Wednesday, May 22, 2013

Colorado 41st in nation for 90-day delinquencies

30-day delinquencies during the first quarter of 2013 were even with the fourth quarter of 2012, remaining flat at 2.18 percent of all loans surveyed in Colorado. According to the National Delinquency Survey, released by the Mortgage Bankers Association, the national 30-day delinquency rate was 2.86 percent during the first quarter, down from 3.21 percent reported during the fourth quarter of 2012.

The first graph shows 30-day delinquencies by quarter in Colorado since 2006. The 30-day delinquency rate for the first quarter was up compared to the first quarter of 2012, which was 2.03 percent.


The number of loans that were 90 days delinquent of more were down in Colorado, falling to 1.67 percent of all loans surveyed during the first quarter of 2013. The 90-day delinquency rate during the first quarter of 2012 was 1.96 percent, and it was 1.73 percent during the fourth quarter of 2012. The second graph shows the percentage of mortgage loans that were at least 90 days delinquent in recent years. The 90-day delinquency rate has been falling consistently in Colorado since the fourth quarter of 2009.


The foreclosure inventory also fell during the first quarter of 2013 and has fallen for the past nine quarters in a row. Colorado's foreclosure inventory dropped to 1.38 percent during the first quarter of 2013, falling from 2012's first quarter rate of 1.95 percent. The inventory was also down from 2012's fourth-quarter rate of 1.41 percent. The third graph shows the foreclosure inventory in Colorado:



National Comparisons:

As can be seen in the second and third graphs, Colorado's foreclosure inventory and 90-day delinquency rates are well below the national rates. The U.S. 90-day delinquency rate during the first quarter of 2013 was 2.84 percent.

The U.S. foreclosure inventory rate was 3.55 percent during the first quarter of 2013.

Using the 90-day delinquency rate to compare Colorado to all other states, we find that Colorado had the ninth-lowest delinquency rate in the nation during the first quarter of 2013. The only states with lower 90-day delinquency rates were Vermont, Iowa, Minnesota, North Dakota, South Dakota, Montana, Wyoming and Alaska. The lowest 90-day delinquency rate in the nation was found in North Dakota where it was 0.58 percent, and the highest rate was found in Nevada where it was 5.19 percent.

Delinquencies are measured by the MBA via surveys sent to major loans servicers. The MBA estimates it covers 88 percent of all first-lien residential mortgage loans outstanding in the US with the survey.