The delinquency rate for mortgage loans on one-to-four-unit residential properties decreased to a seasonally adjusted rate of 7.40% of all loans outstanding as of the end of the first quarter of 2012, a decrease of 18 basis points from the fourth quarter of 2011, and a decrease of 92 basis points from one year ago, according to the Mortgage Bankers Association’s (MBA) National Delinquency Survey.
The non-seasonally adjusted delinquency rate also decreased 121 basis points to 6.94% this quarter from 8.15% last quarter.
On a seasonally adjusted basis, the overall delinquency rate decreased for all loan types except VA loans for the fourth quarter of 2011.
Real interesting thing happening. Reports are saying the new housing starts are suddenly up. At least locally, there are so many “new” homes on the market that have been sitting empty for years still in the hands of the contractors. I don’t know who or what to believe anymore. I think a lot of the “great news” we keep hearing is BS or wishful thinking…take your pick.
“Delinquencies down” is not necessarily good news for inspectors. From an inspector’s viewpoint… delinquencies, foreclosures and short sales are good for us. Remember, the more homes that transfer ownership (for whatever reason)… the more inspections.