Mortgage delinquency and forbearance numbers are down across the country, according to new data from CoreLogic.
In July 2021, 4.2 percent of mortgages were delinquent by at least 30 days or more including those in foreclosure. This represents a 2.3 percent decrease in overall delinquencies when compared to July 2020.
Looking at the three stages of past due payments, the rate for early-stage delinquencies (30-59 days past due) 1.1 percent in July 2021, down from 1.5 percent year-over-year. The share of mortgages 60-89 days past due was 0.3 percent, down from 1 percent in July 2020.
The serious delinquency rate (90 days or more past due, including loans in foreclosure) was 2.8 percent. That’s down from 4.1 percent in July 2020, and the lowest serious delinquency rate since May 2020. As of July 2021, the foreclosure rate was 0.2 percent, down from 0.3 percent a year earlier.
Even with the encouraging numbers, CoreLogic notes that approximately 1 million people nationwide have been unable to make payments for at least half a year.
“Declining delinquency levels are an encouraging sign of economic improvement and the durability of the housing market,” said Frank Martell, President and CEO of CoreLogic. “Looking ahead to the end of many forbearance and other assistance programs, many borrowers receiving support must consider their financial options, including a potential loan modification, to ensure they stay current and keep foreclosures at bay.”
In July, all states nationwide saw a decrease in annual overall delinquency rates, with New Jersey, Florida and Nevada leading with the largest declines. On a regional level, Los Angeles/Long Beach/Anaheim (as tracked by CoreLogic) found that the region had a serious delinquency rate of 2.5 percent.