Freddie Mac reported that the Single-Family serious delinquency rate was unchanged in July at 1.08%, the same as in June. Freddie’s rate is down from 1.48% in July 2015.
This ties the lowest rate since July 2008.
Freddie’s serious delinquency rate peaked in February 2010 at 4.20%.
These are mortgage loans that are “three monthly payments or more past due or in foreclosure”.
Although the rate is generally declining, the “normal” serious delinquency rate is under 1%.
The Freddie Mac serious delinquency rate has fallen 0.40 percentage points over the last year, and at that rate of improvement, the serious delinquency rate will be below 1% in two or three months.
Note: Fannie Mae will report in the next few days.