Share Of Mortgage Loans In Forbearance Dips For The Ninth Consecutive Week – NMP Skip to main content

Share Of Mortgage Loans In Forbearance Dips For The Ninth Consecutive Week

Navi Persaud
May 04, 2021
forbearance loans

The Mortgage Bankers Association's Forbearance and Call Volume Survey reported that the total number of loans now in forbearance decreased from 4.49% of servicers' portfolio volume in the prior week to 4.47% as of April 25, 2021. The MBA's estimate 2.23 million homeowners are currently in forbearance plans.

The share of Fannie Mae and Freddie Mac loans in forbearance decreased to 2.42%, Ginnie Mae loans in forbearance decreased 6.02%, while the forbearance share for portfolio loans and private-label securities (PLS) increased to 8.55%, according to the report.

The percentage of loans in forbearance for independent mortgage bank servicers decreased to 4.70%, and the percentage of loans in forbearance for depository servicers declined to 4.62%.

"The share of loans in forbearance decreased for the ninth straight week, dropping by 2 basis points. The rate of exits has slowed the past two weeks, with this week's exit rate reaching the lowest since February," said Mike Fratantoni, MBA's senior vice president and chief economist. "The increase in the forbearance share for portfolio and PLS loans highlights both the ongoing buyouts of delinquent loans from Ginnie Mae pools as well as an increased forbearance share for other loans that are not federally backed."

"Job market and housing market data remain strong. We expect that further gains in hiring will help to support many homeowners as they exit forbearance in the months ahead," added Fratantoni.

Click here to read more from the MBA's latest Forbearance and Call Volume Survey. 

Published
May 04, 2021
Open Mortgage Names New President

Joe Stephenson, formerly of American Advisors Group, to lead daily operations.

Industry News
Dec 01, 2021
Homepoint Expands Refinance Program Offerings

Now offers Freddie Mac’s new refinance option, Refi Possible, making it easier for many homeowners with a Freddie Mac-owned mortgage to reduce their interest rate.

Industry News
Nov 30, 2021
Non-QM Lender Deephaven Hires Business Development VP

Dallas-based Tim Fisher charged with growing Deephaven’s correspondent business In Texas and surrounding states

Industry News
Nov 30, 2021
Biden Reappoints Powell As Federal Reserve Chairman

A signal that The Fed will continue its policies as inflation surges and economic uncertainty spikes due to an emerging variant of the coronavirus. 

Industry News
Nov 29, 2021
Servion Taps Sagent For Consumer-First Servicing Tech Stack

A 7-year deal between Servion Mortgage and Sagent will equip Servion with Sagent's tech stack for performing, non-performing, and consumer experience.

Tech
Nov 29, 2021
Guaranteed Rate's Banosian Funds $2B In Total Loan Volume

The mortgage industry shouldn't be surprised by Guaranteed Rate's top loan officer, Shant Banosian, funding $2 billion in total loan volume during a record-breaking year. After all, “The Billion Dollar Man” is one of the top 5 loan originators in the U.S.

Wholesale
Nov 29, 2021