Foreclosure Filings Hit Pandemic Highs in January, but Delinquencies Keep Falling

Source: National Mortgage News

Foreclosures by one measure rose to a pandemic high during January, but they and delinquencies overall remained far below long-term averages last quarter.

Filings related to foreclosure activity jumped to 23,204 last month, up 29% from December and 139% from a year ago, according to Attom Data Solutions. However, filings were still just around half as high as when the U.S. entered the pandemic in March 2020.

The latest quarterly delinquency rate, at 4.65%, was down 23 basis points from the previous quarter and well below a long-term average of 5.32%, according to the Mortgage Bankers Association’s survey, which dates back to 1979. A year ago, the delinquency rate was 208 basis points higher at 6.73%. Just prior to the pandemic, the delinquency rate hit a historic low at 3.77%. (National Mortgage News, Feb. 11)