National delinquencies fell in March to a 12-month low, but despite that, the recent hurricanes continue to have a negative effect on foreclosures, according to the latest report from Black Knight.
The national delinquency rate improved 13.24% in March due to seasonal effects and continued hurricane-related improvements, according to the report. Annually, the delinquency rate increased by 3.09%.
Serious delinquencies, delinquencies that are 90 days or more past due but not in foreclosure, fell by 65,000 to 632,000 March. But this is up by 43,000 serious delinquencies from last year.
This monthly decrease was due, in part, from the decrease of 19,500 serious delinquencies attributable to hurricanes Harvey and Irma.
However, this may not reflect that hurricane areas are getting better, in fact, it could mean they’re getting worse. Foreclosure starts increased by 12% in March, of which more than two-thirds came from hurricane-affected areas of Texas and Florida.
But overall, the active foreclosure inventory level continues to see improvement. Active foreclosures fell by 10,000 in March to the lowest level since late 2006.
Both Florida and Texas fell within the top five states by 90 days or more delinquent percentage. Florida was the top state with 3.34% of its homes with a mortgage being seriously delinquent, followed by Mississippi with 3.03%, Louisiana with 2.23%, Texas with 1.99% and Alabama with 1.97%.
