Black Knight: Mortgage Cures Push Delinquencies to 12-Year Low; Foreclosures Up

Black Knight, Jacksonville, Fla., said continued hurricane-related cure activity pushed delinquencies to their lowest level in more than 12 years, although foreclosures rose to a three-month high.

The company’s First Look Mortgage Monitor said the total U.S. loan delinquency rate (loans 30 or more days past due, but not in foreclosure) fell to 3.61 percent in July, down by 3.35 percent from June and by 7.50 percent from a year ago.

However, U.S. foreclosure starts rose to 48,300 in July, up by 11.03 percent from June, but down by 9.38 percent from a year ago. The U.S. foreclosure pre-sale inventory rose to 0.57 percent in July, up by 0.73 percent from June but down by more than 27 percent from a year ago.

Black Knight noted though starts rose nationwide, foreclosure referrals in hurricane-affected areas of Texas increased by a higher-than-average 19 percent. It said fewer completions and an increase in starts caused foreclosure inventory to rise slightly in July, for just the second such increase in the past three years.

Other July report data:

–The monthly prepayment rate fell to 0.90 percent, down by 5.33 percent in June and by 11.04 percent from a year ago.

–Properties 30 or more days past due but not in foreclosure totaled 1.861 million, down by 64,000 from June and by 125,000 a year ago.

–Properties 90 or more days past due but not in foreclosure fell to 528,000, down by 20,000 from June and by 27,000 from a year ago.

–Properties in the foreclosure pre-sale inventory rose to 293,000, up by 2.000 from June but down by 105,000 from a year ago.

–Properties 30 or more days past due or in foreclosure fell to 2.154 million, down by 62,000 from June and down from 230,000 from a year ago.

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

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

States with the highest percentage of 90-plus delinquencies: Mississippi, Louisiana, Alabama, Florida and Arkansas.