Mortgage Delinquency Rate Dropped 18% in 2010

According to a new market report released by Lender Processing Services (LPS) Tuesday, delinquency rates are down across all first-lien home loan products, with an 18 percent overall decline since the start of 2010. The company’s analysts attributed the drop to more loans entering foreclosure, combined with a decline in new delinquencies. As of the end of December, LPS reports the total U.S. delinquency rate for residential mortgage loans – which excludes loans that have been referred to an attorney for foreclosure – stood at 8.83 percent. That’s down from a rate of 9.02 percent reported by the company just one month earlier. In January 2010, the overall delinquency rate stood at 10.97 percent.