As of May 31, the share of mortgage loans in forbearance had decreased to 0.21%, a slight drop compared with April, according to the Mortgage Bankers Association’s (MBA) monthly Loan Monitoring Survey.
Only about 105,000 homeowners nationwide are in forbearance plans, the MBA says.
Mortgage servicers have provided forbearance to approximately 8.2 million borrowers since March 2020.
In May 2024, the share of Fannie Mae and Freddie Mac loans in forbearance declined 1 basis point to 0.1%.
Ginnie Mae loans in forbearance remained the same relative to the previous month at 0.39%, and the forbearance share for portfolio loans and private-label securities (PLS) also stayed flat at 0.31%.
“The performance of servicing portfolios in May was solid, with about 96 percent of borrowers making their mortgage payments on time,” says Marina Walsh, vice president of industry analysis for the MBA, in a statement. “There was a slight decline in the performance of post-forbearance loan workouts, but the results were relatively strong with 75 percent of homeowners making their payments in accordance with the workout terms.”
Photo: Erik Mclean
