Mortgage Delinquencies Reach 5-Year Low

A sign of the tighter lending standards enforced since the housing bust, the number of U.S. homeowners behind on their mortgage payments has fallen to the lowest point in over five years, according to new data from the Mortgage Bankers Association (MBA.) Just 6.41 percent of all home loans were delinquent in the third quarter of 2013, a rate not seen since the 2008 second quarter. The new figure is down from 6.96 percent last quarter and 7.40 percent one year ago. Delinquencies include those loans Read more [...]

Baby Boomers Facing Foreclosure at Higher Rate

Many baby boomers who once thought their homes would provide needed wealth in the retirement years are thinking twice now. Foreclosure and delinquency rates among the boomer crowd having been rising, according to a new study from the AARP, suggesting many seniors will have to find new sources of income in their later years. The study, entitled "Nightmare on Main Street: Older Americans and the Mortgage Market Crisis," found that as of 2011 roughly 600,000 homeowners aged 50 or older were in foreclosure. Read more [...]

FHA Delinquencies Continue to Rise

Home sales have been stabilizing, mortgage interest rates remain at rock bottom, and some regions of the country are even seeing home price growth. Yet there remains at least one disturbing sore spot in the housing market: the rising number of FHA-backed mortgage delinquencies. The Federal Housing Administration stepped in to make loans to many of the nation's lower-income and first-time home buyers during the past several years as private lender fled the scene. It seems, however, that there was Read more [...]

Mortgage Delinquencies Could Drop By End of 2012

The rate of late mortgage payments could actually make a sizable drop by the end of next year, as long as there are no new major upsets to the economy, according to credit reporting agency TransUnion. "Although house prices and unemployment will likely face continued pressure next year, this forecast calls for gradual improvements in the second half of 2012 to other key variables, like improving credit quality of new originations, consumer confidence and GDP, that will positively influence homeowners' Read more [...]

Rise in Mortgage Delinquencies is Cause for Concern

Mortgage delinquencies inched up in the second quarter of this year for the first time in five straight quarters, a directional shift that has mortgage regulators a little concerned. According to a new report from the Office of the Comptroller of the Currency, of mortgages that were delinquent between 30 and 59 days, there was 0.4 percent increase to 3 percent in the second quarter from the previous quarter, while for loans that were 60+ days late, the delinquency rate grew 0.1 percent to 4.9 Read more [...]

Mortgage Delinquency Rate Slowly Comes Down

In the wake of much tighter lending standards, mortgage delinquency rates are slowly moving downward. According to data from credit bureau TransUnion, the percent of homeowners who were behind by 60 days or more on their mortgages, fell to 5.82 percent during the second quarter of this year, from 6.67 percent the previous spring. That's a six-quarter streak of delinquency rate declines, and it is also down from the recent market peak of 6.9 percent in the fourth quarter of 2009. Newer homebuyers Read more [...]

Fewer New Foreclosures In April

There might be some reprieve to the foreclosures waves of the past four years. A new report from mortgage market tracking company LPS Applied Analytics shows that only 8 percent of all U.S. home loans were 30 days or more delinquent, but not yet in foreclosure in April. That figure is slightly higher than March's but the good news is that it is down 16 percent from one year ago. Loans that were 90 days past due or already in foreclosure mad up 8 percent as well of the entire mortgage market, and Read more [...]

Mortgage Default Rates Improving, But No Celebration Yet

The newest survey from the Mortgage Bankers Association revealed that the delinquency rate for mortgages fell in the last quarter of 2010, to 8.2 percent of all outstanding loans (not including homes in foreclosure.) That's down from 9.1 percent the previous quarter and 9.5 percent the year before. "These latest delinquency numbers represent significant, across the board decreases in mortgage delinquency rates in the US," Jay Brinkmann, MBA's chief economist said in a press release. "Total delinquencies, Read more [...]

Fannie and Freddie ‘Permitted What They Were Created to Prevent’

Government-sponsored entities Fannie Mae and Freddie Mac may have backed securities that were safer than those sold by Wall Street firms during the housing boom, but that did not stop them from indirectly encouraging bad lending, according to a new report from the Federal Housing Finance Agency. In a study of $10.6 trillion worth of home loans, the FHFA looked at the level of "riskiness" associated with loans that Freddie and Fannie bought from 2001 to 2008 and compared that with the "riskiness" Read more [...]

Mortgages Delinquencies Decline – Is the Foreclosure Rate Next?

Credit reporting agency TransUnion released an exciting piece of news recently: the mortgage delinquency rate fell during the first quarter for the first time in 4 years. The rate of mortgage payments delinquent by 60 days eased to 6.77 percent, down from 6.89 percent in 2009's last quarter. What makes this news exciting is that the late payment rate has generally been an indicator of the direction of foreclosures. "To see it turn down is a very, very strong sign," said FJ Guarrera, vice president Read more [...]