The rate of 30-day delinquency, excluding foreclosures, retreated to the lowest level in a dozen years. Foreclosure starts climbed as Texas is still feeling the sting of last year’s hurricane season.
As of July 31, residential loans that were either 30 days past due or in the foreclosure inventory accounted for 4.18 percent of all U.S. mortgages outstanding.
Delinquency tumbled from the preceding month, when the non-current rate was determined to be 4.30 percent. It was also better than 4.68 percent the same month last year.
The data was reported Thursday by Black Knight Inc. An analysis of the data by Mortgage Daily indicates that there were roughly 51,531,100 loans outstanding at the end of last month.
The non-current rate was 9.61 percent in Mississippi — the worst of any state. Next was Louisiana’s 7.78 percent, followed by 6.62 percent in Alabama, 6.36 percent in West Virginia and 5.85 percent in Indiana.
The lowest rate in the nation — 1.91 percent — was in Colorado.
Reflected in the July 2018 U.S. non-current rate was a 30-day rate, excluding foreclosures, of 3.61 percent — the lowest rate since March 2006 — according to Black Knight.
The 30-day rate fell 13 basis points from a month earlier, while it tumbled 29 BPS from a year earlier.
The Jacksonville, Florida-based mortgage service provider said that an increase in cures was behind the improvement.
Also reflected in the rate was a 0.57 foreclosure inventory rate, up a basis point from June but sinking 21 BPS from July 2017.
Black Knight reported that there were 48,300 foreclosure starts last month —
the most since there were 49,300 in April. Foreclosures started in the first-seven months of this year came to 347,100.
“Though starts rose nationwide, foreclosure referrals in hurricane-affected areas of Texas increased by a higher-than-average 19 percent,” Black Knight said.
