by Bill McBride on 7/26/2016 08:21:00 AM
• Despite June’s increase, first-time foreclosure starts in Q2 2016 were at their lowest level in over 16 years
• Prepayment speeds (historically a good indicator of refinance activity) jumped to a 12-month high, mirroring an overall rise in refinance activity driven by historically low interest rates
• Early-stage delinquencies saw a seasonal increase in June, while 90-day delinquencies and foreclosure inventories continued to decline
According to Black Knight's First Look report for June, the percent of loans delinquent increased 1.3% in June compared to May, and declined 10.0% year-over-year.
The percent of loans in the foreclosure process declined 2.6% in June and were down 29.4% over the last year.
Black Knight reported the U.S. mortgage delinquency rate (loans 30 or more days past due, but not in foreclosure) was 4.31% in June, up from 4.25% in May.
The percent of loans in the foreclosure process declined in June to 1.10%.
The number of delinquent properties, but not in foreclosure, is down 237,000 properties year-over-year, and the number of properties in the foreclosure process is down 231,000 properties year-over-year.
Black Knight will release the complete mortgage monitor for June in early August.