11% Mortgage are Uneasy

admin — Thu, 12 Mar 2009 06:10:27 +0000

According to an industry report released recently, more then 11% of all mortgage are whichever offending or in foreclosure. According to the National Delinquency Report from the Mortgage Bankers Association (MBA), the percentage of borrowers at least one month behind in their mortgage payments and it rose to nearly 8% during the fourth quarter of 2008, but not in foreclosure. This turns out to be the highest rate of delinquency ever recorded by the survey, which began in 1972, and reflects a record 13% jump compared to the third quarter.

Jay Brinkmann, chief economist for the MBA, said in a prepared statement that

“Subprime ARM loans and prime ARM loans, which include Alt-A and pay-option ARMs, continue to dominate the delinquency numbers,”

and also added

“Nationwide, 48% of subprime ARMs were at least one payment past due, and in Florida over 60% of subprime ARMs were at least one payment past due.”

However, the number of home in the foreclosure development rose to 3.3%, which is an increase of 0.33 percentage points from the quarter before and up 1.26 percentage points from a year earlier. That represents nearly 1.5 million homes at risk of sliding all the way through foreclosure. The combination of these two, the number of delinquencies and loans in foreclosure came to 11.18%, the highest ever recorded by the MBA.

Mortgage Rates Fall in Record Level

Mortgage Rates Fall in Record Level

admin — Fri, 19 Dec 2008 08:39:42 +0000

According to Freddie Mac’s Primary Mortgage Market survey, thirty-year fixed-rate mortgage interest rates fell to the lowest level on record in the UK. The report released on last Thursday. Previously the national average interest rate for 30-year fixed-rate mortgages was 5.19% for the week ending 18 December and it was the lowest level since McLean, Va.-based Freddie Mac (NYSE: FRE) began the survey in the year of 1971. Rates crush from previous week when it averaged 5.47% whereas one year ago, the mortgages averaged just 6.14 percent. On the other hand, the 15-year fixed-rate mortgage averaged 4.92%, drop from 5.2% most recent week whilst 5.79% one year ago though the 15-year rates have not been lower level since 1, April, 2004, when those averaged 4.84%.

In a statement, Frank Nothaft, Freddie Mac vice president and chief economist, said “The decline (in 30-year fixed-rate mortgages) was supported by the Federal Reserve announcement on Dec. 16, when it cut the federal funds target to a record low and stated it stood ready to expand its purchases of mortgage-related assets as conditions warrant.”

Five-year Treasury-indexed hybrid adjustable-rate mortgages (ARMs) averaged 5.6% in the running week, decline from last week when it averaged just 5.82% and one year ago, the 5-year ARM averaged about 5.9%. One-year Treasury-indexed ARMs averaged 4.94% this week, decline from last week when it averaged 5.09%. The same time previous year, the 1-year ARM averaged 5.51%.

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11% Mortgage are Uneasy

Mortgage Rates Fall in Record Level