by Calculated Risk on 5/29/2020 04:14:00 PM
Friday, May 29, 2020
Fannie Mae reported that the Single-Family Serious Delinquency increased to 0.70% in April, from 0.66% in March. The serious delinquency rate is down from 0.72% in April 2019.
IMPORTANT: These are mortgage loans that are "three monthly payments or more past due or in foreclosure". So it will take three months for the impact of COVID-19 to show up in this series.
The Fannie Mae serious delinquency rate peaked in February 2010 at 5.59%.
Click on graph for larger image
By vintage, for loans made in 2004 or earlier (2% of portfolio), 2.64% are seriously delinquent (up from 2.48% in March). For loans made in 2005 through 2008 (3% of portfolio), 4.41% are seriously delinquent (up from 4.11%), For recent loans, originated in 2009 through 2018 (95% of portfolio), only 0.38% are seriously delinquent (up from 0.35%). So Fannie is still working through a few poor performing loans from the bubble years.
With COVID-19, this rate will increase significantly in a few months (it takes time since these are mortgages three months or more past due).
Note: Freddie Mac reported earlier.