LPS: Mortgage Delinquency Rate decreases in July

According to the First Look report for July to be released today by Lender Processing Services (LPS), the percent of loans delinquent decreased in July compared to June, and declined about 9% year-over-year. Also the percent of loans in the foreclosure process declined further in July and were down 31% over the last year.

LPS reported the U.S. mortgage delinquency rate (loans 30 or more days past due, but not in foreclosure) decreased to 6.41% from 6.68% in June. Note: Some of the decrease in short term delinquencies in July is seasonal.   The normal rate for delinquencies is around 4.5% to 5%.

The percent of loans in the foreclosure process declined to 2.82% in July from 2.93% in June. 

The number of delinquent properties, but not in foreclosure, is down 327,000 properties, and the number of properties in the foreclosure process is down 636,000 properties year-over-year.

LPS will release the complete mortgage monitor for July in early September.

LPS: Percent Loans Delinquent and in Foreclosure Process
	July 2013	June 2013	July 2012
Delinquent	6.41%	6.68%	7.03%
In Foreclosure	2.82%	2.93%	4.08%
Number of properties:
Number of properties that are 30 or more, and less than 90 days past due, but not in foreclosure:	1,846,000	1,983,000	1,960,000
Number of properties that are 90 or more days delinquent, but not in foreclosure:	1,347,000	1,345,000	1,560,000
Number of properties in foreclosure pre-sale inventory:	1,406,000	1,458,000	2,042,000
Total Properties	4,599,000	4,785,000	5,562,000