Mortgage Delinquency Rate Falls To Lowest Level In More Than 12 Years

The overall mortgage delinquency rate in the U.S. fell in August to the lowest level in over 12 years, according to a report just released by CoreLogic.  According to the report, 4.2% of all St Louis home mortgages were 30+ days delinquent in August 2018, a decline of over 14% from a year ago when the rate was 4.9%.  During the same period, seriously delinquent mortgages, those that are 90+ days late, in St Louis dropped from 1.8% a year ago to 1.4% in August 2018, according to the report.

 

Mortgage Loan Delinquency Rates Hit Lowest Level Since 2000

According to a report just released by Corelogic, the 30-59 day mortgage delinquency rate in March (the most recent month reported) fell to just 1.7%, the lowest level since January 2000.  The “seriously delinquency” rate (30+ days late) fell to 4.4% in March, the lowest level sine November 2007, according to Corelogic.

In addition, the “transition rates” all improved as well from a year ago.  Transition rates show which way the borrowers are moving, from slightly delinquent to more delinquent, or from slightly delinquent to current for example.  Below are the transition rates for March 2017, according to the Corelogic report:

  • Borrowers going from current to 30 days late – 0.6% for March 2017, down from 0.7% in March 2016
  • Borrowers going from 30 days late to 60 days late – 11.6% for March 2017, down from 13.2% in March 2016
  • Borrowers going from 60 days late to 90 days late – 20.8% for March 2017, down from 23.1% in March 2016

All of this is good news for the real estate industry as the trends are positive and are is a good “leading indicator” of what is to come.  As mortgage delinquencies decrease, foreclosures, short sales and other distressed home sales decline, putting less downward pricing pressure on the housing market and providing sustainability to the improving housing market.

Speaking of mortgages, if you are considering refinancing, want to know what current rates and terms are, or would like to get pre-approved for a mortgage, I would highly recommend speaking with Ryan Derryberry, a mortgage loan professional with Movement Mortgage.  Ryan is a great guy, is honest and knows his stuff. Movement is a great company, founded and operated on great principals and offer some mortgage products you won’t find anywhere else….More information on Ryan, including his contact info, can be found here.

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Mortgage Delinquency Rates Drop To Pre-Bubble Level

The mortgage delinquency rate (home owners that are 60 days or more delinquent on mortgage payment) dropped to 2.95 percent in the first quarter of 2015, marking the first time the mortgage delinquency rate has been below 3 percent since the 3rd quarter of 2007 when the rate was 2.61 percent, according to a report released this morning by TransUnion.  This is also the 13th consecutive quarter the mortgage delinquency rate has declined from the prior quarter.

Subprime delinquency rate is over 9 times higher…

The report also shows that the mortgage delinquency rate for subprime borrowers fell in the first quart of this year as well, down to 27.23 percent from 29.76 percent during the prior quarter.  Even with the improvement, the mortgage delinquency rate for subprime borrowers is still over 9 times greater than for borrowers overall.  This is a great improvement from the peak however, in the first quarter of 2010, when the rate was 40.48 percent for subprime borrowers.


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Continue reading “Mortgage Delinquency Rates Drop To Pre-Bubble Level

Mortgage Delinquency Rate Forecasted To Drop To Pre-Bubble Rates Next Year

The Mortgage Delinquency Rate, the pre-cursor to, and leading indicator of, foreclosures, which play havoc with home prices, is expected to decline to 3.12 percent by the end of this month and continue to decline next year hitting 2.51 percent by the end of 2015,  according to a forecast just released by TransUnion.  If mortgage delinquency rates fall as lowest as forecast, it will hit the lowest level since the housing bubble burst.  A home mortgage that is 60 days or more delinquent is counted in the mortgage delinquency rate for this report by TransUnion.

The report goes on to state that, even though the forecast is good and the rate will be low relative to what we have seen the past 6 years or so, even if the mortgage delinquency rate hits 2.51% as projected, it will still be significantly higher than the historical norm of 1.5% – 2.0%.

