by Calculated Risk on 9/23/2019 10:16:00 AM
Monday, September 23, 2019
Black Knight's First Look: National Mortgage Delinquency Rate Decreased in August, Foreclosure Inventory Lowest Since 2005
• August’s 36,200 foreclosure starts made for the lowest single-month total since December 2000According to Black Knight's First Look report for August, the percent of loans delinquent decreased slightly in August compared to July, and decreased 1.5% year-over-year.
• The number of loans in active foreclosure inventory also fell; at 253,000, it’s the fewest since 2005
• Prepayment activity – typically a good indicator of refinance activity – continues to press upward, increasing 5% from July to reach a three-year high
• August’s prepayment rate was up 62% from the same time last year and 2.5 times the 18-year low hit in January
• Given a 30-45 day closing window, the month’s prepayment activity reflects June/July interest rates; as rates fell further in August and September, the peak in refinance-driven prepayments is likely still to come
The percent of loans in the foreclosure process decreased 2.4% in August and were down 11.5% 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 3.45% in August down from 3.46% in July.
The percent of loans in the foreclosure process decreased in August to 0.48% from 0.49% in July.
|Black Knight: Percent Loans Delinquent and in Foreclosure Process|
|Number of properties:|
|Number of properties that are delinquent, but not in foreclosure:||1,813,000||1,807,000||1,818,000||2,003,000|
|Number of properties in foreclosure pre-sale inventory:||253,000||258,000||280,000||385,000|
|Total Properties Delinquent or in foreclosure||2,066,000||2,065,000||2,099,000||2,388,000|
Posted by Calculated Risk on 9/23/2019 10:16:00 AM