Share of Mortgage Loans in Forbearance Decreases to 0.64% in January

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• Total loans in forbearance decreased by 6 basis points in January 2023 relative to December 2022: from 0.70% to 0.64%.
  • By investor type, the share of Ginnie Mae loans in forbearance decreased relative to the prior month: from 1.45% to 1.37%.
  • The share of Fannie Mae and Freddie Mac loans in forbearance decreased relative to the prior month: from 0.31% to 0.30%.
  • The share of other loans (e.g., portfolio and PLS loans) in forbearance decreased relative to the prior month: from 1.00% to 0.83%.

• Loans in forbearance as a share of servicing portfolio volume (#) as of January 31, 2023:
  • Total: 0.64% (previous month: 0.70%)
  • Independent Mortgage Banks (IMBs): 0.86% (previous month: 0.97%)
  • Depositories: 0.42% (previous month: 0.44%)

• By stage, 36.9% of total loans in forbearance are in the initial forbearance plan stage, while 49.9% are in a forbearance extension. The remaining 13.2% are forbearance re-entries, including re-entries with extensions.
• Of the cumulative forbearance exits for the period from June 1, 2020, through January 31, 2023, at the time of forbearance exit:
  • 29.6% resulted in a loan deferral/partial claim.
  • 18.1% represented borrowers who continued to make their monthly payments during their forbearance period.
  • 17.5% represented borrowers who did not make all of their monthly payments and exited forbearance without a loss mitigation plan in place yet.
  • 16.1% resulted in a loan modification or trial loan modification.
  • 10.9% resulted in reinstatements, in which past-due amounts are paid back when exiting forbearance.
  • 6.6% resulted in loans paid off through either a refinance or by selling the home.
  • The remaining 1.2% resulted in repayment plans, short sales, deed-in-lieus or other reasons.

• Total loans serviced that were current (not delinquent or in foreclosure) as a percent of servicing portfolio volume (#) increased to 95.86% in January 2023 from 95.69% in December 2023 (on a non-seasonally adjusted basis).
  • The five states with the highest share of loans that were current as a percent of servicing portfolio: Washington, Idaho, Colorado, Utah, and California.
  • The five states with the lowest share of loans that were current as a percent of servicing portfolio: Louisiana, Mississippi, Indiana, West Virginia, and New York.
• Total completed loan workouts from 2020 and onward (repayment plans, loan deferrals/partial claims, loan modifications) that were current as a percent of total completed workouts increased to 76.03% in January from 75.92% the previous month.