BLACK KNIGHT’S FIRST LOOK AT JULY 2021 MORTGAGE DATA: FORECLOSURES MUTED
Overall Mortgage Delinquencies Edge Closer to Pre-Pandemic Levels, But 1.45M Remain Seriously Past Due as Foreclosure Moratorium Expired at End of July
August 20, 2021 Data & Analytics
The national delinquency rate saw a 5% reduction in July and at 4.14% is now down by nearly half since May of last year
Delinquencies have now improved in 12 of the last 14 months, with the two monthly increases being calendar-related as opposed to being indicative of worsening performance
While overall delinquency volumes continue to edge closer to pre-pandemic levels, the number of serious delinquencies were still significantly elevated as federal foreclosure moratoria expired at the end of July
Some 1.45 million borrowers remained 90 or more days past due – but not yet in foreclosure – entering August, more than 1 million more than at the onset of the pandemic
Foreclosure starts remained muted in July, the final month of the foreclosure moratorium on federally backed mortgages, down 58% from the same time last year
While the number of loans in active foreclosure fell by 5,000 to yet another record low, potential foreclosure activity in the coming months warrants close observation
After rising in June, prepayment activity slid by 11% in July; however, low 30-year rates in recent weeks have resulted in a modest resurgence in refinance incentive which may impact August prepay numbers
JACKSONVILLE, Fla. – Aug. 20, 2021 – Black Knight, Inc. reports the following “first look” at July 2021 month-end mortgage performance statistics derived from its loan-level database representing the majority of the national mortgage market.
