AbstractorPro (Real Title Services)
Register
Log In
Forget your Password?

Home
Directory
Bulletins
Forums
Blogs
Articles
Links
Classifieds
About Us
Contact Us
Advertise
FAQ
Privacy Policy


Share of Mortgage Loans in Forbearance Decreases for Third Straight Week to 8.39%
press release, Mortgage Bankers Association
   

The Mortgage Bankers Association's (MBA) latest Forbearance and Call Volume Survey revealed that the total number of loans now in forbearance decreased by 8 basis points from 8.47% of servicers' portfolio volume in the prior week to 8.39% as of June 28, 2020. According to MBA's estimate, almost 4.2 million homeowners are in forbearance plans.

The share of Fannie Mae and Freddie Mac loans in forbearance dropped for the fourth week in a row to 6.17%, a 9-basis-point improvement. Ginnie Mae loans in forbearance decreased 11 basis points to 11.72%. The forbearance share for portfolio loans and private-label securities (PLS) increased by 1 basis point to 10.08%. The percentage of loans in forbearance for depository servicers dropped to 9.03%, while the percentage of loans in forbearance for independent mortgage bank (IMB) servicers decreased to 8.33%.

"We learned last week that the job market improved more than expected in June. With that as background, it is not surprising that the forbearance numbers continue to improve as more people go back to their jobs," said Mike Fratantoni, MBA's Senior Vice President and Chief Economist. "The improvement in the forbearance data was broad-based, with declines for both GSE and Ginnie Mae loans. The decrease in new forbearance requests indicates that further declines are likely in the weeks ahead."

Added Fratantoni, "Looking at the mix of loans that are exiting forbearance, we are seeing a higher share exiting into deferral options and modifications, and somewhat fewer simply opting out of a forbearance plan."

Key findings of MBA's Forbearance and Call Volume Survey - June 22 to June 28, 2020

 

  • Total loans in forbearance decreased by 8 basis points relative to the prior week: from 8.47% to 8.39%.
    • By investor type, the share of Ginnie Mae loans in forbearance decreased from 11.83% to 11.72%.
    • The share of Fannie Mae and Freddie Mac loans in forbearance decreased relative to the prior week: from 6.26% to 6.17%.
    • The share of other loans (e.g., portfolio and PLS loans) in forbearance increased relative to the prior week: from 10.07% to 10.08%.
  • Forbearance requests as a percent of servicing portfolio volume (#) decreased across all investor types: from 0.14% to 0.12%.
  • Weekly servicer call center volume:
    • As a percent of servicing portfolio volume (#), calls decreased from 7.8% to 6.8%.
    • Average speed to answer increased relative to the prior week from 1.8 minutes to 1.6 minutes.
    • Abandonment rates decreased from 5.5% to 5.0%.
    • Average call length increased from 7.0 minutes to 7.5 minutes.
  • Loans in forbearance as a share of servicing portfolio volume (#) as of June 28, 2020:
    • Total: 8.39% (previous week: 8.47%)
    • IMBs: 8.33% (previous week: 8.42%)
    • Depositories: 9.03% (previous week: 9.09%)

 

MBA's latest Forbearance and Call Volume Survey covers the period from June 22 through June 28, 2020, and represents 76% of the first-mortgage servicing market (38.2 million loans).



to post a comment on this article: login - or - register



Directory

The Source of Title Business directory has 8825 listed companies.

Leave feedback on a company:
SOT ID #:  learn more...
DRN Title Search
Blogs

Read other users' blogs-- or start your own!

Most Recent Blog Posts:

Protecting Your Home: The Ins and Outs of Deed Theft and How to Shield Yourself
Security American's Blog
2024/03/21
0 comments

Exploring the Implications of Eliminating Mandatory Title Insurance
Security American's Blog
2024/03/11
0 comments

Be Ready - Will the Summer Surge be a 'short game'?
Denise Williams's Blog
2024/03/02
0 comments

Forums

Source of Title's Forums are the place for title industry discussions.
Recent posts in the forums:



Classifieds

Buy, sell, or trade! Browse the ads or post your own!

© 2020, Source of Title.