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Mortgage Delinquency Rate Falls To Lowest Level In 5 Years

The mortgage delinquency rate for homeowners 60 days or more delinquent on their mortgages fell below 4 percent during the last quarter of 2013, the first time the delinquency rate has been below 4% since 2008, according to TransUnion.  According to the report, every state in the U.S. saw a decline in mortgage delinquency rates from to the 4th quarter of 2012 to the 4th quarter of 2013 with only two, New Jersey and New York, not seeing a double digit decline. See the info graphic below for more info. Continue reading “Mortgage Delinquency Rate Falls To Lowest Level In 5 Years

Foreclosure Inventory On The Decline But Trend May Be Short-Lived

dennis-norman-realtorThe foreclosure inventory in the U.S. dropped to 3.51 percent in November, a decline of 2.84 percent from the month before, according to the November Mortgage Monitor report released by Lender Processing Services. This trend may not continue though as, during the same period, the mortgage delinquency rate (the precursor to foreclosures) increased 1.2 percent from the month before and has increased 3.7 percent since August. Continue reading “Foreclosure Inventory On The Decline But Trend May Be Short-Lived

Mortgage Delinquencies and Foreclosures Decline in U.S.; St Louis may be lagging behind

dennis-norman-mortgage-delinquences-foreclosureIn October 7.03 percent of homeowners with a mortgage were delinquent on their loan payments, this is a decline of almost 5 percent from the month before and 7.19 percent less than the year before, according to Lenders Processing Services’ First Watch report.  Foreclosure pre-sales (borrowers somewhere in the foreclosure process but have not yet lost their homes) declined 6.77 percent from the month before and was down 15.99 percent from a year ago.  LPS does not break out data specific to St. Louis but recent data from RealtyTrac showed that St Louis foreclosure activity increased over 10 percent in October from the month before and was up over 7 percent from a year ago, so St Louis may be lagging behind the national trend in terms of improvement in foreclosure rates.

Continue reading “Mortgage Delinquencies and Foreclosures Decline in U.S.; St Louis may be lagging behind

Mortgage delinquencies increase for second-consecutive month

st-louis-realtor-dennis-norman-mortgage-delinquency-foreclosure-rate

The mortgage delinquency rate (the percentage of home loans 30 or more days past due) increased in May 1.1 percent from the month before according to the latest “First Watch Report” from Lenders Processing Services (LPS). While it’s a modest increase, this marks the second consecutive month we’ve seen an increase in mortgage delinquency rates reversing the downward trend for the 9 months prior which is not good. Since delinquent mortgages are the precursor to forelcosures and foreclosures have wreaked havoc on home prices, this is something we definitely want to keep an eye on. Continue reading “Mortgage delinquencies increase for second-consecutive month

Mortgage delinquencies increase in November;   Foreclosures decline from month before

The U.S. mortgage loan delinquency rate was 8.15 percent of all home loans in November, up 2.7 percent from the month before and down 9.6 percent from a year ago, according to the “First-Look” report issued by Lender Processing Services, one of the countries largest loan servicers and aggregators of loan performance data. The foreclosure rate, on the other hand, was 4.16 percent in November, a 3.0 percent decrease from the month before and a 2.0 percent increase from a year ago. Continue reading “Mortgage delinquencies increase in November;   Foreclosures decline from month before

Mortgage delinquencies decline in October;   Foreclosures on the rise

The U.S. mortgage loan delinquency rate was 7.93 percent of all home loans in October, down 2.0 percent from the month before and down a whopping 14.6 percent from a year ago, according to the “First-Look” report issued by Lender Processing Services, one of the countries largest loan servicers and aggregators of loan performance data. The foreclosure rate, on the other hand, was 4.29 percent in October, a 2.5 percent increase from the month before and a 9.4 percent increase from a year ago. Continue reading “Mortgage delinquencies decline in October;   Foreclosures on the rise

