Banks Build Record Foreclosure Inventory, but payment delinquencies are decreasing
By Steve Cook
RISMEDIA, May 5, 2011—The pace of foreclosure starts increased by a third in March, building the national inventory of REO properties to an all-time high of 2.2 million at the end of the month.
Fortunately, foreclosure sales also increased and delinquencies continued to decline, suggesting the foreclosure glut will be temporary. Delinquencies dropped by more than 11 percent from February, the lowest level since 2008 and a 20 percent year-over-year decline, according to the March Mortgage Monitor report by Lender Processing Services, Inc.
Early-stage delinquencies have led the decline, as fewer problem loans enter the pipeline. In fact, 30-day and 60-day delinquent inventories are now approaching pre-crisis levels. Also, the first quarter of virtually every year shows a drop in new delinquencies, and historically March is consistently the month with the largest declines.
The report also found that mortgage origination activity continues to be slow, primarily due to ongoing reduction in refinance activity. As interest rates rise and credit requirements remain more exacting, the majority of homeowners eligible to refinance may have already done so.
States with highest percentage of non-current loans are Florida, Nevada, Mississippi, New Jersey and Georgia. The lowest percentage of non-current loans are in Montana, Wyoming, Alaska, South Dakota and North Dakota.
If you would like expert advise and representation in your next move, please contact me.
Saturday, May 14, 2011
- ► 2012 (33)
- 6 tips for a higher credit score
- Even the Naysayers Are Saying To Buy Now!
- 5 Reasons You Should Consider Selling Now
- 5 Strategies for Navigating the Summer Clearance S...
- 10 Easy Upgrades to Add Style & Value to Your Home
- 10 Cities Where It's Cheapest to Buy
- 4 Keys to Selling in Today's Market
- The 5 Most Common Complaints of Short Sale and REO...
- Banks Build Record Foreclosure Inventory But Payme...
- A Patio Makeover Can Be a One-Weekend Wonder
- Fielding a Lowball Purchase Offer on Your Home
- Is This Really a Buyer's Market?
- Has Housing Reached a 'Recovery Path'?
- Remodeling Market Index Reaches Highest Level in F...
- Cheaper to buy than rent in 78% of major cities
- Signs of economic weakness relieve pressure on mor...
- Almost 14,000 Houses Sold Yesterday
- 4 Signals It Might be Time to Buy (vs. Rent) Your ...
- How to Stop Everyday Conflicts
- 5 Steps to Deciding How Much to Offer – or Ask – f...
- Home selling tax tips for accidental landlords
- 4 ways to boost real estate showings
- ▼ May (22)
- ► 2010 (66)