Loans with payments late by a year or more were the biggest sub-category within the government-sponsored enterprises' distressed portfolios a year ago, but now mortgages that've been late for 30-59 days are.
Mortgages late by 30-59 days constituted nearly half or more than 47% of Fannie Mae and Freddie Mac's delinquent loans at the end of the third quarter, according to the Federal Housing Finance Agency's latest report.
A year earlier, loans late by a year or more made up the largest subset of that group at 36.5% and the share for mortgages late by a month was 30.5%. At the end of this year's third quarter, loans delinquent by 365-plus days was the second largest category, but with only a 16.9% share.
The shift likely reflects in part the transition away from
More than 37% of households couldn't cover expenses for longer than one month if they lost their main source of income in 2022, according to a new Consumer Financial Protection Bureau report. The report reflects takeaways from a survey conducted earlier this year.
Although overall employment outside of
In a separate report on
That report, which reflects the first half of 2022, shows loans in this category made up 38% of the NPL portfolio, second to loans delinquent for a year or more but less than two years (58%). In comparison, at the end of 2021, just 13% of loans were in the first category and 84% were in the second. The enterprises' combined portfolio also contains a small number of loans that have been delinquent for five years or more.