The definition of a ’60-plus delinquency’
60-plus delinquency rates are mortgage loans that are 60 or more days behind on their monthly mortgage payments. 60-plus percent of outstanding debt, usually expressed as a percentage of the group of loans written within a specified period of time, e.g. calendar year. Another common grouping method are the interest rates on the pool of loans, which are mortgage-backed securities (MBS) or other securitized mortgage products.
60-plus delinquency less than 90 days past due and has not yet entered the foreclosure process loan in the latter status are expressed separately. In the 60 plus rate may be split into For loans and mortgages. In the 60 plus rate on mortgage loans may be higher than for a simple. In addition, 60-plus rates are often published separately for fixed interest rate vs adjustable interest rate loans.
Penetration ’60-plus delinquency’
In the 60-plus levels of crime are often added to another negative event to measure the repurchase rate for the same group of loans. Both together give the cumulative rate of individual mortgage loans that either do not pay at all or pay schedule.
If the rate on delinquent and/or foreclosed mortgages, exceeds a certain level, mortgage-backed securities, may have a shortage of funds for payments to investors. This can cause a massive revaluation of assets, resulting in some investors losing most of their invested capital.
The Share Of Overdue Mortgage Payments On The Decline
The national survey of mortgage arrears prepared by the global property information firm corelogic found that at the national level, 4.9 percent of mortgage loans were in some stage of delinquency (30 days or more past due, including foreclosure) in January 2018. This is 0.2 percentage points lower overall crime rate compared to the previous year when it amounted to 5.1 percent. The share of mortgage loans which were 60-89 days past due in January 2018 was 0.8%, unchanged from December 2017 and ranged from 0.7% in January 2017.
CEO сcorelogic stated in most of the country, crime and foreclosure rates moved lower than in 2017; the only exception was the Metropolitan areas affected by natural disasters such as Houston and Puerto Rico.