• The national delinquency rate rose to 3.29% in September, up 12 basis points (BPS) from August and +13BPS year over year, marking only the second – and largest – annual increase in the past 2.5 years
• Despite the rise, the delinquency rate is still 71BPS below the level of pre-pandemic September 2019
• Loans 30 days past due rose by 48.8K (+5.1%) – marking the fourth consecutive monthly rise – while the 60-day delinquent population extended its own streak of increases (+8.7K; +3.0%) to six months
• At the national level, serious delinquencies (90+ days past due) rose by 7K to 455K, but remain 6.7% below September 2019 levels
• While overall delinquencies have risen, the number of loans in active foreclosure fell to 214K in September, its lowest point since March 2022 and some 25% below 2019 pre-pandemic levels
• Foreclosure starts also declined, falling by -20.4% in the month to 25.4K, with completed sales down 8% from the month prior
• Prepay activity (measured as single-month mortality) dropped to 0.45% under continued pressure from seasonal homebuying patterns confounded by interest rates north of 7%, and is down -26% year over year
emphasis added
According to Black Knight’s First Look report, the percent of loans delinquent increased 3.7% in September compared to August and increased 4.3% year-over-year.
Black Knight reported the U.S. mortgage delinquency rate (loans 30 or more days past due, but not in foreclosure) was 3.29% in August, up from 3.17% the previous month.
| Black Knight: Percent Loans Delinquent and in Foreclosure Process | ||||
|---|---|---|---|---|
| September 2023 |
August 2023 |
|||
| Delinquent | 3.29% | 3.17% | ||
| In Foreclosure | 0.40% | 0.41% | ||
| Number of properties: | ||||
| Number of properties that are delinquent, but not in foreclosure: |
1,749,000 | 1,684,000 | ||
| Number of properties in foreclosure pre-sale inventory: |
214,000 | 215,000 | ||
| Total Properties | 1,963,000 | 1,899,000 | ||