IE Business Daily Business news for the Inland Empire.
Seven point three percent of all U.S. home mortgages were in some stage of delinquency in May, according to data released Tuesday.
That was a 3.6 percent year-over-year increase, according to CoreLogic’s monthly report on loan delinquencies.
“Some stage of delinquency” means 30 days or more past due, plus foreclosures.
In what could be an ominous sign, early-stage and adverse delinquency rates increased for the second consecutive month, with a “high correlation” of increases in areas with high cases of COVID-19.
Also, all 50 states recorded increases in overall delinquencies in May, and more than 75 percent of all U.S. metro areas saw an increase in serious delinquency rates, meaning 90 days or more past due, including foreclosures.
“The national unemployment rate soared from a 50-year low in February 2020, to an 80-year high in April,” said Frank Nothaft, CoreLogic’s chief economist, in the statement. “With the sudden loss of income, many homeowners are struggling to stay on top of their mortgage loans, resulting in a jump in non-payment.”
In the Inland Empire, 8.4 percent of all mortgages were in some stage of delinquency in May, up from 3.3 percent exactly one year earlier.
Serious delinquencies went from 1.4 percent to 0.9 percent, while foreclosures were essentially unchanged year-over-year, according to CoreLogic.
