More than 7 million troubled homeowners helped during conservatorships
The Federal Housing Finance Agency (FHFA) today released its third quarter 2024 Foreclosure Prevention and Refinance Report. The report shows that Fannie Mae and Freddie Mac (the Enterprises) completed 43,459 foreclosure prevention actions during the quarter, raising the total number of homeowners who have been helped to 7,047,721 since the start of conservatorships in September 2008.
The report also shows that 35 percent of loan modifications completed in the third quarter reduced borrowers’ monthly payments by more than 20 percent. The number of refinances increased from 89,571 in the second quarter of 2024 to 98,785 in the third quarter of 2024.
The Enterprises’ serious (90 days or more) delinquency rate increased slightly to 0.53 percent at the end of the third quarter. This compares with 3.63 percent for Federal Housing Administration (FHA) loans, 2.26 percent for Veterans Affairs (VA) loans, and 1.55 percent for all loans (industry average).
Other highlights from the report include:
- Forbearance: The total number of loans in forbearance plans increased in the third quarter of 2024. As of September 30, 2024, there were 39,669 loans in forbearance, representing approximately 0.13 percent of the Enterprises’ single-family conventional book of business, up from 31,827 or 0.10 percent at the end of the second quarter. Approximately 1 percent of these loans have been on the plan for more than 12 months.
- Mortgage Performance: The 60+ day delinquency rate increased from 0.70 percent at the end of the second quarter to 0.75 percent at the end of the third quarter of 2024.
- Foreclosures: The number of foreclosure starts rose 27.0 percent to 22,025.
- Real Estate Owned (REO) Activity & Inventory: The Enterprises’ REO inventory decreased 7 percent from 9,450 in the second quarter of 2024 to 8,766 in the third quarter of 2024, as REO property dispositions outpaced acquisitions. The total number of property acquisitions decreased 2 percent to 1,176, while dispositions declined 12 percent to 1,848 during the quarter.
FHFA’s quarterly foreclosure prevention and refinance reports include data on the Enterprises’ mortgage performance, delinquencies, and active forbearance plans, as well as forfeiture actions and refinances by state. The data included in these reports are also available on FHFA’s website as an interactive Borrower Assistance Map.
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