The share of mortgages in forbearance remained unchanged in February compared with January, at 0.22%, according to the Mortgage Bankers Association’s (MBA) monthly Loan Monitoring Survey.
About 110,000 homeowners nationwide were in forbearance plans as of February 29, according to the MBA.
Mortgage servicers have provided forbearance to approximately 8.1 million borrowers since March 2020.
The share of Fannie Mae and Freddie Mac loans in forbearance declined 1 basis point to 0.12%.
Ginnie Mae loans in forbearance increased by 1 basis point to 0.40%, and the forbearance share for portfolio loans and private-label securities (PLS) increased 1 basis point to 0.29%.
“The performance of servicing portfolios and loan workouts improved in February, as borrowers benefitted from tax refunds, the extra day in the month to submit their payments, and continued resilience in the job market,” explains Marina Walsh, vice president of industry analysis for the MBA in a statement.
“Only around 110,000 loans nationwide remain in a forbearance plan, with little movement this month. The pandemic’s impact has waned, with only 16 percent of borrowers in forbearance because of COVID-19, compared to 72 percent for temporary personal hardships and 12 percent for natural disasters.”
Photo: Erik Mclean
