Mortgage Delinquencies Rise in Q4
March 25, 2010 2:34 PM
The Treasury Department reported less-than-optimistic news for the housing market. For the seventh consecutive quarter, the number of current and performing mortgages have fallen. Now at 86.4%, the decline was likely led by the 21.1% increase in the mortgages 90+ days past due (which now is 4.7% of all mortgages out there).
The report includes 34 million loans valued at nearly $6 trillion, and covers their performance through the end of Q4 2009.
This data suggests the housing outlook for 2010 may be bleak. Late mortgage payments lead to foreclosures, which will further perpetuate the limping U.S. housing market. It appears the only thing to stop the decline will be some form of outside intervention like government loan modification programs.
