by Calculated Risk on 1/31/2022 04:06:00 PM
Fannie Mae reported that the Single-Family Serious Delinquency decreased to 1.25% in December, from 1.33% in November. The serious delinquency rate is down from 2.87% in December 2020.
These are mortgage loans that are “three monthly payments or more past due or in foreclosure”.
The Fannie Mae serious delinquency rate peaked in February 2010 at 5.59% following the housing bubble and peaked at 3.32% in August 2020 during the pandemic.
Click on graph for larger image
By vintage, for loans made in 2004 or earlier (1% of portfolio), 3.48% are seriously delinquent (down from 3.61% in November).
Mortgages in forbearance are counted as delinquent in this monthly report, but they will not be reported to the credit bureaus.
This is very different from the increase in delinquencies following the housing bubble. Lending standards have been fairly solid over the last decade, and most of these homeowners have equity in their homes – and they will be able to restructure their loans once they are employed.
Freddie Mac reported earlier.
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