Residential delinquency increased for the eighth consecutive month. But prime performance drove a monthly improvement in new and completed foreclosures, while new and completed subprime foreclosures improved from a year earlier.
During November, home-loan delinquency of at least 60 days was 7.11 percent, according to data released today by HOPE NOW. Late payments rose from 6.61 percent the prior month and 4.85 percent the prior year. Delinquency has been higher each month since March 2009, when it stood at a revised 5.38 percent.
The findings were determined by data from 26 HOPE NOW members that serviced around 37.8 million loans as of October 2009 — including 32.6 million prime mortgages and 5.2 million subprime loans. The group services around 72 percent of all U.S. home loans.
Loans serviced by all U.S. servicers, including HOPE NOW members, totaled around 52,524,000 as of November, the association said. The total included around 46,973,000 prime loans and 5,551,000 subprime mortgages.
Subprime delinquency climbed to 22.15 percent from October’s 19.71 percent and November 2008’s 16.59 percent. Prime delinquency rose to 5.33 percent from the previous month’s 5.06 percent and the previous year’s 3.30 percent.
Foreclosures were started on 201,401 loans during November, lower than 222,107 a month earlier but higher than 167,000 a year earlier. The month-over-month improvement was fueled by prime foreclosure starts, which fell to 136,480 from 158,241 in October. But prime foreclosures were higher than 95,000 in November 2008.
Subprime foreclosure starts fell to 64,921 from 72,000 a year ago. Subprime foreclosures were started on 63,866 loans in October.
Year-to-date Nov. 30, U.S. foreclosures starts were 2,635,976.
Total foreclosures completed fell to 85,162 from October’s 94,450. Real-estate-owned filings, however, were higher than 68,000 in November a year earlier. Between January and November, REO filings totaled 867,790.
Prime REO filings fell to 61,432 from the prior month’s 67,523, while subprime repossessions declined to 23,731 from 26,927. But on an annual basis, prime foreclosures completed were way up from 35,000 during November 2008, while subprime REO filings fell from 33,000.
Workout plans numbered 270,672 in November, lower than 271,563 in October and higher than 202,000 a year ago. Year-to-date workouts added up to 2,910,349.
