• Ocwen19.49-0.02 -0.10%
  • Zillow106.39-2.06 -1.90%
  • Trulia44.95-1.14 -2.47%
  • NationStar33.02+0.43 +1.32%
  • CoreLogic30.53+0.25 +0.83%
  • RE/MAX31.81+0.73 +2.35%
  • Fannie Mae2.31+0.03 +1.32%
  • Freddie Mac2.210.00 0.00%
  • Wells Fargo50.995+0.395 +0.78%
  • CitiMortgage51.74+0.33 +0.64%
  • Bank of America16.61+0.01 +0.06%
  • Fidelity National Financial29.30+0.32 +1.10%
  • First American29.685+0.775 +2.68%
  • AUDUSD=X0.8808N/A N/A
  • USDJPY=X108.025N/A N/A
  • 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 "": stated in its _National Consumer Credit Trends Report_.


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.

Bookmark and Share

About Author: Esther Cho

Avatar of Esther Cho
This user has not filled out their bio!

Leave a Reply

Scroll To Top