twitter linkedin
facebook google+
Search:

Mortgage News

News by Subject
Complete list of specialty news sections.

Purchase Subscription
Subscribe to MortgageDaily.com 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 MortgageDaily.com.

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

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

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

Press Releases
Reports and announcements from MortgageDaily.com.

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

production

servicing

compliance

legal

fraud

secondary

jobs

appraisal

site map

www.loan-academy.com/
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.


Home Loan Performance Encouraging

60-day delinquency expected to drop 19 BPS between 2013 and 2014

Dec. 12, 2013

By Mortgage Daily staff

Mortgage delinquency is on track for its fourth annual improvement, albeit the degree of improvement is diminishing. The outlook for next year is another decline.

In the third quarter of this year, 60-day delinquency on residential loans fell to 4.09 percent from the previous period's 4.32 percent.

Compared to the same three-month period in 2012, the 60-day mortgage delinquency rate was down 124 basis points.

TransUnion, which reported the statistics, issued its mortgage delinquency forecast on Thursday.

The data service provider predicts that mortgage delinquency fill finish the fourth quarter at 3.94 percent.

By the end of 2014, the rate is expected to retreat to 3.75 percent.

While next year will mark the fifth consecutive year of decline, the 19-basis-point drop from the end of 2013 will be the smallest improvement observed during the five-year period. In addition, it will be the first time the decline was less than the previous year since 2010.

"The primary reason for the slowdown will be the pending rise in interest rates, which may hinder home sales while also blocking refinancing as an exit strategy for some mortgage borrowers," TransUnion Group Vice President of U.S. Housing Tim Martin said in the announcement. "Additionally, foreclosure timelines continue to expand in many states, keeping longer vintage delinquencies in the system."

Still, any decline is better than the nearly 50 percent rise in mortgage delinquency during both 2008 and 2009.

The rate peaked at 6.88 percent in the fourth-quarter 2009.

TransUnion expects the biggest decline between 2013 and 2014 -- 25.2 percent -- to occur in Nevada. Florida mortgage delinquency is expected to fall 15.3 percent, while Georgia is forecasted to see an 11.7 percent drop. TransUnion has delinquency falling 10.2 percent in Michigan and 10.2 percent in New Jersey.

Martin said he is "encouraged" that the most hard-hit states are leading the way in delinquency improvement.

North Dakota, where foreclosures have been nearly nonexistent, is expected to have a 47.7 percent increase in delinquency -- worse than any other state.

U.S. subprime mortgage performance has struggled more than the overall population, with 60-day delinquency at 36.56 percent as of September versus 42.96 percent in the first-quarter 2010.

"The encouraging story surrounding subprime delinquency rates is that most of the decline observed has occurred since the beginning of 2012," Martin explained. "As interest rates stayed low, house prices started to rebound -- and that gave many subprime borrowers the option of refinancing or selling their way out of the delinquent mortgage before the log jammed foreclosure process caught up to them."

In the second-quarter 2007, when TransUnion first started tracking home loan delinquency, the overall rate was 2.23 percent and the subprime rate was 20.52 percent.

next story

back to current headlines

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
password?

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

MBS

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