After the pace of mortgages going into coronavirus-related forbearance stayed static following 10 weeks of declines, the rate dipped 4 basis points between Aug. 24 and Aug. 30, according to the Mortgage Bankers Association.
Mortgages sitting in forbearance plans now represent 7.14% — approximately 3.6 million — of all outstanding loans compared to
"The share of Ginnie Mae loans in forbearance increased again this week, as the current economic crisis continues to disproportionately impact borrowers with FHA and VA loans," Mike Fratantoni, the MBA's senior vice president and chief economist, said in a press release. "As a result, IMB servicers, which have roughly one-third of their portfolio with Ginnie Mae, had a forbearance share that was unchanged, while depositories, which have a larger share of GSE and portfolio loans, saw a decrease."
The forbearance share of conforming mortgages — those purchased by Fannie Mae and Freddie Mac — descended for the 13thstraight week to 4.8% from 4.88%. Ginnie Mae loans —
Private-label securities and portfolio loans — products not addressed by the coronavirus relief act — edged lower after two weeks of increases, going to 10.43% from 10.44%.
Forbearance requests as a percentage of servicing portfolio volume crept lower to 0.09% from 0.1%, while call center volume as a percentage of portfolio volume held at 7.2%.
"The
The MBA's sample for this week's survey includes a total of 49 servicers with 26 independent mortgage bankers and 21 depositories. The sample also included two subservicers. By unit count, the respondents represented about 75%, or 37.3 million, of outstanding first-lien mortgages.