by Calculated Risk on 10/17/2022 04:00:00 PM
Note: This is as of September 30th.
From the MBA: Share of Mortgage Loans in Forbearance Decreases to 0.69% in September
The share of Fannie Mae and Freddie Mac loans in forbearance decreased 2 basis points to 0.30%.
Ginnie Mae loans in forbearance increased 1 basis point to 1.33%, and the forbearance share for portfolio
loans and private-label securities (PLS) declined 12 basis points to 1.14%.
“The overall number of loans in forbearance dropped in September, but the pace of forbearance exits
slowed to a new survey low and new forbearance requests continued to come in. This dynamic in turn
prevented any substantial improvement in the forbearance rate,” said Marina Walsh, CMB, MBA’s Vice
President of Industry Analysis. “The COVID-19 federal health emergency is still in effect and in most
cases, borrowers can still seek initial COVID-19 hardship forbearance.”
Added Walsh, “In the near-term, the number of loans in forbearance will likely increase for another reason
– the recent devastation caused by Hurricane Ian in Florida, South Carolina, and other states. MBA’s
Loan Monitoring Survey requests that servicers report all loans in forbearance regardless of the
borrower’s stated reason – whether pandemic-related, due to a natural disaster, or another cause.”
Click on graph for larger image.
This graph shows the percent of portfolio in forbearance by investor type over time.
The share of forbearance plans is decreasing, and, at the end of September, there were about 345,000 homeowners in forbearance plans.