Thursday, February 20, 2020

Black Knight's First Look: National Mortgage Delinquency Rate Decreased in January, Lowest Level on Record

by Calculated Risk on 2/20/2020 10:15:00 AM

From Black Knight: Black Knight’s First Look: Mortgage Delinquencies Fall to Lowest Level on Record; January Sees Strongest Decline in More Than a Year

• Mortgage delinquencies fell by more than 5% in January, hitting their lowest level on record dating back to 2000

• January’s 14% year-over-year decline is the strongest in more than 12 months, with the rate of improvement picking up noticeably in recent months

• There are now fewer than 2 million homeowners past due on their mortgages or in active foreclosure, the fewest since March 2005

• Despite the decline in delinquencies, foreclosure starts edged upward in January, but remain nearly 15% below last year’s levels

• The number of loans in active foreclosure remained relatively flat for the month (+1,000 properties in foreclosure), and down 19,000 from the same time last year, leaving the national foreclosure rate unchanged

• Though falling by 15% in January, prepayment activity remains 113% above last year’s levels
According to Black Knight's First Look report for January, the percent of loans delinquent decreased in January compared to December, and decreased 14.2% year-over-year.

The percent of loans in the foreclosure process increased slightly in January, and were down 9.2% 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 3.22% in December, down from 3.40% in December.

The percent of loans in the foreclosure process was unchanged at 0.46% from 0.46% in December.

Black Knight: Percent Loans Delinquent and in Foreclosure Process
  Jan
2020
Dec
2019
Jan
2019
Jan
2018
Delinquent3.22%3.40%3.75%4.31%
In Foreclosure0.46%0.46%0.51%0.66%
Number of properties:
Number of properties that are delinquent, but not in foreclosure:1,705,0001,803,0001,945,0002,202,000
Number of properties in foreclosure pre-sale inventory:246,000245,000265,000337,000
Total Properties Delinquent or in foreclosure1,951,0002,047,0002,210,0002,539,000