Freddie Mac: Mortgage Serious Delinquency Rate Increased Sharply in December due to Hurricanes

Freddie Mac reported that the Single-Family serious delinquency rate in December was 1.08%, up sharply from 0.95% in November. Freddie's rate is up from 1.00% in December 2016.

Freddie's serious delinquency rate peaked in February 2010 at 4.20%.

These are mortgage loans that are "three monthly payments or more past due or in foreclosure". 

Click on graph for larger image

This increase in the delinquency rate was due to the hurricanes - no worries about the overall market - and we might see a further increase over the next month or so (These are serious delinquencies, so it takes three months late to be counted).

After the hurricane bump, maybe the rate will decline to a cycle bottom in the 0.5% to 0.8% range..

Note: Fannie Mae will report for December soon.

from Calculated Risk http://ift.tt/2nthrdZ