The number of foreclosures is not increasing and neither are delinquencies in mortgage repayment. Let’s celebrate. The housing turnabout is here? Along with the rapture? Well, not quite.
The WSJ reports: Thursday’s report on mortgage delinquencies from the Mortgage Bankers Association offered a mixed bag. The good news is that the share of problem loans in the system is down from one year ago.
The bad? Mortgage delinquencies, after adjusting for seasonal factors, didn’t decline much in the first quarter from the previous quarter, and foreclosures remain at very high levels.
But increasingly, the national numbers don’t paint as useful a picture about what’s happening on the foreclosure front, a point that Jay Brinkmann, the trade group’s chief economist, made on Thursday. National figures are “dominated by some problem areas that are both large and are going to have a much longer timeline to work out,” he said.