Google+
  • Ocwen10.05-0.10 -0.99%
  • Zillow87.32-0.83 -0.94%
  • Trulia+0 +0%
  • NationStar17.38+0.58 +3.45%
  • CoreLogic40.37+0.00 +0.00%
  • RE/MAX36.41-0.19 -0.52%
  • Fannie Mae2.30-0.01 -0.43%
  • Freddie Mac2.195-0.025 -1.126%
  • Wells Fargo56.74-0.17 -0.30%
  • CitiMortgage55.37-0.31 -0.56%
  • Bank of America17.03-0.19 -1.10%
  • Fidelity National Financial37.63+0.17 +0.45%
  • First American37.53-0.03 -0.08%
  • AUDUSD=X0.7517+0.0000 +0.0000%
  • USDJPY=X122.8750+0.0600 +0.0489%
  • WP Stock Ticker
Home | News | Foreclosure | Balance for Seriously Delinquent Mortgages Hits 5-Year Low
Print This Post Print This Post

Balance for Seriously Delinquent Mortgages Hits 5-Year Low

The total balance for seriously delinquent first mortgages decreased to a five-year low as rising home prices reduce incentives to default, ""Equifax "":http://www.equifax.com/home/en_us stated in its _National Consumer Credit Trends Report_.

[IMAGE] [COLUMN_BREAK]

In June, the balance of loans 90 days or more past due or in foreclosure fell to $325 billion, down 27 percent from last year when the balance stood at $450 billion. Loans originated in 2010 or later represented about 7 percent of the balance for seriously delinquent mortgages.

When only considering first mortgages in foreclosure, the balance was $105 billion in June, which is also a five-year low. The balance represents a 38 percent decrease from a year ago.

At the same time, the balance for loans that completed the foreclosure process and became bank-owned diminished as well, falling by more than 19 percent to $13.5 billion--the lowest level for June since 2007, according to the Atlanta-based Equifax.

""The implications of this trend are that more homeowners will be able to sell their homes without the hassles of negotiating a short sale or move to take a new job without worrying how they can afford to pay for two homes. The healing in the housing market is really gaining momentum and will fuel a stronger pace of economic recovery,"" said Amy Crews Cutts, Equifax chief economist.

About Author: Esther Cho

Profile photo

Leave a Reply

Scroll To Top