Pre-Housing Bust Loans Account for Almost Two-Thirds of Delinquencies

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Pre-Housing Bust Loans Account for Almost Two-Thirds of Delinquencies

HOW LOANRATEUPDATE WORKS

READ OUR DISCLOSURE

FILL OUT THE FORM

It all starts here. Select the loan product you want to apply for and complete the subsequent questionnaire.

WE VERIFY & TRANSMIT TO LENDERS

Once we receive your completed questionnaire we verify a couple vital pieces of information and direct your information to our network of lenders, all within minutes.

REVIEW YOUR OFFERS

With offers in hand you can now compare rates and costs and get the best possible deal. Comparison shopping made easy. You fill out one form and lenders compete for your business.

CHOOSE YOUR LENDER

Congratulations! With the great learning tools we provide for you at LoanRateUpdate and the offers you have received, you've found the right product and the best rate.

READY TO SPEAK TO A PROFESSIONAL?

LOANRATEUPDATE IS NOT A LENDER OR A BROKER BUT WE HAVE LOTS OF FRIENDS WHO ARE

Pick the service you desire below

Pre-Housing Bust Loans Account for Almost Two-Thirds of Delinquencies

HOW LOANRATEUPDATE WORKS

READ OUR DISCLOSURE

FILL OUT THE FORM

It all starts here. Select the loan product you want to apply for and complete the subsequent questionnaire.

WE VERIFY & TRANSMIT TO LENDERS

Once we receive your completed questionnaire we verify a couple vital pieces of information and direct your information to our network of lenders, all within minutes.

REVIEW YOUR OFFERS

With offers in hand you can now compare rates and costs and get the best possible deal. Comparison shopping made easy. You fill out one form and lenders compete for your business.

CHOOSE YOUR LENDER

Congratulations! With the great learning tools we provide for you at LoanRateUpdate and the offers you have received, you've found the right product and the best rate.

LOANRATEUPDATE IS NOT A LENDER OR A BROKER BUT WE HAVE LOTS OF FRIENDS WHO ARE

Pick the service you desire below

Pre-Housing Bust Loans Account for Almost Two-Thirds of Delinquencies

July 26, 2011 (Jeff Alan)

Mortgage loans that were originated in 2005 to 2007 account for nearly two-thirds of past due balances according to Equifax. And although 30+ day delinquencies have been on the decline, roll rates for 60+ and 90+ day delinquencies continue to rise.

Lender loan write-offs for first mortgages, home equity installment loans, and home equity revolving accounts reached $304.6 billion in 2010. Equifax’s analysis suggests that number will continue to climb in the future with no signs of when it will peak.

By comparison, the combined amount of loan write-offs in 2006 and 2007 totaled only $126.7 billion.

Equifax estimates that as of May 2011, there are approximately $319.7 billion in first mortgages in the initial stages of the foreclosure process that were originated in 2006 and 2007. Not surprising considering the amount of sub-prime lending activity that occurred at that time.

Eventually, many of these homes will enter into the shadow inventory and depending on the state, will begin entering the housing market as real estate owned (REO) properties in one to three years.

At the end of May 2011, REO properties were three percent of all first mortgages totaling $21.8 billion.

Equifax says REO properties represent a major roadblock to economic recovery as REO rates remain high while lenders struggle to divest themselves of properties through auctions and short sales.

Foreclosure completion rates are at 1.45 percent, almost at the same level as bankruptcies which are currently at a rate of 1.6 percent. Equifax says that the similar rates suggest that the majority of REO properties are a result of bankruptcy proceedings.

“Shadow inventory and real estate owned properties are still playing a dominant role in today’s mortgage market and slowing the pace of economic recovery. While we are seeing stabilization across multiple sectors of lending, there remains a significant volume of delinquent first mortgage loans, which has slowed the foreclosure process. Until these foreclosures are processed, the mortgage market will continue to impact economic growth,” said Craig Crabtree, senior vice president and general manager, Equifax Mortgage Services

Tags: Equifax, pre-housing bust, loan delinquencies, first mortgages, home quity installment loans, home equity revolving accounts, loan write-offs, REO, mortgage market

Source:
Equifax

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July 26, 2011 (Jeff Alan)

By comparison, the combined amount of loan write-offs in 2006 and 2007 totaled only $126.7 billion.

Eventually, many of these homes will enter into the shadow inventory and depending on the state, will begin entering the housing market as real estate owned (REO) properties in one to three years.

At the end of May 2011, REO properties were three percent of all first mortgages totaling $21.8 billion.

Equifax says REO properties represent a major roadblock to economic recovery as REO rates remain high while lenders struggle to divest themselves of properties through auctions and short sales.

Tags: Equifax, pre-housing bust, loan delinquencies, first mortgages, home quity installment loans, home equity revolving accounts, loan write-offs, REO, mortgage market

Source:
Equifax

HOME LOANS CAN BE CONFUSING

YOU'VE GOT QUESTIONS

WHAT TYPE OF MORTGAGE LOANS ARE AVAILABLE?

