twitter linkedin
facebook google+

Mortgage News

News by Subject
Complete list of specialty news sections.

Purchase Subscription
Subscribe to and get immediate access to all news, statistics and archives.

Mortgage Advertising
Reach mortgage executives, loan originators and other people tied to mortgage industry.

Consumer Mortgage News
Free mortgage news for prospective borrowers.

Mortgage Newsletter
Free e-mail newsletter with the latest headlines from

Mortgage News Reprints
Put entire stories in your online or printed newsletter or publication.

Mortgage Feedget RSS code
Condensed stories free on your Web site or for your RSS reader.

News Archives
Archive of stories by month going back to 1999.

Press Releases
Reports and announcements from

Mortgage Statistics
Data and statistics for real estate finance.

Mortgage Directories
Directories of lenders, branch operators and mortgage service providers.

Mortgage Graphs
Directories of lenders, branch operators and mortgage service providers.

home subscribe advertise reprints e-mail help RSS about us LOG IN

Mortgage News


Mortgage News

HOT Topics









site map
Servicing News | Servicer Ranking | Delinquency Statistics
Stories about mortgage servicers, delinquency and f o r e c l o s u r e s. Coverage of servicing lawsuits and loan servicing technology.

FHA, Subprime Performance Improves as Overall Delinquency Worsens

6.41% Q2 delinquency

Sept. 5, 2008

By Mortgage Daily staff

Quarterly delinquency rose while foreclosure activity reached a record. But delinquency on subprime and FHA mortgages improved. In addition, states with the highest levels of foreclosures were not among states with the worst delinquency -- suggesting the delinquency cycle may be starting to mature.

Mortgage delinquency of at least 30 days was 6.41% as of June 30 on a seasonally adjusted basis, according to the National Delinquency Survey announced by the Mortgage Bankers Association today.

Delinquency rose from 6.35% in the first quarter and 5.12% during the second-quarter 2007, MBA said.

On just prime loans, delinquency was 3.93%, climbing from 3.71% in the first quarter.

But second-quarter subprime delinquency declined to 18.67% from 18.79%, the report indicated. While fixed-rate subprime mortgage late payments rose to 16.02% from 15.38%, subprime adjustable-rate mortgage delinquency fell to 21.03% from 22.07%.

The improvement in subprime activity follows a report from HOPE NOW in July which indicated subprime delinquency fell 1 basis point from the first quarter to 13.27 percent.

Late payments on loans insured by the Federal Housing Administration also were down, falling for the second straight quarter to 12.63% from 12.72 in the first quarter.

The states with the highest delinquency were Mississippi, at a whopping 10.44%; Michigan, which stood at 8.55%; Georgia, at 8.06% delinquency; Indiana, at 7.97%; and Tennessee, with 7.70%.

The lowest level of late payments was in North Dakota, with 2.78% delinquency.

The rate of U.S. loans for which a foreclosure was started was a record 1.19%, climbing from 0.99% the prior quarter and 0.65% the prior year.

The foreclosure start rate on prime loans rose to 0.67% from 0.54% in the first quarter, while subprime foreclosure starts climbed to 4.70% from 4.06%. Foreclosure starts on FHA loans increased to 1.03% from 0.87%.

The highest foreclosure-start rates were in Nevada, at 2.24%; Florida, with 2.21%; and California, with 1.82%. The lowest foreclosure-start rate was in Wyoming, with 0.28%.

"Subprime ARM loans accounted for 36 percent of all foreclosures started and prime ARMs, which include option ARMs, represented 23 percent," MBA Chief Economist Jay Brinkmann said in the report. "However, the increase in prime ARMs foreclosure starts was greater than the combined increase in fixed-rate and ARM subprime loans."

Brinkmann noted that California and Florida alone accounted for 39 percent of all of the foreclosures started during the latest period.

The inventory of U.S. mortgages in foreclosure at the end of the second quarter was also a record -- at 2.75%, climbing from 2.47% the prior period and 1.40% the prior year.

The prime foreclosure rate rose to 1.42% from 1.22%, and the subprime rate increased to 11.81% from 10.74%. On FHA loans, the foreclosure rate decreased to 2.24% from 2.40% in the first quarter.

Florida had the highest foreclosure inventory on June 30, at 6.00%. Nevada was next, at 4.92%, then Ohio, at 3.97%. The lowest foreclosure rate was in Wyoming -- where just 0.59% of loans were in foreclosure.

"The national foreclosure numbers continue to be driven by the hardest hit states continuing to get much worse," Brinkmann stated. "The increases in foreclosures in California and Florida overwhelmed improvements in states like Texas, Massachusetts and Maryland."

FHA News | Government Resources | M o r t g a g e e Letters | FHA Statistics
FHA, VA and HECM mortgage news. HUD and G i n n i e news also. Originations, servicing and FHA approval.

Nonprime and Subprime News | Subprime Statistics
Stories about non-QM products. Coverage of subprime, Alt-A and
hard money lending. Home-equity loans and home-equity lines of credit.

Logout forgot

SUBSCRIBERS: Edit Subscription | Subscription Help | or call 214.521.1300

Subscribe Contact Us Site Map

Copyright © 2017 Mortgage Daily, D a l l a s
Subsribers Only:

AMC directory

ARM indexes

mortgage company directory

mortgage regulations

net branch directory

p r i c i n g engine directory

wholesale lender directory

More Mortgage News Resources (full site map):

advertising news

appraisal news

bank news

biggest lenders

commercial mortgage news

corporate mortgage news

credit news

FHA news

financial regulation news

foreclosure news

GSE news

jumbo mortgage news

interest rates

loan modification news

loan originator survey

LOS Newsletter


mortgage associations

mortgage-backed securities

mortgage books

mortgage brokers

mortgage compliance

mortgage conferences

mortgage directories

mortgage education

mortgage employment

mortgage employment index

mortgage executives

mortgage fraud

mortgage fraud blog

mortgage fraud local news

Mortgage Fraud Index

Mortgage Graveyard

mortgage insurance news

mortgage lawsuits

mortgage leads

mortgage lender ranking

mortgage licenses

mortgage litigation

Mortgage Litigation Index

Mortgage Market Index

mortgage mergers

mortgage news

mortgage politics

mortgage press releases

mortgage production

mortgage public relations

mortgage rates

mortgage servicing

mortgage statistics

mortgage technology

mortgage video

mortgage Webinars

net branch

net branch directory

nonprime news

origination news

originator tools

real estate news

refinance news

reverse mortgage news

secondary marketing

social media

servicing news

subprime news

wholesale lenders