Friday, May 07, 2021

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

by Calculated Risk on 5/07/2021 01:07:00 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 May 4th.

From Black Knight: Forbearance Volumes Fall by More Than 100K

May continued the strong trend of early forbearance improvements seen each month – the first week of the month saw volumes fall by 105,000 (-4.5%). Declines were seen across the board, with GSE forbearance volumes falling by 39,000 (-5.3%), FHA/VA plan volumes improving by 44,000 (-4.7%) and PLS/portfolio forbearances declining by 22,000 (-3.4%) on the week.

As of May 4, just over 2.2 million (4.2% of) homeowners remain in COVID-19 related forbearance plans, including 2.5% of GSE, 7.4% of FHA/VA and 4.8% of portfolio/PLS loans.

Black Knight ForbearanceClick on graph for larger image.

Some 73,000 plans are still listed with April 2021 expirations, suggesting opportunity may still remain in coming days for additional moderate improvements to be made. Another 350,000 plans are set to be reviewed for extension/removal in May. That number climbs to nearly 900,000 in June, the final quarterly review before early forbearance entrants begin to reach their 18-month plan expirations later this year.
emphasis added