The number of homeowners in abstinence plans peaked during the week ending June 7, 2020, when there were 4.7 million and the rate was 8.55%. Since then, that number has steadily declined to a third of what it was just over a year ago.
More details: Foreclosure flood not expected, says MBA’s Marina Walsh
Walsh indicated that the current grace period will end on September 30 and warned that delays on various types of loans remain a concern.
Referring to the MPA, she said: “In September and October there will be those borrowers who have reached the end of the abstinence period, and therefore they are in a situation where the services are busy trying to put them in the appropriate mitigation system. plan.
“The FHA delinquency rate dropped to 12.77%. But if you look at it historically, the percentage of serious delinquencies on various types of loans is still relatively high. It’s not at the peak of what it was during the Great Recession … but it’s right there, so that’s really what we’re focusing on right now. “