In the world of Residential Transition Loans (RTLs), where short-term, high-risk loans are used to finance “fix-and-flip” projects, effective servicing can enhance investors’ returns.
Category: News and Trends
MBA: Commercial Mortgage Delinquency Rates Increase in Third Quarter
Commercial mortgage delinquencies increased in the third quarter of 2024, according to the Mortgage Bankers Association’s (MBA) latest Commercial Delinquency Report.
Servicing Quote of the Week
“Loan performance in the third quarter of 2024 showed a continual upward trend in mortgage delinquencies. Delinquencies remain low, particularly when compared with those during the Great Recession.”
–Molly Boesel, Senior Principal Economist for CoreLogic
CoreLogic: National Homeowner Equity Up 2.5% in Q3
CoreLogic, Irvine, Calif., found that U.S. homeowners with mortgages saw equity increase by $425 billion since Q3 2023—a gain of 2.5% year-over-year.
ATTOM: Foreclosure Filings Fall in November
ATTOM, Irvine, Calif., released its November 2024 U.S. Foreclosure Market Report, finding that foreclosure filings are down 9% from a year ago and down 5% from October.
TransUnion Predicts Mortgage Delinquencies Will Be Flat
TransUnion, Chicago, released its forecast for 2025, predicting that mortgage delinquencies will be flat a year from now in Q4 2025.
CoreLogic: Delinquency Rate Rises Slightly in September
CoreLogic, Irvine, Calif., reported that for September, 3% of all mortgages were in some stage of delinquency.
MSCI: Insurance Taking Bigger Bite From Commercial Property Income
Higher insurance premiums are increasing commercial real estate operating costs and cutting into net operating income, according to MSCI, New York.
Chart of the Week: Unemployment by Duration
Based on the November 2024 jobs report, the unemployment rate is above 4.2%, the household survey again showed a large drop in employment, and more households reported spells of long-term unemployment, which is typically defined as being unemployed for 27 weeks or more.
Servicing Quote of the Week
“FHA believes these foreclosure moratorium extensions are warranted because of the devastation caused by Hurricanes Helene and Milton, the extensive property damage sustained, and the reduced capacity for those impacted to access needed resources. Many areas in Florida, Georgia, North Carolina, South Carolina, Tennessee, and Virginia are deemed PDMDAs.”
–FHA letter on extending the foreclosure moratorium in connection with hurricanes Helene and Milton