An increase in cure activity, defined as a borrower paying their mortgage current from some stage of delinquency or foreclosure, helped in part to improve delinquencies in December 2016 according to the report. It also said more than 450,000 borrowers paid themselves current on their mortgages, representing a 17 percent monthly rise.
The inventory of loans in foreclosure declined by more than 30 percent year-over-year, edging out 2013 for the highest rate of decline on record. Severely delinquent foreclosures, defined as those that haven’t made a payment in over two years, dropped by 38 percent from 2015. Less delinquent foreclosure inventory dropped by 21 percent.
December also saw only 59,700 foreclosure starts, a 24 percent decline from the same time one year ago.