Monthly business slowed for private mortgage insurers and appears headed lower, but the dollar volume of new policies has nearly doubled over the last year. Defaults declined, and outstanding policies were higher for the sixth month in a row.
Private mortgage insurance was written on 39,220 home loans during November. The number of policies issued slipped from the prior month’s 42,833.
During the 11 months ended Nov. 30, there were 383,186 mortgages insured.
The total represents activity at members of the Mortgage Insurance Companies of America including Genworth Mortgage Insurance Corp., Mortgage Guaranty Insurance Corp. and Radian Guaranty Inc.
Business has improved over the past year. In November 2011, when volume from former MICA member Republic Mortgage Insurance Co. was also included, primary insurance was written on just 25,074 loans.
On a dollar basis, policies were written on $10.407 billion in mortgages during November, down from $11.473 billion a month earlier but nearly double the $5.568 billion written a year earlier.
Year-to-date Nov. 30 dollar volume was $95.731 billion.
Subsequent business is likely to fall even further based on new mortgage insurance applications received, which fell to 41,952 in November from 46,045 the prior month.
Insurance in force expanded to $400.462 billion from $400.016 billion as of Oct. 31. MICA members have reported growth each month since May, when primary insurance in force was $395.582 billion.
A year ago, when Republic’s total was also included, insurance in force was $471.480 billion.
MICA members reported 23,485 primary insurance defaults for November, fewer than the 24,749 in October and 35,188 in the year-earlier period.
Primary insurance cures, meanwhile, fell to 19,801 from 20,068 and were 31,420 in the same month during 2011.
