3 ms·
The US mortgage delinquency rate was 2.13% in Q1 2022 ( https://fred.stlouisfed.org/series/DRSFRMACBS https://fred.stlouisfed.org/series/DRSFRMACBS ). It was 4
by whycombinetor 4y ago
The US mortgage delinquency rate was 2.13% in Q1 2022
( https://fred.stlouisfed.org/series/DRSFRMACBS https://fred.stlouisfed.org/series/DRSFRMACBS ). It was 4% in 2016, 3% in 2018. Why should an observer/investor be worried that "Non-performing loans [...] could reach as much as [...] 1.4% of the outstanding mortgage balance"?
- nonethewiser 4y agoWhat are you trying to say here?
- ailun 4y agoThe situation is a bit different. It's common in China to pay for unfinished apartments. So the bank has nothing to foreclose on, and the property development company becomes even less likely to finish the property. The fear is that more people will protest by stopping payment in a downward spiral.
- HWR_14 4y agoYour numbers don't measure the same thing. Non-performing is a subset of delinquent, meaning likely to end in foreclosure. If you don't pay your mortgage, you go to delinquent and then a few months later to non-performing.
- whycombinetor 4y agoThank you - indeed I should be comparing against https://fred.stlouisfed.org/series/QBPLNTLNNCUR https://fred.stlouisfed.org/series/QBPLNTLNNCUR which is only 0.8%.