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Friday, September 11, 2020

Black Knight: Number of Homeowners in COVID-19-Related Forbearance Plans Decreased

by Calculated Risk on 9/11/2020 01:32:00 PM

Note: Both Black Knight and the MBA (Mortgage Bankers Association) are putting out weekly estimates of mortgages in forbearance.

This data is as of September 8th.

From 1.7M Forbearance Plans Set to Expire in September

Improvement in the number of active forbearance plans continued this past week. Entering the month, more than 2M forbearance plans were set to expire in September.

That number’s already down 350K to 1.7M in the first full week of the month as those expirations begin to be assessed for extensions and removals.

After dropping by nearly 150K last week, the total number of mortgages in active forbearance declined another 66K (-2%) this week.
All in all, active forbearances are now down 238K (-6%) over the past 30 days, as servicers continue to proactively work their way through the wave of forbearance plans set to expire in September.

As of September 8, 3.7M homeowners remain in COVID-19-related forbearance plans. That’s down more than 22% from the peak of over 4.7M in late May
emphasis added
Black Knight ForbearanceClick on graph for larger image.

CR Note: We might see an increase in forbearance requests in September without further relief, although the lack of disaster relief is probably hitting renters harder.