Mortgage delinquency rate increases for first time since 2009

Dennis Norman St Louis RealtorThis morning, Trans Union released a report showing the national mortgage delinquency rate (the rate of borrowers 60 or more days past due) increased to 5.88 percent (from 5.82 percent in the 2nd quarter) during the third quarter of 2011, after falling in the previous quarter by the largest rate in two years. This is the first time mortgage delinquency rates have increased since the end of 2009. Continue reading “Mortgage delinquency rate increases for first time since 2009

Mortgage deqlinquencies decline in September; Foreclosures on the rise

The “first-look” report from Lender Processing Services, one of the countries largest loan servicers and aggregators of loan performance data, shows mortgage delinquencies decreased 0.5 percent in September from the month before and decreased 12.7 percent from the year before. On the other hand, and perhaps part of the reason for the decline in the delinquency rate, the foreclosure rate increased in September by 1.7 percent from the prior month and was up 8.9 percent from the year before. Continue reading “Mortgage deqlinquencies decline in September; Foreclosures on the rise

Mortgage delinquencies on the rise but down significantly from a year ago

Dennis Norman, St Louis REALTOR - mortgage delinquency ratesMortgage delinquencies in September increased to 2.10 percent of all mortgages, a 2.9 percent increase from the month before when delinquencies were at 2.04 percent but a decrease of over 33 percent from a year ago when the rate was 3.14 percent. The mortgage delinquency rate is something I pay close attention to because it is the “leading indicator” of foreclosures and foreclosures and REO’s are one of the major hurdles to a recovery in the housing market. Once we see delinquency rates decline, we’ll see the impact of foreclosures and REO’s lessen on the housing market and give it a chance to move into a recovery. Continue reading “Mortgage delinquencies on the rise but down significantly from a year ago

Mortgage delinquencies decline in August; down almost 12 percent from year ago

I keep saying that, until the foreclosure rate gets back down closer to a “normal” rate and the REO inventory is absorbed to the point where they are no longer putting such immense downward pressure on home prices, we are not going to see any sort of sustainable recovery in the housing market. It all starts with mortgage delinquencies, and as those go so go foreclosures and REO inventory ultimately. Having said that, we have some good news: A “first-look” report issued by Lender Processing Services, one of the countries largest loan servicers and aggregators of loan performance data, shows mortgage delinquencies decreased 2.5 percent in August from the month before and decreased 11.8 percent from the year before. According to the report, the U.S. foreclosure pre-sale inventory rate increased 0.1 percent from the month before and was up 8.2 percent from the year before. Continue reading “Mortgage delinquencies decline in August; down almost 12 percent from year ago

Mortgage delinquency rate declines by largest rate in two years

Dennis Norman St Louis RealtorThis morning, Trans Union released a report showing the national mortgage delinquency rate (the rate of borrowers 60 or more days past due) decreased for the sixth consecutive quarter, dropping to 5.82% at the end of the second quarter in 2011 which is a 5.98 percent from the prior quarter, the largest quarterly decrease in 2 years. Continue reading “Mortgage delinquency rate declines by largest rate in two years

Mortgage delinquencies and foreclosure inventory increase in June

A “first-look” report issued by Lender Processing Services, one of the countries largest loan servicers and aggregators of loan performance data, shows mortgage delinquencies increased 2.4 percent in June from the month before and decreased 14.7 percent from the year before. According to the report, the U.S. foreclosure pre-sale inventory rate declined 0.2 percent from the month before but increased 12.8 percent from the year before. Continue reading “Mortgage delinquencies and foreclosure inventory increase in June

St. Louis Foreclosure Rate Declines in April; Mortgage delinquencies down significantly

Dennis Norman

The St. Louis foreclosure rate in April was 1.66 percent, down slightly from 1.71 percent the prior month, but up almost 17 percent  from a year ago, according to a report published by CoreLogic. The report shows that the St. Louis Mortgage Delinquency rate (Serious delinquency, 90+ days delinquent) decreased to 4.72 percent in April, down from 4.83 percent the month before and down 13.4 percent from a year ago.

