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bdc63

Beach Fanatic
Jun 12, 2006
303
22
Md for now, but dreaming of SoWal
22 Percent of Florida Mortgages Non-Current

A staggering 22 percent of all mortgages in the state of Florida are non-current, according to a new report from Lender Processing Services.

By non-current, they mean loans that are either delinquent or in some stage of foreclosure; perhaps more troubling is the fact that 10.4 percent of home loans in Florida are in foreclosure.

The LPS October Mortgage Monitor also revealed that the nation?s foreclosure rate was 3.12 percent as of September 30, up 2.6 percent from a month earlier and 88.9 percent year-over-year.

And remember that?s with all the government intervention, foreclosure moratoria, loan modifications, and the like; the national mortgage delinquency rate was 9.37 percent as of September 30.

The report also highlights the large shadow inventory of foreclosed properties that could wreak havoc on home prices and a possible housing recovery.

?The number of loans deteriorating further into delinquent status is now more than twice the number of foreclosure starts, indicating another major wave of troubled loans in an already clogged loan pipeline,? the company said.

?Nearly one-third of foreclosures remain in pre-sale status after 12 months ? twice as many as the year prior. The six-month average deterioration ratio has risen the past two months to 300 percent, showing that for every loan that improves in status, three more deteriorate further.?

The only bit of good news in the report was increased loan production, with year-to-date 2009 loan totals of 2,032,973 (28 percent FHA) versus 1,903,723 (16 percent FHA) for the same period in 2008.
 

bdc63

Beach Fanatic
Jun 12, 2006
303
22
Md for now, but dreaming of SoWal
The national data came out today for the third quarter ... if you're looking for 'green shoots' you're going to have to look REALLY hard:

9.6% of borrowers were delinquent on their mortgage during Q3.

4.5% more were somewhere in the foreclosure process.

Overall, 14.1% of mortgage loans outstanding in the United States were delinquent or in the foreclosure process during the quarter -- FOURTEEN PERCENT ... THAT'S 1 OF EVERY 7 MORTGAGE HOLDERS IN TROUBLE -- the highest level ever recorded by the survey (which has been conducted since 1972). And, the 14.1% is up from 9.7% in trouble during the same period last year.

There are currently more deliquent/in forclosure houses than there are houses "for sale" in the US (yikes).

The majority of the problem remains in California and Florida, which accounted for about 43.4 percent of the foreclosures started during Q3.

Additionally, the delinquency/foreclosure issue is also continuing to shift from subprime to prime. Of the loans in foreclosure during Q3'09, about 55 percent were made to prime borrowers, compared with 37 percent that were subprime (I suspect this doesn't really surprize any of us).
 

bdc63

Beach Fanatic
Jun 12, 2006
303
22
Md for now, but dreaming of SoWal
great deals for some buyers!

Ah, reminds me a bit of the universes three greatest lies ... "real estate only goes up", "now is a great time to buy", and "I promise I'll respect you in the morning"

I suspect that the buyer who can wait until this time next year will be rewarded with even better buys.
 
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