• 
  Like
• 
  Follow

Search news    

---

Report: Mortgage delinquencies rise in third quarter

November 17, 2010 - Recent data indicates that mortgage delinquency continues to plague some homeowners across the country.

According to a report by TransUnion.com, mortgage loan delinquency, defined as payments that are 60 days or more past due, rose for the 11th consecutive quarter to an average high of 6.25 percent in the third quarter of 2009.

This increase is important because delinquency is often thought to precede foreclosure, and mortgage delinquency has increased 7.57 percent from the second quarter, indicates the website.

The good news is that the delinquency rate increase has been decelerating for the past three quarters, according to the website.

FJ Guarrera, vice president of TransUnion's financial services division, said, "Delinquency rates are rising and expected to peak at record levels. Until the housing market can consistently demonstrate several months of home value appreciation and the unemployment rate improves, mortgage delinquency will likely continue to rise."

TransUnion.com reports that the year-over-year delinquency rate has increased by almost 58 percent from 3.96 percent.

The states with the highest mortgage delinquency rates were Nevada, where rates hit 14.5 percent and Florida where they reached 13.3 percent.

Those with the lowest were North Dakota, with only 1.7 percent and South Dakota where the rate was 2.3 percent, indicates the report.

Property owners who are having trouble making their mortgage payments may be eligible for assistance under the federal Home Affordable Refinance Program. This program gives homeowners with loans owned or guaranteed by Fannie Mae or Freddie Mac the chance to refinance their mortgage into more affordable monthly payments.

Recent Articles

Related Categories