JACKSONVILLE, Fla. – April 3, 2012 - The latest Mortgage Monitor report released by Lender Processing Services, Inc. (NYSE: LPS) shows that February foreclosure starts and sales reversed course, declining on a month-over-month basis after January’s sharp increase in activity. Foreclosure starts were down 15 percent from the month prior, with sales down 19 percent for the same period. Foreclosure sales decreased in both judicial and non-judicial foreclosure states, dropping 22 and 15 percent month-over-month respectively in February.
The LPS mortgage performance data showed that, while January’s increase in foreclosure sales was most pronounced in loans held on bank portfolios, the February drop was broad-based across all investor classes. Even accounting for the decrease in foreclosure sales, national pipeline ratios continue to decline off their peaks, but still differ sharply by region. As of the end of February, the average pipeline ratio in judicial states stood at 84 months, as compared to 33 months in non-judicial states. Pipeline ratios continue to be most pronounced in the Northeast, particularly in New York and New Jersey, where average pipelines remain at 846 and 772 months respectively.
The February mortgage performance data also showed that continued declines in new problem loan rates support improved delinquency rates nationwide. Seasonal patterns are also evident in cures from delinquency, with increased cure rates across almost all categories of delinquent loans. Additionally, first-time foreclosures remained stable as repeat foreclosures saw an 8 percent month-over-month decrease. At the same time however, new mortgage originations remain depressed, continuing a four-month decline.
As reported in LPS' First Look release, other key results from LPS' latest Mortgage Monitor report include:
|Total U.S. loan delinquency rate:
|Month-over-month change in delinquency rate:
|Total U.S. foreclosure pre-sale inventory rate:
|Month-over-month change in foreclosure pre-sale inventory rate:
|States with highest percentage of non-current* loans:
||FL, MS, NV, NJ, IL|
|States with the lowest percentage of non-current* loans:
||MT, AK, WY, SD, ND|
*Non-current totals combine foreclosures and delinquencies as a percent of active loans in that state.
(1) Totals are extrapolated based on LPS Applied Analytics' loan-level database of mortgage assets.
(2) All whole numbers are rounded to the nearest thousand.
About the Mortgage Monitor
LPS manages the nation's leading repository of loan-level residential mortgage data and performance information on nearly 40 million loans across the spectrum of credit products. The company's research experts carefully analyze this data to produce a summary supplemented by dozens of charts and graphs that reflect trend and point-in-time observations for LPS' monthly Mortgage Monitor Report. To review the full report, visit http://www.lpsvcs.com/LPSCorporateInformation/CommunicationCenter/DataReports/Pages/default.aspx
About Lender Processing Services
Lender Processing Services, Inc. (LPS) is a leading provider of integrated technology, services and mortgage performance data and analytics to the mortgage and real estate industries. LPS offers solutions that span the mortgage continuum, including lead generation, origination, servicing, workflow automation, portfolio retention and default, augmented by the company's award-winning customer support and professional services. Approximately 50 percent of all U.S. mortgages by dollar volume are serviced using LPS' loan servicing platform, MSP. LPS also offers proprietary mortgage and real estate data and analytics for the mortgage and capital markets industries. For more information about LPS, visit www.lpsvcs.com