Panorama of a city business district with office buildings and skyscrapers and superimposed data, charts and diagrams related to stock market, currency exchange and global finance. Blue line graphs with numbers and exchange rates, candlestick charts and financial figures fill the image with a glowing light. Sunset light.
Breaking Stories

Freddie Mac: Mortgage Serious Delinquency Rate decreased in January

by Calculated Risk on 2/24/2022 05:01:00 PM

Freddie Mac reported that the Single-Family serious delinquency rate in January was 1.06%, down from 1.12% in December. Freddie’s rate is down year-over-year from 2.56% in January 2021.

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”.

Click on graph for larger image

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 0.07%, down from the peak of 0.20% in April 2021.

What's your reaction?

Excited
0
Happy
0
In Love
0
Not Sure
0
Silly
0

You may also like

Leave a reply

Your email address will not be published. Required fields are marked *