Loan Modifications Slow in April

The number of loan modifications completed by Freddie Mac slowed in April while delinquency rates for both single-family and multi-family homes improved according to the agency’s recently released Monthly Volume Summary.

Freddie Mac completed a total of 6,068 loan modifications in April, a decline of 6.8 percent from the 6,511 loan modifications completed in March. So far this year, Freddie Mac has completed a total of 26,681 loan modifications for an average of 6,670 per month. In 2012, Freddie Mac completed a total of 69,581 loan modifications for an average of 5,798 per month.

The delinquency rate for single-family homes in Freddie Mac’s loan portfolio continued to decline in April, falling from 3.03 percent in March to 2.91 percent in April. Last year at this time, the delinquency rate for single-family homes was 3.51 percent and is at its lowest level since August of 2009.

Delinquency rates for multi-family dwellings also fell in April, declining to 0.09 percent from 0.16 percent in March. The delinquency rate in April of last year was 0.25 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’s total mortgage portfolio increased at an annualized rate of 0.6 percent from March to April as their total holdings climbed slightly from $1.948 trillion to $1.949 trillion.

Single-family refinance-loan purchase and guarantee volume was $35.8 billion in April, reflecting 76 percent of total mortgage purchases and issuances. That was down from $41.8 billion in March, a decline of 14.4 percent. Mortgages that were refinanced for the purpose of homeowner relief captured about 33 percent of the total refinance volume.

Total refinance-loan purchase and guarantee volume was $47.3 billion, down 9.0 percent from $52.0 billion in March.

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

Source:
Freddie Mac

Reported by Jeff Alan