According to the TransUnion report which is based on borrowers who are delinquent by 60 or more days, the national mortgage delinquency rate dropped from 5.49 in Q2 10212 to 5.41 in Q3 2012.
The TransUnion report also examined progress in the Metropolitan areas. The report showed a smaller rate of improvement in the 3rd quarter compared to the previous quarters. In Q3 2012, 49 % of metro areas improved their delinquency rate vs. 76 % in Q2 and 73 % in Q1 2012.
Among the 50 states, 22 of them indicated their delinquency rates improve quarter after quarter in 2012, while 42 states only showed improvements compared to 2011.
Even though the national delinquency rate has shown the signs of improvement, Tim Martin, group VP of U.S. housing in TransUnion’s financial services business unit, said, “we still have a long way to go to reach more ‘normal’ conditions of a delinquency rate in the 1-2% range for the U.S. average.”
ArizonaandCalifornia, improved the most since Q3 2011.California’s rate has dropped to 5.56% andArizona’s delinquency rate has decreased to 5.62%.
However, theDistrict of Columbia’s delinquency rate has increased by 11% to a high of 6.1%
Floridastill has the highest delinquency rate of 13.09 percent withNevada’s rate of 10.93 percent running second, andNew Jersey’s 8.33 percent at third position.
The good news is that TransUnion predicts that the delinquency rate will continue to fall further in Q4 to approximately 5.3% in the improving states.. .
“It’s generally tough to expect improvement in delinquency rates in the fourth quarter of the year given the extra demands on household income that many experience during the holiday season,” said Martin. “However, we saw some improvement in the housing market in the third quarter with regard to house prices, home sales and increased refinance activity, and we believe we will start to see these numbers reflected in improved mortgage delinquency next quarter.”
All these data conclude that the snowstorm of people going behind on payments and facing Foreclosure is not yet over. It continues at full force. We here at Oyezz Real Estate stands ready and willing to assist any homeowners who are experiencing financial hardships to weather the Foreclosure snowstorm that is coming upon them. Our goal to help the homeowners to avoid deficiency judgments and permanent foreclosure mark on their credit.