For everyone waiting for short sale and freclosure inventory to rise this is a good indicator of what is coming! Distressed property inventories continue to decline and are a smaller and smaller part of the market! Waiting for something that not likely to happen will end up costing you significantly over the long run! Don’t wait until you are priced out or end up having to buy less of a home than you want!
Across the nation, mortgage delinquency rates are plummeting as the percentage of borrowers able to make their mortgage payments continues to improve.
According to TransUnion, the national mortgage delinquency rate (for borrowers 60 days or more delinquent on their mortgage) dropped to 4.09% in the third quarter 2013 compared to 5.33% in the third quarter 2012.
It was the seventh straight quarterly decline and represents a decrease of 23.3% on a year-over-year basis.
Between the third quarter of 2013 and the third quarter of 2012, every state experienced a decline in mortgage delinquency rates. Those states with the largest year-over-year decrease include California (38.5%), Arizona (38.1%) and Nevada (32.2%). Those states with the smallest year-over-year decrease include West Virginia (8.3%), Vermont (9.1%) and Pennsylvania (9.4%).
According to the report, current mortgage delinquency rates for some of the most populous states include California (3.4%), Texas (3.48%), New York (5.85%), Florida (9.11%) and Illinois (4.59%).
The primary cause of the improving data is increasing home prices that have helped many homeowners refinance or sell their way out of burdensome mortgages.
The credit-information company anticipates that the national mortgage delinquency rate will be lower than 4% at year’s end.
A further indicator that the housing market is stabilizing and fewer homes are falling into a state of distress is a significant drop in foreclosure inventory.
In a separate report, according to Lender Processing Services, the total foreclosure pre-sale inventory rate in October was 2.54% — a 3.23% decline from September — and a 29.61% decline since October 2012. Foreclosure inventory is at its lowest level since late 2008.