Subprime Delinquencies at 33.88% - NMN Survey

The national subprime delinquency rate climbed to 33.88% at the end of September, a 60% increase over the past twelve months, according to exclusive survey figures compiled by National Mortgage News. The newspaper also found that 11.19% of all subprime loans ($93 billion) are in foreclosure. Compared to the June 30 period, subprime delinquencies rose slightly. NMN and its affiliate, the Quarterly Data Report, found that consumers owe roughly $840 billion on the their subprime mortgages, which means $284 billion in A- to D loans are in some stage of delinquency. The figures are based on responses and estimates from 21 mortgages companies that are engaged in the servicing of subprime mortgages. The results are affected, to some degree, by the failure of a handful of companies which had A- to D receivables that cannot be accounted for. (For more details see the Monday edition of National Mortgage News.)