Delinquencies Find New Low in March

  • Source:  DSNews

Treliant Takeaway: 

Treliant works to assist our clients in focusing on regulatory compliance, promoting operational best practices, and meeting  strategic and operational  objectives.  Partnering with Treliant can help address changing mortgage servicing trends, regulations, and current market shifts noted in the industry.  Treliant can assist you with assessing your operational processes and determining a plan to address the process and risk potential to changes in the housing market.  Treliant has professionals with extensive mortgage industry experience and can assist in assessing current operational performance with future expectations.

Article Highlights for Mortgage Servicing:

The current sentiment in the mortgage industry is that 2022 will see a softening in the housing market.  According to HouseCanary, potential homebuyers going into the summer months are going to encounter challenges that include higher rates and a shrinking supply of available homes for purchase.  Recent market results show a trend of decreasing price growth from February to March 2022.  Also, listings under contract have noted a double-digit year-over-year decline.   According to Jeremy Sicklick, Co-Founder and CEO of HouseCanary, “In May, we saw the first sign of a potential softening in the housing market as mortgage rates are climbing higher than pre-pandemic levels”.  He went on to say that “It continues to be a challenging environment for buyers, as increased rates, already bloated prices, and short supply leading to competitive bidding has made homeownership more expensive.”

Noted high-lights related to the current trends in 2022:

  • New listings for May 2022 decreased 16.6% compared to May 2021;
  • Net new listings for the year since May 2021 has decreased 4.2.%
  • Listings under contract for the year since May 2021 has decreased 8.3%
  • Monthly contract volume for the year since May 2021 has decreased 10.9%

In the near term for the upcoming summer of 2022, HouseCanary is estimating that the market will continue to experience a short supply of available homes for purchase with single-digit price growth.