The percentage of residential loans in default beyond 90 days increased slightly during May, while both delinquency and foreclosure rates remained relatively stable at historically high levels, according to new figures compiled by Lender Processing Services.
According to the Jacksonville, Fla.-based company, at least 7.3 million loans are currently in some stage of delinquency or REO. In its May 'Mortgage Monitor' report, LPS says the average number of days for a loan to move from 30-days delinquent to foreclosure sale continues to increase, "and is now at an all-time high of 449 days, resulting in an increase in 'shadow' foreclosure inventory."
Overall, delinquencies rose 2.3% on a sequential basis, pushing the national delinquency rate to 9.2% at May 30. When foreclosure inventory is factored in, the total non current rate is 12.38%. States with the most non current loans include Florida, Nevada, Mississippi, Georgia, Arizona, and California. LPS' bases its findings on a data base of 40 million loans.
