While foreclosures fell nationally in the second quarter of 2011, delinquencies are on the rise thanks to a meager labor market, according to the Mortgage Delinquency Survey released today by the Mortgage Bankers Association.

Foreclosure start rates fell to their lowest levels since the fourth quarter of 2007 at 0.96 percent, according to the survey, and the percentage of loans in the foreclosure process dropped to 4.43 percent in the second quarter from 4.52 percent in the first quarter and 4.57 percent in the prior-year quarter. But the delinquency rate for mortgage loans on one- to four-unit residential properties increased to a seasonally adjusted rate of 8.44 percent from 8.32 percent in the first quarter. It’s still far below the 9.85 percent experienced in the second quarter of 2010. – Adam Fusfeld
[more]

Mortgage loan applications for purchases climbed 9.3 percent last week to their highest level since early May, according to a ne [more]

Existing home sales will rise 11 percent in 2010, according to market predictions from Jay Brinkmann, chief economist at the Mortgage Bankers Association, while new home sales will climb by 21 percent during the same time period. During a speech yesterday at MBA’s annual convention, Brinkmann also noted that he believes existing home prices would likely decline during the first quarter of 2010 to a median price of $164,200. Federal Housing Administration commissioner David Stevens agreed with Brinkmann’s findings, according to the Associated Press, adding that he believes mortgage rates will jump to 5.6 percent before the end of 2010.

[Associated Press via Realtor Mag]

2010” class=”read-more-link”>[more]