Daily Newsletter: Delinquencies Finally Drop to Pre-Pandemic Levels as Incomes Grow

CoreLogic is tying the current mortgage delinquency rate, which is back to pre-pandemic levels , to growth in the nation’s income. The company says the national rate, indicating the percentage of mortgages that were 30 days or more past due or in foreclosure, dropped to 3.6 percent in November. This was down 2.3 percentage points from the November 2020 5.9 percent level. The company says that, for the first time since the onset of the pandemic, delinquencies nationwide dropped below the March 2020 level of 3.6 percent, calling it a sign that mortgage performance is following the nation’s income growth. At the same time, foreclosure rates remain at historic lows due to the high level of equity borrowers have from the recent record-breaking home price increases. “These factors combined have helped borrowers weather the lasting economic impacts brought on by the pandemic and avoid falling behind on payments or losing their homes,” according to CoreLogic’s loan performance report. “Nonfarm employment rose 6.45 million during 2021, helping to rebuild income for families under financial stress during the pandemic,” said Dr. Frank Nothaft, chief economist at CoreLogic. “Income growth has helped to reduce past-due rates and home equity build-up has reduced the likelihood of a distressed sale for families that experience financial challenges.” The number of non-current loans has declined in every stage . Loans that were in the early delinquency, 30 to 59 days past due, represented 1.2 percent of loans in November, down from 1.4 percent the prior November and the rate of those 60 to 89 days delinquent was slashed in half, to 0.3 percent. Serious delinquencies, loans 90 days or more past due, including loans in foreclosure, which reached a high of 4.3 percent in August 2020, are now at a 2.0 percent rate, again only slightly more than half the rate a year earlier.

February 9, 2022 Housing News Delinquencies Finally Drop to Pre-Pandemic Levels as Incomes Grow CoreLogic is tying the current mortgage delinquency rate, which is back to pre-pandemic levels , to growth in the nation’s income. The company says the national rate, indicating the percentage of mortgages that were 30 days or more past due or in fo... (read more) Housing News Home Purchase Apps Down 10%, Refi Contraction Continues Mortgage application volume surged 12 percent two weeks ago but gave back a large chunk of that gain during the week ended February 4. last week. The Mortgage Bankers Association (MBA) says its Market Composite Index, a measure of that volume, de... (read more) Rob Chrisman March Training and Events; Broker and Lender Products Today is “National Pizza Day,” a made-up day that wasn’t around when Jimmy Carter was sworn in as president 45 years ago. Back then the yield on the risk-free 10-year T-note was 7.40 percent and 30-year mortgage rates were 8.75 percent. Rates have bu... (read more) Mortgage Rates Mortgage Rates Tried to Catch a Break (And Failed) The day began with so much potential --at least in the sense that it could have served as the foundation for slightly lower mortgage rates this afternoon. Rates are most directly affected by the bond market, and bonds finally had a decent night in Asia and Europe. Even after some early weakness, we were holding at levels that would have allowed lender... (read more) 30 Yr. Fixed Rate 3.90% +0.01% Rate Change Points Mortgage News Daily 30 Yr. Fixed 3.90% +0.01 0.40 15 Yr. Fixed 3.16% 0.00 0.40 30 Yr. FHA 3.50% 0.00 0.00 30 Yr. Jumbo 3.43% +0.01 0.00 5/1 ARM 3.68% +0.01 0.50 Updates Daily - Last Update: 2/9 15 Yr. Fixed Rate 3.16% +0.00% Rate Change Points Freddie Mac 30 Yr. Fixed 3.55% 0.00 0.80 15 Yr. Fixed 2.77% -0.03 0.70 5/1 Yr. ARM 2.71% +0.01 0.30 Updates Weekly - Last Update: 2/3 Rate Change Points Mortgage Bankers Assoc. 30 Yr. Fixed 3.83% +0.05 0.40 15 Yr. Fixed 3.16% +0.15 0.47 30 Yr. Jumbo 3.62% +0.03 0.35 Updates Weekly - Last Update: 2/9 MBS / Treasuries MBS Live Recap: Strong Auction But Bonds Retreat at The Close Strong Auction But Bonds Retreat at The Close This morning's market summary headline mentioned the strong start but with no guarantees for the afternoon. The thinking at the time was that overnight gains failed to materialize into a significant rally and early domestic traders were clearly pushing back in an un... (read more) UMBS 30YR 3.0 101.19 -0.03 Price / Yield Change MBS UMBS 3.0 101.19 -0.03 UMBS 3.5 103.50 +0.05 GNMA 3.0 101.48 -0.05 GNMA 3.5 103.08 +0.08 Pricing as of: 2/9 5:21PM EST 10 Year US Treasury 1.9452 -0.0198 Price / Yield Change US Treasury 2 YR Treasury 1.366 +0.021 5 YR Treasury 1.822 +0.005 7 YR Treasury 1.923 -0.016 10 YR Treasury 1.945 -0.020 30 YR Treasury 2.247 -0.013 Pricing as of: 2/9 5:21PM EST Latest Video Treasury auctions $37B in 10-year notes Cleveland Fed President Loretta Mester says faster rate hikes are possible ... The 2pm Bond Report - February 9, 2022 Inflation will remain sticky high for a while but should ease this year: Bl... Around the Web CNBC Homes are selling faster than ever before, and the spring market is just around the corner Redfin Homebuyers on a $2,000 Monthly Budget Stand to Lose $13,750 in Spending Power as Mortgage Rates Rise The Basis Point How and why U.S. mortgage market is more competitive now than right before and right after 2008 financial crisis CNBC Fed's Mester says 'each meeting is going to be in play' for rate hikes this year Reuters Fed hopes economy is on cusp of inflation slowdown as rate hikes loom nar.realtor With an Aging Housing Stock, What Are Buyers Purchasing? CNBC Treasury yields retreat, but 10-year rate holds above 1.9% Calculated Risk Blog Energy expenditures as a percentage of PCE Yahoo News Euro zone bond yields fall as market calms after ECB rout Reuters Stocks on solid ground, battered bonds take a breather CNBC Oil will hit $120 a barrel if Russia invades Ukraine, strategist predicts CNBC Fed's Bostic says more than 3 hikes possible this year, but need to see how economy responds CNBC University of Michigan provost named as next head of the Boston Fed

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