. In Case You Missed It: This week, Chuck Green reported on whether there is a brewing housing bubble while Editor Kimberley Haas wrote about how leaders at Rocket Mortgage are working to end the digital divide in Detroit and that a shortage of…
Foreclosure activity rose in all 50 states in Q1 2022, with foreclosure starts and bank repossessions reaching their highest numbers in two years, according to ATTOM’s Q1 2022 Foreclosure Market Report. A total of 78,271 U.S. properties had a foreclosure filing during Q1, up 39% from Q4 2021 and 132% YOY. March alone saw 33,333 properties with foreclosure filings, up 29% from February and 181% YOY. It was the 11th straight month of YOY increases in foreclosure activity. “Foreclosure activity has continued to gradually return to normal levels since the expiration of the government’s moratorium, and the CFPB’s enhanced mortgage servicing guidelines,” said Rick Sharga, executive vice president of market intelligence for ATTOM. “But even with the large year-over-year increase…
Good Morning! Today is Wednesday, April 13. New York Lt. Gov. Brian Benjamin was indicted on public corruption charges stemming from an alleged bribery scheme. Police named a “person of interest” related to the attack on a subway train in Brooklyn that left at least 23 people injured. The Mortgage Note Reports New Delinquency Low: Delinquencies dropped again in January to their lowest rate since at least January 1999 thanks to home price appreciation and the strong jobs market. Open Mortgage CCO: Open Mortgage has appointed Andrea Easter to be its first Chief Compliance Officer. And in other mortgage and housing news… PPI Report: The producer price index rose 1.4% in March and 11.2% from a year ago, both records…
Good Morning! Today is Friday, April 8. The Senate confirmed Judge Ketanji Brown Jackson to the Supreme Court. She will be the 116th justice and first Black woman on the Court. The New York attorney general asked a judge to hold Trump in contempt for not turning over documents in an investigation. The Mortgage Note Reports Mortgage Rates Up Again: Mortgage rates rose to an average of 4.72%, up from last week’s 4.67%, continuing their climb towards 5%. Forbearance Improvements: Early April exits offset two weeks of rising forbearance starts and re-starts, resulting in plan volumes dropping below 700,000 for the first time since the pandemic began. And in other mortgage and housing news… Credit Availability Down: Mortgage credit availability…
Early April exits offset two weeks of rising forbearance starts and re-starts, resulting in plan volumes dropping below 700,000 for the first time since the pandemic began, according to Black Knight’s blog, Vision. Overall, forbearances fell by 63,200 plans last week. GSE plans fell by 24,500 (-11%), followed by FHA/VA (-21,800, -8.1%) and loans held by portfolios and PSLs (-17,000, -16.7%). New plan starts still rose slightly, up to 10,300 (+200). However, last week they dropped to their lowest level in four months, so the uptick may not be cause for concern. Restarts also rose by 1,400 to 21,600. Plan volume is down 66,200 (-8.8%) month-over-month. Forbearance volumes have ticked up some after long periods of decline, but are generally…
Good Morning! Today is Thursday, April 7. More than 2,000 Ukrainians have made their way to the U.S. border from Mexico. Some Biden administration officials tested positive after attending a black-tie event in Washington. The Supreme Court reinstated a Trump administration rule limiting states’ power to enforce the Clean Water Act. The Mortgage Note Reports Love It Or List It? Americans Are Renovating Rather Than Moving: New data shows that 79% of Americans would rather renovate their current home than move to a different one and with $420 billion spent on remodeling projects in 2020 those in the mortgage, real estate, and building industries are taking notice. Editor Kimberley Haas reports. Housing Market Pessimism: Consumer sentiment towards home buying fell…
Homeowners facing foreclosure can now stall proceedings while waiting to receive federal aid. The Federal Housing Agency (FHA) announced that Freddie Mac and Fannie will require servicers to suspend foreclosure activities for up to 60 days if the servicer has been informed that the borrower applied for assistance through the Homeowner Assistance Fund. “FHFA is committed to sustainable homeownership. Today’s action will provide borrowers who need temporary mortgage assistance with additional time to be evaluated for relief through their state’s approved Homeownership Assistance Fund,” said FHFA Acting Director Sandra L. Thompson. The move is meant to help homeowners on the brink of foreclosure who may still be struggling to make on-time payments. The HAF provides up to $9.96 billion for…
Good Morning! Today is Friday, April 1. Russia’s defense ministry announced a cease-fire in Mariupol. The U.S. imposed new sanctions on Russian technology companies. The House passed a bill to limit the cost of insulin to $35 a month, sending it to the Senate. The Mortgage Note Reports Rates Rise: Mortgage rates jumped again to an average of 4.67%. Forbearances Up Slightly: Forbearances rose slightly again last week, though new plan starts dropped to 10,100, the lowest level in four months. And in other mortgage and housing news… Jobs Report: The unemployment rate fell to 3.6% in March, while payrolls saw big gains, according to Labor Department data. Listing In April: Homes listed for sale in the second half of…
