The national delinquency rate rose to 3.08% in December but finished the year 9% below its December 2021 level. Prepayment activity fell to 0.39% to close the year. The single month mortality rate hit its third consecutive record low since 2000.
That’s according to Black Knight’s “first look” mortgage data for December 2022.
The data also showed that the number of borrowers who are a single payment past due was up 4.8% while 60-day delinquencies remained flat.
Serious delinquencies (90+ days past due) continued to improve nationally. While Florida saw an increase of 8,700 serious delinquencies, a result of Hurricane Ian, 44 other states saw those volumes decline.
Foreclosure starts were up in December for the third consecutive month. A 15% rise in November put the number of starts at 26,900 for the month. This is still 30% below pre-pandemic levels, according to Black Knight.
The foreclosure process was started on 4.9% of seriously delinquent loans. That’s an increase from November, but still 46% below the start rate seen in December 2019, before the pandemic.
The number of loans in active foreclosure rose by 2.3% to close the year, though volumes remained low throughout 2022, according to the report.