First American CoreLogic, a member of The First American Corporation family of companies, has released the latest issue of its Core Mortgage Risk Monitor, which forecasts the relative risk of residential loan delinquencies. The tool is available for download at www.facorelogic.com.
‘The third-quarter Core Mortgage Risk Index (CMRI) has risen 12 percent above a year ago and has increased for 11 of the last 12 quarters,’ says Mark Fleming, chief economist for First American CoreLogic. ‘The CMRI is currently 55 percent above the base period of the first quarter of 2002 – a period near the end of the last U.S. economic recession.’
‘Although significantly higher now than during this base period, the CMRI is likely to continue rising nationally over the next 18 months,’ he adds. ‘The primary factor driving the most recent increase in mortgage risk is the decline in home prices.’
The Core Mortgage Risk Monitor is a quarterly report that provides an economic forecast, analysis, and commentary on the relative risk of residential mortgage loan delinquencies due to fraud propensity and collateral risk, house price dynamics and the health of the local market economy.
The Core Mortgage Risk Monitor tracks risk in 381 metropolitan markets representing more than 89% of the U.S.
Source: First American CoreLogic