JACKSONVILLE, Fla., July 29 /PRNewswire-FirstCall/ -- The June Mortgage Monitor report released today by Lender Processing Services, Inc. (NYSE: LPS) shows that overall foreclosure starts and foreclosure inventories have remained relatively stable; however, foreclosure starts for loans owned by the Government Sponsored Entities (GSEs) are at an all-time high.
The largest percentage of GSE foreclosure starts are coming from loans that are six or more months behind on payment. This finding is consistent with the reports of increased Home Affordable Modification Program (HAMP) trial period cancellations.
Total delinquent and foreclosure inventories remain at historically elevated levels with Jumbo and Agency prime product experiencing the greatest percentage increase since January 2008.
The report also shows that two loans are deteriorating in status for every one loan that improved, and approximately 775,000 loans that were current at the beginning of January are at least 60 days delinquent or in foreclosure as of the end of June. Conversely, the volume of loans "curing" to a current status from most stages of delinquency has increased slightly. The greatest percentage increase in cures over the last several months has come within the late stage of delinquency (180 days or more), and is primarily attributable to HAMP trial modifications being converted to a permanent status.
Other key results from LPS' latest Mortgage Monitor report include: | |||
Total U.S. loan delinquency rate: | 9.55 percent | ||
Total U.S. foreclosure inventory rate: | 3.65 percent | ||
Total U.S. non-current* loan rate: | 13.2 percent | ||
States with most non-current* loans: | Florida, Nevada, Mississippi, Georgia, Arizona | ||
States with the fewest non-current* loans: | North Dakota, South Dakota, Alaska, Wyoming, Montana | ||
*Non-current totals combine foreclosures and delinquencies as a percent of active loans in that state. | |||
Note: Totals based on LPS Applied Analytics' loan-level database of mortgage assets. | |||
Report Enhancements
With the June Mortgage Monitor report, LPS has updated the definitions it uses and included industry extrapolations across all charts to provide increased consistency and an industry-level view for all metrics. The new extrapolation factors have been developed based on an in-depth study of market size and increase the detail provided to include product and vintage. In addition, the inclusion of a disclosures and definitions section provides in-depth detail regarding the methods and approach used. These updates will further enhance the quality of the Mortgage Monitor reports; to ensure accurate comparisons, LPS has restated previous months' data using this enhanced methodology.
About the Mortgage Monitor
LPS manages the nation's leading repository of loan-level residential mortgage data and performance information on nearly 40 million loans across the spectrum of credit products. The company's research experts carefully analyze this data to produce a summary supplemented by dozens of charts and graphs that reflect trend and point-in-time observations for LPS' monthly Mortgage Monitor Report.
To review the full report, listen to a presentation of the report, access an executive summary or view a summary of the disclosures and definitions related to the survey, visit http://www.lpsvcs.com/NEWSROOM/INDUSTRYDATA/Pages/default.aspx.
About Lender Processing Services
Lender Processing Services, Inc. (LPS) is a leading provider of integrated technology, services and mortgage performance data and analytics, to the mortgage and real estate industries. LPS offers solutions that span the mortgage continuum, including lead generation, origination, servicing, workflow automation (Desktop), portfolio retention and default, augmented by the company's award-winning customer support and professional services. Approximately 50 percent of all U.S. mortgages by dollar volume are serviced using LPS' Mortgage Servicing Package (MSP). LPS also offers proprietary mortgage and real estate data and analytics for the mortgage and capital markets industries. For more information about LPS, visit www.lpsvcs.com.
SOURCE Lender Processing Services, Inc.
