The mortgage delinquency rate fell to 3.61% in July, a decrease of 3.35% compared with June and down 7.5% from July 2017 to reach the lowest level in more than 12 years, according to Black Knight’s First Look report.
Some of the improvement in the delinquency rate was a result of the fact that Texas and Florida are now largely recovered from last fall’s hurricanes.
The total foreclosure pre-sale inventory rate was 0.57%, up 0.73% compared with the previous month but down 27.32% compared with a year earlier.
There were about 48,300 foreclosure starts in July, an increase of 11.03% compared with June but down 9.38% compared with July 2017.
Interestingly, some of the increase in foreclosure starts may also have to do with the fall 2017 storms. Black Knight says foreclosure referrals in hurricane-affected areas of Texas increased by a higher-than-average 19% in July.
Improving delinquencies, however, more than offset the increase in foreclosure actions, bringing the total delinquency rate to the lowest it’s been since 2006.
