Thursday, August 23, 2018

Black Knight: National Mortgage Delinquency Rate Decreased in July, Lowest Since March 2006

by Bill McBride on 8/23/2018 02:59:00 PM

From Black Knight: Black Knight’s First Look: Increased Mortgage Cures in July Push Delinquencies to Lowest Level Since March 2006; Foreclosure Starts Rise 11 Percent

• Continued hurricane-related cure activity pushed delinquencies to their lowest level in more than 12 years

• Foreclosure starts rose 11 percent over June’s 17-year low to 48,300, for the highest total in three months

• Though starts rose nationwide, foreclosure referrals in hurricane-affected areas of Texas increased by a higher-than-average 19 percent

• Fewer completions and an increase in starts caused foreclosure inventory to rise slightly in July, for just the second such increase in the past three years

• Improving delinquencies outweighed the slight increase in foreclosures, bringing the total non-current population (all loans 30 or more days delinquent or in active foreclosure) to a more than 12-year low
According to Black Knight's First Look report for July, the percent of loans delinquent decreased 3.4% in July compared to June, and decreased 7.5% year-over-year.

The percent of loans in the foreclosure process increased 0.7% in July and were down 27.3% over the last year.

Black Knight reported the U.S. mortgage delinquency rate (loans 30 or more days past due, but not in foreclosure) was 3.61% in July, down from 3.74% in June.

The percent of loans in the foreclosure process increased slightly in July to 0.57% (from 0.56% in June).

The number of delinquent properties, but not in foreclosure, is down 125,000 properties year-over-year, and the number of properties in the foreclosure process is down 105,000 properties year-over-year.

Black Knight: Percent Loans Delinquent and in Foreclosure Process
  July
2018
June
2018
July
2017
July
2016
Delinquent3.61%3.74%3.90%4.51%
In Foreclosure0.57%0.56%0.78%1.09%
Number of properties:
Number of properties that are delinquent, but not in foreclosure:1,861,0001,925,0001,986,0002,286,000
Number of properties in foreclosure pre-sale inventory:293,000291,000398,000550,000
Total Properties2,154,0002,216,0002,384,0002,836,000