HomeBlog HomeBlog PostsNumber of Loans in Forbearances Remains Flat

Number of Loans in Forbearances Remains Flat

Number of Loans in Forbearances Remains Flat

According to latest data from Black Knight’s McDash Flash Forbearance Tracker, the number of mortgages in active forbearance remained flat over the past week, with a 15,000 reduction among GSE mortgages offset by a 5,000 rise in FHA forbearances and a 10,000 increase among portfolio/PLS-held loans.

As of August 18, 3.9 million homeowners remain in active forbearance, representing 7.4% of all active mortgages, unchanged from last week. Together, they represent $833 billion in unpaid principal.

Some 5.4% of all GSE-backed loans and 11.6% of all FHA/VA loans are currently in forbearance plans. Another 8% of loans in private label securities or banks’ portfolios are also in forbearance.

Over the past 30 days, the number of active forbearances has declined by 202,000 (-5%). The strongest improvement was among GSE loans (-130,000, -8%). FHA/VA forbearances have remained relatively flat, with a modest 1% (-11,000) decline over that same period. Forbearances among private/portfolio loans fell 67,000 (-6%).

As we’ve discussed previously, there are a number of factors that continue to represent significant uncertainty as we move forward, including the ongoing COVID-19 pandemic and the expiration of expanded unemployment benefits last month.