Delinquencies Drop to 23-Year Low

Any minute the housing market is about to crash. Or so we are told. However new data from CoreLogic has home mortgage delinquencies at a 23-year low in February…(CoreLogic)

• M-O-M: Home mortgages in some stage of delinquency fell 0.1 percentage points to 3.2% in February 2022.

• Y-O-Y: Delinquencies were down 2.5 percentage points from February 2021.

Delinquencies fell in every major category in February including foreclosures…

• Early-stage delinquencies fell to 1.3%, this down 0. 2 percentage points from one year ago.

• Mid-stage delinquencies were down to 0.3%, which is down 0.2 percentage points from one year ago.

• Serious delinquencies are down to 1.6%, this is down 2.1 percentage points from one year ago.

NOTE: The foreclosure rate also declined to 0.2% from 0.3% in February 2021, where it has been since June 2021.

Are we going to see an increase in foreclosures? Absolutely. However, it is important to remember that we are at a 23-year low. When foreclosures normalize the crash bros with the help of the press will act like the sky is falling. It is not.