More owners late on loans

U.S. mortgage delinquencies increased last quarter for the first time in a year while foreclosures fell to the lowest level since 2000, according to a Mortgage Bankers Assn. report.

The share of homeowners who paid their mortgages a month or more late rose to a seasonally adjusted 4.43%, from 4.33% in the first quarter, according to the report issued Wednesday. The share of loans in foreclosure fell to 1.16% from 1.27% in the prior quarter.

The gain in delinquencies was led by a rise in loans a month past due, said Doug Duncan, MBA’s chief economist. So-called “seriously delinquent loans,” with payments more than 90 days late, fell to a three-year low as the U.S. economy improved, he said.