PROVIDENCE – Mortgage delinquency in Rhode Island continued to remain below 2020 rates in June.
The share of mortgages overdue by 30 days or more in the Ocean State in June was 4.2%, a decline of 2.4 percentage points year over year, according to data released by CoreLogic on Tuesday.
Rhode Island’s mortgage delinquency rate was also lower than the national rate of 4.4%, which had declined from 7.1% in June 2020 but was still the second-highest rate in New England.
“While job and income growth has helped to push delinquency rates down, there are many families that remain in financial distress,” said Frank Nothaft, chief economist at CoreLogic. “More than one million borrowers had missed six or more payments as of June, triple the number of borrowers pre-pandemic. CoreLogic analysis found that as of June 2021, borrowers in forbearance and behind on mortgage payments had missed an average of 10 monthly payments.”
Other New England states’ mortgage delinquency rates in June:
- Connecticut: 5.4%
- Maine: 4%
- Massachusetts: 3.7%
- New Hampshire: 3.1%
- Vermont: 2.3%
Rhode Island’s serious mortgage delinquency rate, measuring the share of mortgages 90 days or more overdue, also declined year over year in June, falling from 3.3% to 2.7%. The national serious delinquency rate at that time was 3%, a dip of 0.4 percentage points from one year prior.
“The downward trend in delinquencies, especially serious cases, is very encouraging – and a testimony to the impact of the significant economic rebound over the past six months, as well as government stimuli, record-low mortgage rates and loan modification options,” said Frank Martell, CEO and president of CoreLogic. “Providing resources to homeowners experiencing distress to help educate them on available government and private-sector support will aid in shrinking delinquency and foreclosure rates even more over the remainder of this year.”
Rhode Island foreclosure rate in June was 0.3%, a tick down of 0.1 percentage points year over year. The national foreclosure rate was 0.2% in June.
The full report may be found online.
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