The end of last year saw a significant drop in delinquent mortgages, according to a recent report from Transunion, a credit information provider, CNBC reported. But dip might be temporary, as new laws are slowing the foreclosure process. While the fourth quarter of 2012 saw improvements in 37 states and a 14 percent drop overall in delinquencies year-over-year, experts caution that the statistics could be deceiving.
“The declines in the mortgage delinquency rate will likely be muted for the foreseeable futures as the foreclosure process in some states can take more than 1,000 days,” Tim Martin a vice president at Transunion, told CNBC. “It is not clear yet, but recently announced regulatory rules related to mortgage servicing may tend to slow down this process further.”
Nationally, the mortgage delinquency rate is now 5.19 percent, CNBC said. [CNBC] –Guelda Voien