LPS: Foreclosure Inventory Falls 34% from Year-Ago
The recent trend of delinquencies and foreclosures continued to improve in August, according to a “first look” report from Lender Processing Services.
Through the end of August, the U.S. loan delinquency rate—loans 30 or more days past due, but not in foreclosure—stands at 6.2%. This is down on both a monthly and yearly basis by 3.31% and 9.71%, respectively.
More than 3.1 million housing units nationwide are considered to be delinquent and not in foreclosure, the Jacksonville, Fla.-based analytic provider said. Additionally, approximately 1.288 million properties are seriously delinquent, meaning mortgage payments have not been made in at least 90 days.
Florida, Mississippi, New Jersey, New York and Maine again are the top five states with the highest percent of noncurrent loans.
Meanwhile, due to a significant improvement in the state’s year-over-year change in total noncurrent inventory, Colorado has moved into the list of top five states with the lowest amount of loans that are delinquent. The other four states that made this list include Montana, Wyoming, South Dakota and North Dakota.
Furthermore, the foreclosure inventory rate is down over 34% from August 2012 and is now at 2.66%. This figure marks the lowest point the foreclosure pre-sale inventory has been in nearly four-and-a-half years.
The foreclosure rate decreased by 5.74% compared to the previous month, LPS said, with more than 4.4 million delinquent properties throughout the country accounting for this type of inventory.
LPS’ report is derived from its loan-level database that represents approximately 70% of the overall mortgage market.