Freddie Mac Delinquency Rate Dips in May, Loan Mods Increase

June 27, 2012 (Jeff Alan)

The delinquency rate for single-family homes in Freddie Mac’s loan portfolio dipped to 3.50 percent from April to May while loan modifications increased by nearly fifty percent over the previous month according to the recently released Monthly Volume Summary.

In May of last year, the delinquency rate for single-family homes was 3.53 percent.

Delinquency rates for multi-family dwellings in May increased for the third consecutive month, rising from 0.25 percent to 0.26 percent. The delinquency rate in May of last year was 0.38 percent.

Single-family delinquencies are based on the number of mortgages 90 days or more delinquent or in foreclosure as of period end while multifamily delinquencies are based on the unpaid principal balance of mortgages 60 days or more delinquent or in foreclosure as of period end.

Freddie Mac completed a total of 5,091 loan modifications in May, an increase of 47.4 percent over the 3,454 loan modifications completed in April. Through the first five months of 2012, Freddie Mac has completed a total of 22,222 loan modifications, an average of 4,444 per month, which is less than half of their 2011 average of 9,098 loan modifications per month.

Freddie Mac’s total mortgage portfolio decreased at an annualized rate of 9.4 percent from April to May as their total holdings decreased from $2.032 trillion to $2.016 trillion.

Single-family refinance-loan purchase and guarantee volume was $22.1 billion in May, reflecting 72 percent of total mortgage purchases and issuances. That was up from $19.4 billion in April.

Total refinance-loan purchase and guarantee volume was $30.7 billion, up from $25.9 billion in April

Tags: Freddie Mac, Monthly Volume Report, single-family homes, delinquency rates, multi-family dwellings, mortgage portfolio, loan modifications

Source:
Freddie Mac