Mortgage Delinquencies Increase In May; 1 in 8 Borrowers At Risk of Losing Home

Dennis Norman

Homeowners’ mortgage delinquency rates increased in May 2.3 percent from April rising to 9.2 percent of all mortgages being delinquent. This information comes from a report issued by LPS Applied Analytics, one of the largest mortgage servicers in the U.S.

According to the report there are, as of May 31, 2010, 7.3 million home mortgages currently in some stage of delinquency. After seeing a couple of months of improvement there was a turn for the worse in May of the “deterioration ratio”, the reltionship between the number of loans going to a “worse” status for every one that has improved. In May this deterioration ratio increased to 2.5 loans getting worse for every 1 getting better.

Other highlights from the report:

  • Total U.S. Mortgage delinquency rate 9.20 percent
  • Total U.S. Foreclosure Inventory Rate 3.18 percent
  • States with the most delinquent loans and foreclosures:
    • Florida, Nevada, Mississippi, Georgia, Arizona, California, Illinois, New Jersey
  • States with the fewest delinquent loans and foreclosures:
    • North Dakota, South Dakota, Wyoming, Alaska, Montana, Nebraska, Vermont, Colorado, Iowa and Minnesota

When you really give some thought to these statistics I think you’ll find them disturbing, making even sickening, to think that almost 1 out of every 10 homeowners with a mortgage in the U.S. are delinquent on their mortgage (and ultimately at risk of losing their home) and that about 1 in every 8 borrowers are either delinquent on their mortgage or in some stage of foreclosure. So if sometimes while reading my posts you wonder why I seem somewhat negative, or even cynical, toward some of the reports about a “recovery” of the housing market, now you know why. I’m no economist but I just don’t see how we can have a housing recovery while 1 in 8 of us are either losing or at risk of losing our homes.

Mortgage Delinquency and Foreclosure Rates by State:

Source: LPS Applied Analytics

 

Print Friendly, PDF & Email

8 comments to Mortgage Delinquencies Increase In May; 1 in 8 Borrowers At Risk of Losing Home

  • Deference to author, some good selective information.

  • My programmer is trying to convince me to move to .net from PHP. I have always disliked the idea because of the costs. But he’s tryiong none the less. I’ve been using Movable-type on a variety of websites for about a year and am anxious about switching to another platform. I have heard very good things about blogengine.net. Is there a way I can transfer all my wordpress posts into it? Any help would be greatly appreciated!

  • Good info. Lucky me I reach on your website by accident, I bookmarked it.

  • A powerful share, I just given this onto a colleague who was doing a bit evaluation on this. And he the truth is bought me breakfast because I found it for him.. smile. So let me reword that: Thnx for the deal with! But yeah Thnkx for spending the time to discuss this, I really feel strongly about it and love reading more on this topic. If potential, as you become experience, would you thoughts updating your blog with extra particulars? It’s extremely helpful for me. Huge thumb up for this weblog publish!

  • Way cool, some valid points! I appreciate you making this article available, the rest of the site is also high quality. Have a fun.

  • I don’t even know how I stopped up right here, but I believed this put up used to be good. I don’t know who you’re but certainly you’re going to a famous blogger in the event you aren’t already. Cheers!|

  • Some truly wondrous work on behalf of the owner of this web site, absolutely outstanding written content.

  • You made some decent factors there. I seemed on the internet for the issue and located most individuals will associate with with your website.

Leave a Reply

You can use these HTML tags

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>