Dive Brief:
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Fewer homeowners made late mortgage payments in 2014 than last year, according to a Wednesday report from credit information firm TransUnion.
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The national mortgage loan delinquency rate—which measures the number of borrowers who are 60 or more days past due on their home loan payments—will dip to 3.15% by the end of the year, and to 2.51% by the end of next year for its lowest rate since 2007, TransUnion predicted.
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Mortgage delinquencies hit their peak in early 2010 and have dropped nearly every quarter since then.
Dive Insight:
Low delinquency rates are a predictor of good news for future home sales. Steve Chaouki, TransUnion’s head of financial services, said if interest rates remain low and unemployment rates continue to decline, homeowners with mortgage debt will have an easier time making payments—at the same time as more people move into a financial position to buy homes.