Mortgage Delinquency Rate Lowest in 4 Years

The number of Americans behind on mortgage payments declined to the lowest level in four years during the first quarter, the Mortgage Bankers Assn. said. Plentiful jobs and low interest rates have been helping consumers keep up with payments on new and refinanced loans. Mortgage delinquencies fell to a seasonally adjusted 4.13% in the January-March period, down from 4.26% during the fourth quarter of 1998, the association said. That is the lowest delinquency rate since the first quarter of 1995. The rate was 4.42% during the first quarter of 1998. However, the percentage of loans in foreclosure at the end of the first quarter of this year increased slightly to 1.16%, from 1.11% at the end of 1998. This week, the average rate on 30-year mortgages hit a two-year high of 7.65%, according to Freddie Mac.