Black Knight ‘First Look:’ March Delinquencies First Sign of Coronavirus Impact

March is usually the strongest month of the year for mortgage performance, says Black Knight, Jacksonville, Fla. Not this year.

The company’s monthly First Look Mortgage Monitor reported mortgage delinquencies rose by 3.33%, the first March increase since the turn of the century—an early sign of COVID-19’s impact on the market.

Black Knight also reported both the national foreclosure and 90-day delinquency rates set new record lows in March, a lingering reminder of the strength of the mortgage market heading into the pandemic. At just 27,600 for the month, foreclosure starts also fell to their lowest level on record, as COVID-19-related moratoriums began to impact foreclosure inflows. Prepayment activity jumped by nearly 40% in March, driven by record-low 30-year mortgage rates.

Other March report highlights:

–Loan delinquency rate (30 or more days past due but not in foreclosure: 3.39 percent, up by 3.33 percent from February but down by 7.25 percent from a year ago.

–Foreclosure pre-sale inventory rate: 0.42 percent, down by 7.73 percent from February and down by nearly 18 percent from a year ago.

–Foreclosure starts: 27,600, down by 14.55 percent from February and down by 30.48 percent from a year ago.

–Monthly prepayment rate: 1.89 percent, up by nearly 40 percent from February and up by 125.24 percent from a year ago.

–Properties 30 or more days past due, but not in foreclosure: 1.792 million, up by 55,000 from February but down by 111,000 from a year ago.

–Properties 90 or more days past due, but not in foreclosure: 406,000, down by 3,000 from February and down by 87,000 from a year ago.

–Properties in foreclosure pre-sale inventory: 222,000, down by 19,000 from February and down by 44,000 from a year ago.

–Properties 30 or more days past due or in foreclosure: 2.013 million, up by 37,000 from February but down by 155,000 from a year ago.

–States with the highest percentage of non-current properties: Mississippi, Louisiana, Alabama, West Virginia, Arkansas.

–States with the lowest percentage of non-current properties: California, Oregon, Idaho, Washington, Colorado.

–States with the highest percentage of 90-day plus delinquent properties; Mississippi, Louisiana, Alabama, Arkansas, Indiana.