Cotality: Mortgage Delinquencies Remain Steady Across the U.S.
Despite continued economic uncertainties, the U.S. housing market is showing signs of stability when it comes to mortgage performance. According to the latest data from Cotality, national mortgage delinquency rates held steady at 2.8% in January 2024, unchanged from the same period last year. The rate of serious delinquencies—loans 90 days or more past due—dropped to 1%, a notable improvement from 1.2% a year earlier and well below the pandemic-era peak.
Foreclosure inventory remained historically low at 0.3%, reflecting the resilience of homeowners in maintaining payments. However, regional differences persist. Twelve states saw year-over-year increases in delinquencies, including Hawaii and Idaho. In particular, the Kahului-Wailuku-Lahaina area in Hawaii experienced a 2 percentage point spike, likely tied to the financial aftereffects of last year’s wildfires. While overall mortgage health remains strong, localized challenges highlight the need for ongoing monitoring in vulnerable markets.