Freddie Mac: Mortgage Serious Delinquency Rate decreased in November
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Freddie Mac reported that the Single-Family serious delinquency rate in November was 1.24%, down from 1.32% in October. Freddie’s rate is down year-over-year from 2.75% in November 2020.
Freddie’s serious delinquency rate peaked in February 2010 at 4.20% following the housing bubble, and peaked at 3.17% in August 2020 during the pandemic.
These are mortgage loans that are "three monthly payments or more past due or in foreclosure".
Mortgages in forbearance are being counted as delinquent in this monthly report, but are not reported to the credit bureaus.
This is very different from the increase in delinquencies following the housing bubble. Lending standards have been fairly solid over the last decade, and most of these homeowners have equity in their homes – and they will be able to restructure their loans once (if) they are employed.
Also – for multifamily – delinquencies were at 0.09%, down from the peak of 0.20% in April 2021.
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via Calculated Risk https://ift.tt/IiXOKI
December 23, 2021 at 04:48PM
