Monthly prepayment rate sinks to three-year low

Higher interest rates have reduced prepayments to levels not seen since 2014.

February's monthly prepayment rate of 0.8% was down 15.26% from January and 9.94% from February 2016, Black Knight Financial Services reported Thursday.

Delinquency and total foreclosure presale inventory rates also declined.

NMN032317-Prepayments

The total loan delinquency rate for loans 30 more days past due but not in foreclosure fell 0.98% month over month and 5.51% year over year to 4.21%.

February's foreclosure presale inventory rate of 0.93% was down 1.88% from the previous month and 28.48% from February of last year.

Total foreclosure starts were 17.76% lower than January and 31.32% lower than in February 2016 at 57,900.

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