Mortgage Delinquencies and Foreclosure Inventory Decrease In May

A “first-look” report issued by Lender Processing Services, one of the countries largest loan servicers and aggregators of loan performance data, shows mortgage delinquencies decreased 0.1 percent in May from the month before and down over 18 percent from the year before. Other good news in the report is the U.S. foreclosure pre-sale inventory rate declined 0.7 percent from the month before. Continue reading “Mortgage Delinquencies and Foreclosure Inventory Decrease In May

Mortgage Delinquencies Increase in April

A “first-look” report issued by Lender Processing Services, one of the countries largest loan servicers and aggregators of loan performance data, shows mortgage delinquencies increased 2.4 percent in April, changing the downward trend we have seen in the prior few months. The good news in this report is that the U.S. foreclosure pre-sale inventory rate declined 1.6 percent from the month before. Continue reading “Mortgage Delinquencies Increase in April

Mortgage Loan Delinquency Rate Decreased for 5th Consecutive Quarter; Mortgage Loan Demand down as well

Dennis Norman St LouisThe national mortgage delinquency rate for homeowners that are 60 or more days past due decreased in the first quarter of 2011 marking the fifth consecutive quarterly decline according to a report released today by TransUnion. The report shows mortgage delinquencies for the first quarter of 2011 were down 3.4 percent from the prior quarter and down 8.6 from a year ago. Continue reading “Mortgage Loan Delinquency Rate Decreased for 5th Consecutive Quarter; Mortgage Loan Demand down as well

St. Louis Foreclosure Rates Decrease Slightly in February; still up 26 percent from year ago

Dennis Norman

The St. Louis foreclosure rate in February was 1.78 percent, an increase of over 26 percent from a year ago, and just a slight decrease from January’s rate of 1.79 percent, according to a report published by CoreLogic. On a positive note, the report shows that the St. Louis Mortgage Delinquency rate (Serious delinquency, 90+ days delinquent) decreased slightly to 5.09 percent in February from 5.16 percent the month before and down over 13 percent from a year ago.

Continue reading “St. Louis Foreclosure Rates Decrease Slightly in February; still up 26 percent from year ago

Serious mortgage delinquencies increase in January; first increase in more than 6 months

A report issued by Lender Processing Services, one of the countries largest loan servicers and aggregators of loan performance data, shows that the rate of serious mortgage delinquency (90+ days) in January was 8.90 percent, a slight increase from 8.83 percent in December and a 18.8 percent decrease from a year ago. Continue reading “Serious mortgage delinquencies increase in January; first increase in more than 6 months

Foreclosures on the rise in December; Mortgage delinquences decline though

A “first-look” report issued by Lender Processing Services, one of the countries largest loan servicers and aggregators of loan performance data, is somewhat encouraging as it shows the U.S. mortgage delinquency rate (not including foreclosures) for December was 8.83 percent which is a decrease of 2.1 percent from November’s rate of 9.02 percent. Continue reading “Foreclosures on the rise in December; Mortgage delinquences decline though

Foreclosures on the rise in November however mortgage delinquences decline

A “first-look” report issued by Lender Processing Services, one of the countries largest loan servicers and aggregators of loan performance data, is somewhat encouraging as it shows the U.S. mortgage delinquency rate (not including foreclosures) for October was 9.02 percent which is a decrease of almost 3 percent from October’s rate of 9.29 percent. Continue reading “Foreclosures on the rise in November however mortgage delinquences decline

Mortgage loan delinquencies have largest quarterly decline in four years

Dennis Norman St LouisOn the heels of the post I just did on shadow inventory, it is good to see a positive report on mortgage delinquencies! According to a report issued by TransUnion, mortgage loan delinquencies in the third quarter of this year declined 3.45 percent to 6.44 percent, marking the largest quarterly decline since the fourth quarter of 2006.

Continue reading “Mortgage loan delinquencies have largest quarterly decline in four years