Dive Brief:
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Fewer homeowners are getting behind on their mortgage payments every month the economy further away from the recession, the Mortgage Bankers Association reports.
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A decrease in delinquency rates over the summer marks the sixth consecutive quarter of late-payment declines and the lowest level since 2007. “Delinquency” describes loans that are at least one payment past due, but does not include loans in the foreclosure process.
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This puts delinquency rates at pre-recession levels, the association’s chief economist, Mike Frantatoni, told Housing Wire.
Dive Insight:
It’s no surprise that homeowners are better able to keep up with their mortgage payments as the economy improves, more jobs are created, and unemployment declines.
In fact, many economists point to low mortgage delinquency rates as another sign that the housing recovery is progressing.