Distressed

The coming change will further test the effectiveness of Biden administration policies aimed at putting more affordable properties in the hands of consumers or charitable organizations.

COVID loan forbearance championed by progressives has created a new, permanent class of distressed borrower, Whalen writes.

But the number remaining was still more than twice as high as pre-pandemic, according to Black Knight.

Further declines occurred in November, albeit at a slower pace than in October, according to a new loan performance report from the Mortgage Bankers Association.

More than half of respondents to a recent Arizent survey think one-stop shops will be the biggest disruptor in the next three years, followed by all-cash purchase programs and iBuyers.

However, the seven institutions in the Office of the Comptroller of the Currency study service 13% fewer loans compared with the third quarter of last year.

While over 112,000 loans exited plans in the past week, there is only a modest opportunity for continued improvement in the near term, Black Knight said.

Rising home values also brought 70,000 properties out of underwater status during the three-month period, CoreLogic said.

Axylyum, which recently released information about its first named client, offers an alternative to other forms of risk sharing for private companies originating income-producing mortgages.

Like the stock market rout around news of the Omicron variant, the recent increase in payment suspensions suggests financial troubles associated with the pandemic may not be over.