Serious Delinquencies Improve, Foreclosure Starts Decline

April brought continued delinquency improvements, with serious delinquencies down to one of their best levels in nearly 20 years. That’s according to new data from ICE, which showed that the national delinquency rate fell to 3.09% in April, the second-lowest level ever recorded. This is only bested by March 2023’s low of 2.92%, and a 22 bps improvement YOY. Serious delinquencies (loans 90+ days past due but not in active foreclosure) fell to their lowest point since August 2005, down 4% from March and 16.8% YOY. At the same time, the number of 30-day delinquencies slipped to an 8-month low, while 60-day delinquencies outperformed the last 10 months. Foreclosure starts also declined 0.8% from March, leading to active foreclosures dipping…

FHA, VA Loans Saw Delinquencies Rise In November

Delinquencies rose in November but remain historically low despite some worrying data about FHA and VA loans. That’s according to ICE’s First Look at November Mortgage Performance, which clocked delinquencies at 3.39% last month. This is down 10 bps YOY and remains 64 bps below pre-pandemic levels. Serious delinquencies– loans with missed payments more than 90 days late– increased to 459,000 but are 21% lower than the same time last year. But while loans remain strong overall, FHA delinquencies hit a 9-year high (excluding the immediate aftermath of the pandemic). Early-stage delinquencies for VA loans also surged, reaching their highest non-pandemic levels since 2009. Recently originated mortgages are suffering the most thanks to the high interest rates of late 2023.…

Delinquencies Fall To Record Low

The overall mortgage delinquency rate fell to a record low in March, according to new data from CoreLogic. Just 2.6% of all mortgages in the U.S. were in some stage of delinquency, down 0.3% from March 2022 and 0.4% from the month prior. This is the lowest level ever recorded. CoreLogic chalks it up to the country’s unemployment rate, which is at a 50-year low.   Serious delinquencies in particular benefitted, down 1.5% YOY to 1.1% of all mortgages, a 23-year low. Early-stage delinquencies (1.1%) and adverse delinquencies (0.3%) were unchanged YOY. The share of mortgages in some stage of foreclosure (0.3%) and the share that transitioned from current to early-stage (0.5%) were also unchanged from the same time last…

Delinquencies Rose Again In February, But Prepayment Activity Is Up

Delinquencies across the nation rose in February to 3.45% as economic pressures squeeze Americans, but remain down from last year, Black Knight reported. Black Knight’s First Look at February 2023 data found that delinquent loans that are only a single payment behind overwhelmingly accounted for the increase. The 36,000 delinquency rise was driven by a 65,000 increase in first-time missed payments. Delinquencies of 60 and 90 days both fell, down by 12,000 (-4%) and 17,000 (-3%) respectively. Nearly all fifty states saw their serious delinquencies improve. On the other end, foreclosure starts also improved, breaking a streak of increases with a 9% dip. Starts remain almost 20% below pre-pandemic levels. Active foreclosure inventory increased slightly and is up 15% from…

Morning Roundup (3/8/2022)– Working With Professionals In Person Is Important When Buying Property

Good Morning! Today is Tuesday, March 8. Ukrainians defended two crucial cities yesterday, shooting down three Russian fighter jets over Kyiv and preventing troops from entering Mykolaiv, on the Black Sea coast. Florida will recommend that healthy children not get a vaccine, contradicting the C.D.C. The Mortgage Note Reports Working With Professionals In Person Is Important When Buying Property: The CEO of Comey & Shepherd in Cincinnati says there is something to be said for working with realtors and mortgage lenders in person at a time when it seems like more and more of the home buying process can be done from a cell phone. Big City Glow Up: Gen Z is reviving urban hotspots assumed to be dying out …

Delinquencies Fell To 4.65% In Q4 2021

Delinquencies on residential properties fell to 4.65% of all outstanding loans in Q4 2021, according to the Mortgage Bankers Association’s (MBA) National Delinquency Survey. The delinquency rate fell 23 basis points from Q3 2021 and 208 basis points year-over-year (YOY). Q4’s delinquency rate was 67 basis points lower than MBA’s survey average of 5.32%, while the rate for seriously delinquent loans was 2.83%, close to the longer-term average of 2.80%. MBA’s survey classifies loans as delinquent if the payment was not made based on the original terms of the mortgage. “Mortgage delinquencies descended in the final three months of 2021, reaching levels at or below MBA’s survey averages dating back to 1979,” said Marina Walsh, CMB, MBA’s Vice President of…