For the 14th week in a row, the share of mortgage loans in forbearance fell, according to the Mortgage Bankers Association’s weekly survey (MBA)
- The total number of loans now in forbearance fell 12 basis points to 4.04% for the week starting June 6th.
- Estimates now say just 2 million homeowners are in forbearance plans.
Unfortunately, the loans in forbearance programs are in extension programs…
- Initial stage forbearance makes up just 10.6% of total loans.
Forbearance extensions made up 83.6% of total loans in forbearance.
Mike Fratantoni, Chief Economist and MBA’s Senior Vice President, says that even those still in forbearance still have options. “…Homeowners who are reaching the end of their forbearance term need to contact their servicer to discuss the next steps in the process, as servicers cannot extend the forbearance term without talking to the borrower.”