Black Knight, Inc. (NYSE:BKI) reports the following “first look” at December 2022 month-end mortgage performance statistics derived from its loan-level database representing the majority of the national mortgage market. The study found:

• The national delinquency rate inched up 7 basis points in the month to 3.08%, but finished the year 30 basis points (-9%) below its December 2021 level
• Prepayment activity fell to 0.39% – with single month mortality (SMM) hitting its third consecutive record low dating back to 2000 when Black Knight began reporting the metric
• Serious delinquencies (90+ days past due) continued to improve nationally despite an 8.7K rise in Florida in the wake of Hurricane Ian, with 44 other states seeing seriously past-due volumes decline in the month
• Borrowers 30 days late increased by 40K, up 4.8%, while 60-day delinquencies stayed flat
• Foreclosure starts increased by 15% in the month to 26,900 – the third consecutive increase, but still 30% below pre-pandemic levels
• Foreclosure was started on 4.9% of serious delinquencies in December, up from November but still 46% below the start rate seen in December 2019 prior to the pandemic
• Active foreclosure inventory rose by 2.3% in the month, though volumes remained subdued throughout 2022 after the record lows of 2021 due to widespread moratoriums and forbearance protections

Total U.S. loan delinquency rate (loans 30 or more days past due, but not in foreclosure): 3.08%
Month-over-month change: 2.31%
Year-over-year change: -8.89%

Total U.S. foreclosure pre-sale inventory rate: 0.37%
Month-over-month change: 0.71%
Year-over-year change: 53.47%

Total U.S. foreclosure starts: 26,900
Month-over-month change: 14.96%
Year-over-year change: 556.10%

Monthly prepayment rate (SMM): 0.39%
Month-over-month change: -2.72%
Year-over-year change: -76.14%

Foreclosure sales as % of 90+: 0.52%
Month-over-month change: -5.78%
Year-over-year change: 76.26%

Number of properties that are 30 or more days past due, but not in foreclosure: 1,653,000
Month-over-month change: 41,000
Year-over-year change: -146,000

Number of properties that are 90 or more days past due, but not in foreclosure: 545,000
Month-over-month change: -5,000
Year-over-year change: -401,000

Number of properties in foreclosure pre-sale inventory: 198,000
Month-over-month change: 2,000
Year-over-year change: 70,000

Number of properties that are 30 or more days past due or in foreclosure: 1,850,000
Month-over-month change: 42,000
Year-over-year change: -77,000

Top 5 States by Non-Current* Percentage

Mississippi: 6.87 %
Louisiana: 6.33 %
Oklahoma: 5.16 %
West Virginia: 4.92 %
Alabama: 4.91 %

Bottom 5 States by Non-Current* Percentage

Oregon: 2.10 %
Colorado :1.96 %
California: 1.91 %
Idaho: 1.89 %
Washington: 1.69 %

Top 5 States by 90+ Days Delinquent Percentage

Mississippi: 2.31 %
Louisiana: 1.90 %
Arkansas: 1.59 %
Alabama: 1.57 %
Maryland: 1.45 %

*Non-current totals combine foreclosures and delinquencies as a percentage of active loans in that state.