Magazine article Mortgage Banking

LPS January Mortgage Monitor Finds New Problem-Loan Rates Worsening in Judicial States

Magazine article Mortgage Banking

LPS January Mortgage Monitor Finds New Problem-Loan Rates Worsening in Judicial States

Article excerpt

* The foreclosure inventory in judicial states remains three times that of non-judicial states, according to the January Mortgage Monitor report released by Lender Processing Services (LPS), Jacksonville, Florida.

Herb Blecher, LPS Applied Analytics senior vice president, said that on average, "pipeline ratios--the rate at which states are currently working through their existing backlog of loans either in foreclosure or serious delinquency--are almost twice as high in judicial states than non-judicial states."

He added, "At today's rate of foreclosure sales, it will take 62 months to clear the inventory in judicial states as compared to 32 months in non-judicial states."

Blecher noted that things are so backlogged in a few judicial states--New York and New Jersey in particular--that it would take "decades to clear if nothing were to change."

Some states recently have adopted "judicial-like" legislative measures or legal actions, which have significantly extended their pipeline ratios, Blecher said. The two states he mentioned that fall in this category are Massachusetts and Nevada.

As a result, Nevada's "time to clear" has gone from 27 months in January 2012 to 57 months as of January 2013, according to LPS. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.