St Casimirs Mortgage Minute

HOUSING FINANCE

Delinquent GSE Mortgages Decline As Economy Improves

The number of home loans backed by Fannie Mae and Freddie Mac that are 60 days or more past due or are in the foreclosure process fell 6 percent in the second quarter of 2015, following a 9 percent drop in the first quarter, according to the Federal Housing Finance Agency’s foreclosure prevention report released yesterday.

Seriously delinquent loans -- those that are 90 days or more past due -- dropped to 1.6 percent of Fannie and Freddie’s mortgage portfolio after the second quarter. By comparison, 5.5 percent of Federal Housing Administration loans were seriously delinquent, and 4 percent of all loans were.

The report also documented the GSEs’ efforts to prevent foreclosures, with 63,593 modifications or other actions in the second quarter and more than 3.54 million since the GSEs have been under U.S. conservatorship.

--ABA Daily Newsbytes