A moratorium on foreclosures implemented by the federal government last month has led to a 70 percent decline on new filings from March to April. In total there were 14,148 U.S. properties with foreclosure filings against them in April, according to ATTOM Data Solutions. This is the lowest monthly figure since 2005.
“Foreclosure cases dropped dramatically last month following the foreclosure moratorium imposed on lenders holding federally backed mortgages,” said Todd Teta, chief product office for ATTOM. “The drop-off will almost certainly be temporary. And when [the moratorium] is lifted, we should be able to more clearly measure how deeply the pandemic fallout is affecting homeowners.”
The Federal Housing Finance Agency, which oversees Fannie Mae and Freddie Mac, announced this week that it is extending its federal halt on evictions and foreclosures through June 30. It was previously set to expire May 16.
Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 3.375 percent and 15-year rates are near 2.75 percent.
Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.