Mortgage Delinquencies Increase in November, Foreclosures Slow

December 20, 2011 (Shirley Allen)

Mortgage delinquencies jumped up in November after three months of declines while the number of homes entering the foreclosure process slowed according to the latest “First Look” Mortgage Report released by Lender Processing Services (LPS).

The total number of loans that are 30 days or more past due, but not yet in foreclosure, increased from 7.93 percent in October to 8.15 percent in November, an increase of 2.7 percent. The delinquency rate in November was still 9.6 percent lower than what it was in November 2010.

The number of properties reaching the foreclosure stage declined in November to a total of 2.116 million, down from 2.210 million properties in October, a decline of 94,000 properties, while the number of properties entering the shadow inventory grew, increasing from 1.759 million properties in October to 1.809 million properties in November, an increase of 50,000 properties.

The total number of properties that were either delinquent or in foreclosure declined from 6.298 million in October to 6.260 million in November, a decline of 0.6 percent.

The “First Look” report contains highlights of the company’s forthcoming Mortgage Monitor report which will provide a more in-depth review including an analysis of data supplemented by in-depth charts and graphs that reflect trend and point-in-time observations.

Early highlights of the report include:

Total U.S. loan delinquency rate (loans 30 or more days past due, but not in foreclosure): 8.15% compared to 7.93% in October 2011

Month-over-month change in delinquency rate: 2.7% compared to -2.0% in October 2011

Year-over-year change in delinquency rate: -9.6% compared to -14.6% in October 2011

Total U.S foreclosure pre-sale inventory rate: 4.16% compared to 4.29% in October 2011

Month-over-month change in foreclosure presale inventory rate: -3.0% compared to 2.5% in October 2011

Year-over-year change in foreclosure presale inventory rate: 2.0% compared to 9.4% in October 2011

Number of properties that are 30 or more days past due, but not in foreclosure: (A) 4,144,000 compared to 4,088,000 in October 2011

Number of properties that are 90 or more days delinquent, but not in foreclosure: 1,809,000 compared to 1,759,000 in October 2011

Number of properties in foreclosure pre-sale inventory: (B) 2,116,000 compared to 2,210,000 in October 2011

Number of properties that are 30 or more days delinquent or in foreclosure: (A+B) 6,260,000 compared to 6,298,000 in October 2011

States with highest percentage of non-current* loans: FL, MS, NV, NJ, IL (FL, MS, NV, NJ, IL in October 2011)

States with the lowest percentage of non-current* loans: MT, SD, WY, AK, ND (MT, WY, SD, AK, ND in October 2011)

*Non-current totals combine foreclosures and delinquencies as a percent of active loans in that state.

Notes:
(1) Totals are extrapolated based on LPS Applied Analytics’ loan-level database of mortgage assets.
(2) All whole numbers are rounded to the nearest thousand.

Tags: LPS, mortgage delinquency rate, foreclosure inventory, non-current loans

Source:
LPS