According to Equifax's March National Consumer Credit Trends Report and Creditforecast.com – a joint product of Equifax and Moody's Analytics – total delinquent first mortgage balances were under $500 billion in March, the lowest since January 2009.
As of March, there were a total of 49.5 million outstanding first mortgages, nearly an 11% decrease from the peak of more than 55 million in March 2008. The companies attribute the decline to high foreclosures and loan payoffs and low homebuyer demand.
Of delinquencies within existing home equity credit lines, 79% came from loans originated from 2005 to 2007. The number of revolving home equity loans is at a five-year low, with 11.6 million outstanding as of March 2012.
Mortgage balances were 3.5% below their year-ago level in March, having now posted year-over-year declines in the previous 36 consecutive months. Seventy-one percent of all first mortgage delinquencies were from loans taken out in 2005-2007.
The share of first mortgage loans transitioning from current status to 30 days past due is at its lowest level since June 2007, while the share of first mortgages transitioning from 60 days past due to 90 days past due is at its lowest level in 59 months. Loans in severe delinquency status stand at $477 billion.