Prepayment activity spiked by 26 percent from June to July and by 58 percent from July 2018, according to new data from Black Knight Inc. The prepayment activity level is at its highest peak since 2016, fueled primarily by a new wave of refinancing brought about by declining interest rates.
Black Knight also reported the national delinquency rate fell by 7 percent last month to reach the 3.46 percent level. Last month’s delinquency rate is the lowest of any July since Black Knight began tracking data in 2000.
Furthermore, the number of serious delinquencies fell in July by 11,000, going below the 445,000 level for the first time since June 2006. The active foreclosure inventory also recorded a drop of 1,000 properties.