DO I QUALIFY FOR A GOVERNMENT INSURED LOAN?

WHAT CAN I EXPECT FOR A MORTGAGE INTEREST RATE?

WE MAKE IT SIMPLE

WE'VE GOT ANSWERS

CALCULATE YOUR MORTGAGE PAYMENT

BENEFITS OF REFINANCING YOUR MORTGAGE

ADVANTAGES OF GETTING PRE-APPROVED FOR A LOAN

INSIDER CAR BUYING TIPS

What's the four square system? How much is your trade-in really worth and why those payments really do seem a little higher than you thought.

BUYING VS LEASING

There's both advantages and disadvantages to leasing and buying depending on what you're planning to use your car for and how long you plan on keeping it.

DEALER OR BANK FINANCING

Sure that low interest dealer financing sounds really attractive but there's a price to be paid for that. We spill the beans as to why getting your own financing may save you money.

BUYING ON THE INTERNET

Buying a car at a dealership hasn't changed much through the years but doing your research on the internet can you save you a lot of time and most importantly, a lot of money.

THINKING OF BUYING
A NEW CAR?

WE GIVE YOU THE INSIDE TIPS THAT
COULD SAVE YOU THOUSANDS.

AUTO LOAN CALCULATOR

Calculate how much you can afford

BUYING OR SELLING A HOME
IS A BIG DECISION

WE MAKE IT EASIER

HOME BUYING TIPS

HOME SELLING TIPS

SEARCH FOR A HOME

Home loans can be confusing. There's a lot of options and we provide the information that makles it simple. Don't sign on that dotted line until you know. It could cost you.

FIND THE CREDIT CARD THAT'S RIGHT FOR YOU

THERE'S A CREDIT CARD FOR VIRTUALLY ANY SITUATION. FIND YOURS.

YOU'VE WORKED HARD TO BUILD YOUR DREAM

LEARN ABOUT THE LOAN OPTIONS AVAILABLE TO EXPAND YOUR BUSINESS

July 26, 2011 (Jeff Alan)

By comparison, the combined amount of loan write-offs in 2006 and 2007 totaled only $126.7 billion.

Eventually, many of these homes will enter into the shadow inventory and depending on the state, will begin entering the housing market as real estate owned (REO) properties in one to three years.

At the end of May 2011, REO properties were three percent of all first mortgages totaling $21.8 billion.

Equifax says REO properties represent a major roadblock to economic recovery as REO rates remain high while lenders struggle to divest themselves of properties through auctions and short sales.

Tags: Equifax, pre-housing bust, loan delinquencies, first mortgages, home quity installment loans, home equity revolving accounts, loan write-offs, REO, mortgage market

Source:
Equifax

HOME LOANS CAN BE CONFUSING

YOU'VE GOT QUESTIONS

WHAT TYPE OF MORTGAGE LOANS ARE AVAILABLE?

DO I QUALIFY FOR A GOVERNMENT INSURED LOAN?

WHAT CAN I EXPECT FOR A MORTGAGE INTEREST RATE?

WE MAKE IT SIMPLE

WE'VE GOT ANSWERS

CALCULATE YOUR MORTGAGE PAYMENT

BENEFITS OF REFINANCING YOUR MORTGAGE

ADVANTAGES OF GETTING PRE-APPROVED FOR A LOAN

THINKING OF BUYING
A NEW CAR?

WE GIVE YOU THE INSIDE TIPS THAT
COULD SAVE YOU THOUSANDS.

INSIDER CAR BUYING TIPS

What's the four square system? How much is your trade-in really worth and why those payments really do seem a little higher than you thought.

BUYING VS LEASING

There's both advantages and disadvantages to leasing and buying depending on what you're planning to use your car for and how long you plan on keeping it.

DEALER OR BANK FINANCING

Sure that low interest dealer financing sounds really attractive but there's a price to be paid for that. We spill the beans as to why getting your own financing may save you money.

BUYING ON THE INTERNET

Buying a car at a dealership hasn't changed much through the years but doing your research on the internet can you save you a lot of time and most importantly, a lot of money.

AUTO LOAN CALCULATOR

Calculate how much you can afford

BUYING OR SELLING A HOME IS A BIG DECISION

WE MAKE IT EASIER

HOME BUYING TIPS

HOME SELLING TIPS

SEARCH FOR A HOME

Home loans can be confusing. There's a lot of options and we provide the information that makes it simple. Don't sign on that dotted line until you know. It could cost you.

FIND THE CREDIT CARD THAT'S RIGHT FOR YOU

THERE'S A CREDIT CARD FOR VIRTUALLY ANY SITUATION. FIND YOURS.

YOU'VE WORKED HARD TO BUILD YOUR DREAM

LEARN ABOUT THE LOAN OPTIONS AVAILABLE TO EXPAND YOUR BUSINESS