Brief excerpt:
Single-family serious delinquencies decreased in February, and multi-family serious delinquencies decreased after the huge surge in January.
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Freddie Mac reports that the multi-family delinquencies rate declined to 0.35% in February, and down from 0.44% in January.
This graph shows the Freddie multi-family serious delinquency rate since 2012. Rates were still high in 2012 following the housing bust and financial crisis.
The multi-family rate increased following the pandemic and has increased recently as rent growth has slowed, vacancy rates have increased, and borrowing rates have increased sharply. The rate surged higher in January but declined in February but is still at a high level. This will be something to watch as more apartments come on the market.
