What Is Mortgage Delinquency?
Author:
Scott SteinbergJun 2, 2024
•4-minute read
Sometimes, unexpected hardships can strain our budgets, increasing the chances of a late mortgage payment.
We’ll dive deeper into mortgage delinquency, including its consequences and how to work with your lender or servicer to get out of it.
Mortgage Delinquency, Defined
Mortgage delinquency is a real estate term that refers to when homeowners are at least 30 days overdue on making at least one mortgage payment. Consequences for mortgage delinquency range from late fees to credit impacts and possibly even foreclosure on a home.
Current Mortgage Delinquency Rates
According to data from the Federal Reserve Board, mortgage delinquency rates are projected to drop in 2024.
Single-family residential mortgage delinquencies dropped in the fourth quarter of 2023, falling 1.69% from 1.74% in the first quarter. The highest mortgage delinquency rate since the start of 2020 was 2.83%, recorded in the third quarter of 2020.