Recent data from Black Knight revealed that, nationwide, both mortgage delinquencies and foreclosure starts increased in the final month of 2022. Both are still significantly lower than one year prior.
The national delinquency rate increased to 3.08 percent in December 2022, a seven basis point uptick from the month prior. Though on a slight upward trend, the national delinquency rate is still 30 basis points below where it was at the end of 2021.
The number of households who are a single payment past due rose by 40,000 (an increase of 4.8 percent) in December. Sixty-day delinquencies remained flat from November. Serious delinquencies (90-plus days past due) continued to decline from the previous month (down 5,000 from November).
Foreclosure starts rose in December for the third consecutive month, increasing 15 percent from November to 26,900 for the month of December. This is still 30 percent lower than pre-pandemic levels. The foreclosure process was started on 4.9 percent of seriously delinquent loans, an increase from November, but still 46 percent lower than start rates in December 2019 prior to the start of the pandemic.
The number of loans in active foreclosure rose by 2,000 (an increase of 2.3 percent) at the close of 2022, though volumes remain lower throughout the year after record lows in 2021 brought on by foreclosure moratoria and forbearance protections.