Delinquencies Hit A 25-Year Low
The third-quarter delinquency rate has reached its lowest point in 25 years according to recent data from the Mortgage Bankers Association. Unfortunately, data from Attom Data Solutions revealed that foreclosure filings rose in October.
"Mortgage delinquencies decreased in the third quarter across all loan types — conventional, VA, and in particular, FHA," Marina Walsh, the MBA's vice president of industry analysis, said in a press release, according to National Mortgage News.
"The FHA delinquency rate dropped 100 basis points as weather-related disruptions from the spring waned. The labor market remains healthy and economic growth has been stronger than anticipated. These two factors have contributed to the lowest level of overall delinquencies in almost 25 years."
According to Attom, foreclosure filings were placed on 55,197 properties in October 2019 which happens to be a 13% increase from September 2019. However, the increase could be a norm as the report claims the increase could be caused by lenders who are trying to push filings before the holiday season.
"The latest number is still below where it was a year ago and less than 15% of what it was during the depths of the Great Recession," said Todd Teta, chief product officer at Attom, according to NMN.
To learn more about the state of mortgage delinquencies and the number of foreclosure filings, click on the image above.