ICE First Look: Delinquencies Creep Up in February

(Image courtesy of Jack Davis/pexels.com)

Intercontinental Exchange Inc., released its “first look” at February mortgage performance, finding the national delinquency rate edged up five basis points to 3.53% in February.

That’s up 19 basis points year-over-year but still 32 basis points below pre-pandemic levels.

The increase in delinquencies is particularly pronounced in FHA mortgages, which accounted for 90% of the rise in delinquencies, despite making up less than 15% of all active mortgages.

Effects of the recent Los Angeles wildfires are also beginning to appear in the data; 4,100 homeowners in the city are now past due as a result of the disaster.

Foreclosure starts fell 17% and foreclosure sales fell 11% from January, but are up 34% and 7%, respectively, from the same period in 2024.

Prepayment activity fell to 0.46% in February, the lowest level in a year.

The top five states by noncurrent percentage are Louisiana, at 8.25%, Mississippi, at 7.94%, Alabama, at 5.99%, Arkansas, at 5.44%, and Indiana, at 5.35%.

The bottom five states by noncurrent percentage are Washington, at 2.07%, Idaho, at 2.09%, Colorado, at 2.23%, Montana, at 2.3%, and California, at 2.38%.