Freddie Mac Delinquency Rate Edges Up, Loan Mods Decline

February 27, 2012 (Jeff Alan)

The delinquency rate for single-family homes in Freddie Mac’s portfolio increased for the fifth consecutive month to 3.59 percent in January from 3.58 percent in December according to the recently released Monthly Volume Summary.

That’s the highest level the delinquency rate has been at since last March, but is still well below what it was in January of last year when the delinquency rate was 3.82 percent. The delinquency rate has been on the rise since August, increasing by 2.8 percent during that time period.

Delinquency rates for multi-family dwellings in January declined to 0.21 percent from 0.22 percent in December, the fifth consecutive month that the delinquency rate has declined. The delinquency rate in January of last year was 0.28 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 4,725 loan modifications in January, a decline of 15.5 percent over the 5,591 loan modifications completed in December and 40.9 percent below their 2011 monthly average.

For the entire year of 2011, Freddie Mac completed a total of 109,174 loan modifications, an average of 9,098 loan modifications per month.

Freddie Mac’s total mortgage portfolio decreased at an annualized rate of 4.8 percent from December to January as their total holdings decreased from $2.075 trillion to $2.067 trillion.

Single-family refinance-loan purchase and guarantee volume was $28.0 billion in January, reflecting 81 percent of total mortgage purchases and issuances. That was an increase from $23.3 billion in December.

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

Source:
Freddie Mac