The share of US households whose mortgages are in forbearance barely dropped this week, with 3.6 million loans still on hold amid the coronavirus pandemic, the Mortgage Bankers Association announced Monday.
MBA’s weekly survey found that 7.20 percent of mortgages were in forbearance as of Aug. 16 – just a touch below the 7.21 percent the week before.
The survey found:
- The share of Fannie Mae and Freddie Mac loans in forbearance also dropped by only 1 basis point to 4.93 percent.
- Ginnie Mae loans in forbearance were flat at 9.54 percent.
- The percentage of loans in forbearance for banks dropped from 7.49 percent to 7.48 percent.
- The share of loans in forbearance for independent mortgage banks increased from 7.42 percent to 7.43 percent.
“The share of loans in forbearance declined for the tenth week in a row, but the rate of improvement has slowed markedly. The extremely high rate of initial claims for unemployment insurance and high level of unemployment remain a concern, and are indications of the challenges many households are facing,” said Mike Fratantoni, MBA’s Senior Vice President and Chief Economist.