According to the Mortgage Banker Associations (MBA) National Delinquency Survey (NDS), the delinquency rate for mortgage loans on one-to-four-unit residential properties increased to a seasonally adjusted rate of 4.36% of all loans outstanding at the end of the first quarter of 2020. Compared to the fourth quarter of 2019, the delinquency rate was up 56 basis points, but down 6 basis point from one year ago. The percentage of loans on which foreclosure actions were started in the first quarter fell by 2 basis points to 0.19%. In prepared remarks MBA’s V-P of Industrial Analysis said, “The mortgage delinquency rate in the fourth quarter of 2019 was at its lowest rate since MBA’s survey began in 1979. Fast-forward to the end of March, and it is clear the COVID-19 pandemic is impacting homeowners. Mortgage delinquencies jumped by 59 basis points – which is reminiscent of the hurricane-related, 64-basis-point increase seen in the third quarter of 2017.”
FEA compiles the Wood Markets News from various 3rd party sources to provide readers with the latest news impacting forest product markets. Opinions or views expressed in these articles do not necessarily represent those of FEA.
Mortgage Delinquencies Rise in First Quarter of 2020