Fewer delinquent mortgages reported in September
Posted on Tuesday, October 7, 2014 at 10:00:53 AM
For some current homeowners, balancing a budget with the demands of residential financing and other expenses can prove challenging. For those who fall behind, they may end up with a delinquent mortgage.
Thankfully, the inventory of delinquent mortgages has declined from August to September. According to mortgage insurer Radian, the number of delinquent mortgages it insures dropped from 47,364 in August to only 46,843 in September. Primary new insurance written by the company totaled roughly $3.8 billion last month, up from the approximately $3.6 billion reported in August.
In addition to the news that there have been fewer delinquent mortgages, Black Knight Financial Services reported that the average loan age has been climbing as well.
"In terms of the entire active mortgage population, average loan age has been rising steadily for at least the last nine years," said Kostya Gradushy, manager of research and analytics for BKFS. "The high volume of originations in 2013 resulted in a temporary slowdown. However, the average loan age since then has hit its highest level ever at 54 months."
Overall, homeowners are maintaining the health of their residential financing for longer, signs of a stronger economy and housing market.