ICE First Look: Delinquencies Edge Up, but Foreclosure Activity Still Low

(Image courtesy of ICE; Breakout image courtesy of Erik Mclean/pexels.com)

Intercontinental Exchange Inc., Atlanta, provided its first look at October mortgage performance, finding that the delinquency rate hit 3.45% in October, up 6% from October 2023.

October was the fifth consecutive month of year-over-year increases in the delinquency rate.

Drilling down, 30- and 60-day delinquencies decreased from September, but seriously past due loans–defined as 90-plus days past due–are up 7.3% from last year. Seriously past due delinquencies hit their highest level since May 2023.

Foreclosure starts were up by 12.2% in October, and completions rose by 10.1%. However, they’re both down from October 2023, by 12.3% and 9.5% respectively, and well below pre-pandemic numbers.

Foreclosure inventory increased by 1,000, but there are 28,000 fewer loans in active foreclosure activity overall.

Prepayment activity rose to 0.85% on easing interest rates. That’s nearly double what it was in October 2023.

The top five states by non-current percentage are Louisiana at 8.15%, Mississippi at 8.04%, Alabama at 5.72%, Indiana at 5.41% and Arkansas at 5.23%.

The bottom five states by non-current percentage are Washington at 2.03%, Colorado at 2.04%, Idaho at 2.05%, Montana at 2.06% and Oregon at 2.14%.