Share of Mortgage Loans in Forbearance Increases to .27% in July
Industry Update
August 19, 2024
Source: Mortgage Bankers Association
The Mortgage Bankers Association’s (MBA) monthly Loan Monitoring Survey revealed that the total number of loans now in forbearance increased to 0.27% as of July 31, 2024. According to MBA’s estimate, 135,000 homeowners are in forbearance plans. Mortgage servicers have provided forbearance to approximately 8.2 million borrowers since March 2020.
The share of Fannie Mae and Freddie Mac loans in forbearance increased 1 basis point to 0.12% in July 2024. Ginnie Mae loans in forbearance increased by 12 basis points to 0.56%, and the forbearance share for portfolio loans and private-label securities (PLS) increased 2 basis points to 0.33%.
“July saw an increase of approximately 20,000 more U.S. homeowners in forbearance compared to the previous month,” said Marina Walsh, CMB, MBA’s Vice President of Industry Analysis. “Most of this change can be attributed to recent natural disasters, which accounted for 27 percent of all loans in forbearance last month compared to 16 percent in June.”
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