Distressed

The payment supplement partial claim the Federal Housing Administration proposed could be effective but not as is, according to the Mortgage Bankers Association and two other groups.

The amount of distressed assets rose 10% in the first three months of the year, according to a new report from MSCI Real Assets.

But when compared past periods of upheaval, those rates remain relatively low, the Mortgage Bankers Association report showed.

Now that the national emergency is over some — but not all — government-related entities have set what may be final deadlines for this form of pandemic relief.

But the percentage of loans in workout no longer current increased in April, the Mortgage Bankers Association found.

Consumers are receiving demand letters on loans they have not had any communication about in at least 10 years, the regulator said.

Economic turbulence affected borrowers during the quarter and will likely impact their ability to refinance maturing loans, the Mortgage Bankers Association said.

The 51 basis point increase was inevitable after the late payment rate reached a record low in the third quarter, the Mortgage Bankers Association said.

New starts surged 75% compared to a year ago, but repossessions saw their first decline in one-and-a-half years, according to Attom.

Mortgage prepayment rates also fell to a new low for the third consecutive month in December, according to Black Knight.