For the month of June, 2.6% of all mortgages in the U.S. were in some stage of delinquency, unchanged from last month and a 0.3 percentage point decrease from the 2.9% rate last year. This is the same reading as the historic low of 2.6% in March.
According to CoreLogic’s monthly Loan Performance Insights Report, in June 2023, the U.S. delinquency and transition rates, and their year-over-year changes, were as follows:
- Early-Stage Delinquencies (30 to 59 days past due): 1.3%, up from 1.2% in June 2022
- Adverse Delinquency (60 to 89 days past due): 0.4%, up from 0.3% in June 2022.
- Serious Delinquency (90 days or more past due, including loans in foreclosure): 1%, down from 1.3% in June 2022 and a high of 4.3% in August 2020.
- Foreclosure Inventory Rate (the share of mortgages in some stage of the foreclosure process): 0.3%, unchanged from June 2022.
- Transition Rate (the share of mortgages that transitioned from current to 30 days past due): 0.6%, down from 0.7% in June 2022.
State and Metro Takeaways:
- No states posted YoY increases in overall mortgage delinquency rates.
- Annual delinquency rate decreases ranged from -0.9 and 0.0 percentage points from June 2022.
- 31 metro areas posted an increase in overall YoY delinquency rates.
- The metros with the largest increases were Cape Coral-Fort Myers, Florida (+0.6 percentage points); Punta Gorda, Florida (+0.5 percentage points); and Yakima, Washington and Elkhart-Goshen, Indiana (both +0.3 percentage points).
- Three metro areas posted an increase in serious delinquency rates, while changes in other metros ranged from -1.6 percentage points to 0.0 percentage points.
- The metros that posted annual serious delinquency increases were Cape Coral-Fort Myers, Florida and Punta Gorda, Florida (both +0.5 percentage points) and Cheyenne, Wyoming (+0.1 percentage points).
Major takeaway:
“The national mortgage delinquency rate remained at a historic low in June. In addition, fewer states and metro areas posted annual increases in overall delinquency rates compared with May,” said Molly Boesel, principal economist for CoreLogic.
“While June’s data does not reflect the most recent U.S. natural catastrophes,” Boesel continued, “it is typical to see mortgage delinquencies increase about one month following disasters. Delinquency rates in these areas often remain elevated for months, progressing from early stage to serious. For example, two Florida Gulf Coast communities continued to post annual increases in serious delinquency rates in June, nine months after the property damage from Hurricane Ian in September 2022.”
For the full report, click here.
