Thursday, May 28, 2009

Baseball, Apple Pie, and Delinquencies

So far there is no end in sight for mortgage delinquencies. The latest data from the Mortgage Bankers Association is showing that over 9% of mortgages out there are now delinquent. This is unprecedented in recent history - see chart (going back to the 70s).

A popular myth out there is that it's the subprime defaults that are driving the rapid rise in delinquencies. Subprime mortgage delinquency rate has hit 25% based on the latest data. But the chart below shows the situation with prime mortgages.

No comments:

Related Posts Plugin for WordPress, Blogger...
Bookmark this post:
Share on StockTwits