• The national delinquency rate fell 3 basis points (bps) to 3.26% in October, marking a 9 bps (-2.8%) improvement from the same time last year
• Serious delinquencies (90+ days past due) fell to 447K, once again hitting their lowest levels since 2006
• Loans 30-days late also declined, marking the first such improvement in five months
• Despite the improvement in delinquencies, foreclosure starts rose to 33K in October, hitting their highest levels in 18 months – while the number of foreclosure sales (completions) remained relatively flat
• Active foreclosure inventory inched up 3K to 217K, but remains more than 25% below prepandemic levels
• While foreclosure starts rose in October, near term risk remains muted, with serious delinquencies historically low and more than 70% of such loans protected from foreclosure by loss mitigation efforts
• Prepay activity (measured as single-month mortality) dwindled to just 0.43% under continued seasonal pressure, despite interest rates easing somewhat from the prior month
| Black Knight: Percent Loans Delinquent and in Foreclosure Process | ||||
|---|---|---|---|---|
| October 2023 |
September 2023 |
|||
| Delinquent | 3.26% | 3.29% | ||
| In Foreclosure | 0.41% | 0.40% | ||
| Number of properties: | ||||
| Number of properties that are delinquent, but not in foreclosure: |
1,734,000 | 1,749,000 | ||
| Number of properties in foreclosure pre-sale inventory: |
217,000 | 214,000 | ||
| Total Properties | 1,951,000 | 1,963,000 | ||