The impact of Hurricanes Harvey, Irma, and Maria on borrowers appears to be waning given the improvement in early-stage mortgage delinquencies in November, according to the monthly Loan Performance Insights Report released by CoreLogic.
Early-stage delinquencies were at a rate of 2.2%, a decline of 0.1 percentage points from 2.3% in October and unchanged from 2.2% in the year-ago period. The overall delinquency rate also decreased 0.1 percentage points on a year-over-year basis to 5.1% in November from 5.2% a year ago.
Mortgages that were 60-89 days past due accounted for 0.9%, unchanged from October and up from 0.7% in November 2016. Seriously delinquency loans, or those 90 days or more past due, were at a rate of 2% in November, up from 1.9% in October and down from 2.3% in same period in 2016.
CoreLogic Chief Economist Frank Nothaft said the effects of the hurricanes still clearly appear in the serious delinquency data.
“Serious delinquency rates are up sharply in Texas and Florida compared with a year ago, while lower in all other states except Alaska,” Nothaft said. “In Puerto Rico, the serious delinquency rate jumped to 6.3% in November, up 2.7 percentage points compared with a year before. In the Miami metropolitan area, serious delinquency was up more than one-third from one year earlier to 5.1%, and it more than doubled to 4.6% in the Houston area.”
The share of mortgages in some stage of the foreclosure process as of November was 0.6%, down 0.2 percentage points from 0.8% in November 2016. CoreLogic said the foreclosure inventory rate has remained unchanged since August at the lowest level since June 2007.
Delinquency rate increased at the end of 2017
Hurricane season pushes mortgage delinquencies higher