MGIC Investment Corporation  recently issued their August 2016 Operational Summary of the primary mortgage insurance of its insurance subsidiaries, according to recent release for the company.
MGIC, the principal subsidiary of MGIC Investment Corporation, serves lenders throughout the United States, Puerto Rico, and other locations helping families achieve homeownership sooner by making affordable low-down-payment mortgages a reality. As of August 31, 2016, MGIC had a reported $179.1 billion of primary insurance in force covering approximately one million mortgages.
The release from the company states that the information concerning new delinquency notices and cures is compiled from reports received from loan servicers. Additionally, the level of new notice and cure activity reported in a particular month can be influenced by, among other things, the date on which a servicer generates its report, the number of business days in a month, and by transfers of servicing between loan servicers.
The report from MGIC states that the beginning primary delinquent inventory decreased 20.9 percent year over year. This was a change from 66,121 delinquent loans in August of 2015 to 52,298 delinquent loans in August 2016.
MGIC also reports that new delinquency notices fell down 7.8 percent year over year. The report states that this is a change from 6,242 delinquency notices in August of 2015 to 5,753 delinquency notices in August of 2016. New delinquency notices also decreased 1.4 percent month over month. This was a reported 82 notice decrease from 5,835 new delinquency notices in July 2016.
In contrast with the number of new delinquency notices issued, the company says in their report that the number of cures issued for August 2016 were 5,276. This was a 15.1 percent decrease though from the year prior’s number of 6,212 cures. The number of cures did show an increase of 3.3 percent though month over month. The company reported that this was a 169 cure increase from the 5,107 cures reported in July 2016.
As of August 31, 2016 the ending primary delinquent inventory decreased from the year prior 20.3 percent. The company reports that this is a change of 64,805 loans in the ending primary delinquent inventory for August 2015 to 51, 642 loans in August of 2016.
This data is consistent with the trend seen by the most recent Black Knight Mortgage Monitor  which reported total U.S. loan delinquencies as decreasing year over year by 3.38 percent. Not congruent with the stats from MGIC, the total U.S. loan delinquencies did increase month-over-month by a rate of 4.78 percent.