Distressed

The number of property foreclosures in Monroe County, Michigan, continues to decline, continuing a trend for the past decade, county Treasurer Kay Sisung said.

Trash and broken furniture cover the stained carpet at the boarded, long-vacant house in Trotwood, Ohio, where paint strips hang like confetti from the ceiling and an awful smell fills the air as soon as Chad Downing unlocks the door.

Although the performance of the government-sponsored enterprises' single-family loans continues to improve, the deeply delinquent totals remain significant in states with court-processed foreclosures.

The number of properties in some stage of mortgage default has fallen to its lowest level in 14 years as most types of delinquencies have declined, according to Black Knight.

Economic strength bolstered the performance of loans included in commercial mortgage-backed securities with delinquencies improving for the seventh consecutive quarter, according to the Mortgage Bankers Association.

The use of financing to buy fix and flip properties increased 35% annually by dollar volume to its highest level in nearly 12 years, according to Attom Data Solutions.

The large number of overleveraged commercial mortgage-backed securities loans coming due in 2019 is likely to cause the payoff rate to drop an additional 9 percentage points by December, a Morningstar report said.

Colorado was a leader when it came to missed mortgage payments and foreclosures in the years before the 2008 financial crisis. Now, no state can compare when it comes to borrowers who are timely on their mortgage payments and hanging onto their homes.

The distressed mortgage market continues to dry up, with delinquencies shriveling to a record low rate and foreclosure filings dropping annually for 10 consecutive months.

Even though mortgage delinquencies increased on a quarter-to-quarter basis, strong overall metrics mitigate any concerns regarding future loan performance, according to the Mortgage Bankers Association.