LPS Records 12% Drop in Mortgage Delinquencies

""Lender Processing Services"":http://www.lpsvcs.com (LPS) reports that the nation's mortgage delinquency rate plunged to 7.78 percent at the end of March. That figure includes loans that are at least 30 days past due but not yet in foreclosure.
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March's delinquency rate is down nearly 12 percent from the month before and 20 percent below a year ago.

At the same time, though, the nation's foreclosure rate edged up to 4.21 percent. Based on LPS' analysis, the month's foreclosure inventory rate increased 1.4 percent

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from its February reading and is 11 percent higher than in March 2010.

LPS offered the media a ""sneak peek"" at these preliminary numbers from its March mortgage performance report, which is scheduled for full release next week. The company's monthly statistics are derived from its loan-level database of nearly 40 million mortgage loans.

Altogether, LPS says there are 6,333,000 homes in the U.S. that are delinquent or in foreclosure.

Of that total, 2,222,000 are part of the foreclosure inventory, and 4,111,000 fall into the delinquent bucket. Of the more than 4 million that are past due but not yet referred to a foreclosure attorney, 1,989,000 are 90 or more days delinquent.

According to LPS’ analysis, the states with highest percentage of non-current loans â€" which combines foreclosures and delinquencies â€" are Florida, Nevada, Mississippi, New Jersey, and Georgia.

States with the lowest percentage of non-current loans include Montana, Wyoming, Alaska, South Dakota, and North Dakota.