Introduction
The CoreLogic Loan Performance Insights report features an interactive view of our mortgage performance analysis through August 2022.
Measuring early-stage delinquency rates is important for analyzing the health of the mortgage market. To more comprehensively monitor mortgage performance, CoreLogic examines all stages of delinquency as well as transition rates that indicate the percent of mortgages moving from one stage of delinquency to the next.
The report is published monthly with coverage at the national, state and Core Based Statistical Area (CBSA)/Metro level and includes transition rates between states of delinquency and separate breakouts for 120+ day delinquency.
"The share of U.S. borrowers who are six months or more late on their mortgage payments fell to a two-year low in August and was less than one-third of the pandemic high recorded in February 2021. Furthermore, the foreclosure rate remained near an all-time low, which indicates that borrowers who were moving out of late-stage delinquencies found alternatives to defaulting on their mortgages."
– Molly Boesel
Principal Economist for CoreLogic
30 Days or More Delinquent – National
In August 2022, 2.8% of mortgages were delinquent by at least 30 days or more including those in foreclosure.
This represents a 1.2 percentage point decrease in the overall delinquency rate compared with August 2021.
Overall Mortgage Delinquency Rate Hovers Near All-Time Low in August
The number of borrowers classified as seriously delinquent (90 or more days late) on their mortgage payments in August dropped to the lowest level recorded since April 2020, while the overall delinquency rate remained near a record low. The U.S. unemployment rate has stayed below 4% since the beginning of 2022, and the still-healthy job market continues to help homeowners with a mortgage make payments on time. However, as the cost of basic necessities mounts with rising inflation, mortgage delinquencies could increase in the coming months as more borrowers see their monthly household budgets stretched further.
Loan Performance – National
CoreLogic examines all stages of delinquency to more comprehensively monitor mortgage performance.
The nation's overall delinquency rate for August was 2.8%. The rate for early-stage delinquencies – defined as 30 to 59 days past due – was 1.2% in August 2022, up from August 2021. The share of mortgages 60 to 89 days past due was 0.3%, unchanged from August 2021. The serious delinquency rate – defined as 90 days or more past due, including loans in foreclosure – was 1.2%, down from 2.6% in August 2021.
As of August 2022, the foreclosure inventory rate was 0.3%, up from August 2021.
Transition Rates – National
CoreLogic examines all stages of delinquency as well as transition rates that indicate the percent of mortgages moving from one stage of delinquency to the next.
The share of mortgages that transitioned from current to 30-days past due was 0.6%, unchanged from August 2021.
Overall Delinquency – State
Overall delinquency is defined as 30-days or more past due, including those in foreclosure.
In August 2022, all states logged year-over-year declines in their overall delinquency rates. The states with the largest declines were Hawaii, Nevada and New York (all down 2.1 percentage points).
Serious Delinquency – Metropolitan Areas
Serious delinquency is defined as 90 days or more past due including loans in foreclosure.
There were no metropolitan areas where the Serious Delinquency Rate increased.
There were 384 metropolitan areas where the Serious Delinquency Rate decreased.
Summary
Measuring early-stage delinquency rates is important for analyzing the health of the mortgage market. To more comprehensively monitor mortgage performance, CoreLogic examines all stages of delinquency as well as transition rates that indicate the percent of mortgages moving from one stage of delinquency to the next.
For ongoing housing trends and data, visit the CoreLogic Insights Blog:
Methodology
The data in the CoreLogic Loan Performance Insights report represents foreclosure and delinquency activity reported through March 2022. The data in this report accounts for only first liens against a property and does not include secondary liens. The delinquency, transition and foreclosure rates are measured only against homes that have an outstanding mortgage. Homes without mortgage liens are not subject to foreclosure and are, therefore, excluded from the analysis. Approximately one-third of homes nationally are owned outright and do not have a mortgage. CoreLogic has approximately 75% coverage of U.S. foreclosure data.
Source: CoreLogic
The data provided are for use only by the primary recipient or the primary recipient’s publication or broadcast. This data may not be resold, republished or licensed to any other source, including publications and sources owned by the primary recipient’s parent company without prior written permission from CoreLogic. Any CoreLogic data used for publication or broadcast, in whole or in part, must be sourced as coming from CoreLogic, a data and analytics company. For use with broadcast or web content, the citation must directly accompany first reference of the data. If the data are illustrated with maps, charts, graphs or other visual elements, the CoreLogic logo must be included on screen or website. For questions, analysis or interpretation of the data, contact Robin Wachner at
About CoreLogic
CoreLogic is a leading global property information, analytics and data-enabled solutions provider. The company’s combined data from public, contributory and proprietary sources includes over 4.5 billion records spanning more than 50 years, providing detailed coverage of property, mortgages and other encumbrances, consumer credit, tenancy, location, hazard risk and related performance information. The markets CoreLogic serves include real estate and mortgage finance, insurance, capital markets, and the public sector. CoreLogic delivers value to clients through unique data, analytics, workflow technology, advisory and managed services. Clients rely on CoreLogic to help identify and manage growth opportunities, improve performance and mitigate risk. Headquartered in Irvine, Calif., CoreLogic operates in North America, Western Europe and Asia Pacific. For more information, please visit
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Contact
For more information, please email Robin Wachner at
