Fannie and Freddie: Single Family and Multi-Family Serious Delinquency Rates Increased in September

Fannie Mae Multi-Family Delinquency Rate Ties Highest Since 2011

Single-family serious delinquencies increased slightly in September, and multi-family serious delinquencies increased.

Freddie Mac reported that the Single-Family serious delinquency rate in September was 0.54%, up from 0.52% August. Freddie's rate is down slightly year-over-year from 0.55% in September 2023.  This is below the pre-pandemic lows.

Freddie's serious delinquency rate peaked in February 2010 at 4.20% following the housing bubble and peaked at 3.17% in August 2020 during the pandemic.

Fannie Mae reported that the Single-Family serious delinquency rate in September was 0.52%, up from 0.50% in August. The serious delinquency rate is down year-over-year from 0.54% in September 2023.  This is also below the pre-pandemic lows.

The Fannie Mae serious delinquency rate peaked in February 2010 at 5.59% following the housing bubble and peaked at 3.32% in August 2020 during the pandemic.

These are mortgage loans that are "three monthly payments or more past due or in foreclosure". Mortgages in forbearance are being counted as delinquent in this monthly report but are not reported to the credit bureaus.

For Fannie, by vintage, for loans made in 2004 or earlier (1% of portfolio), 1.46% are seriously delinquent (up from 1.45% the previous month). 

For loans made in 2005 through 2008 (1% of portfolio), 2.15% are seriously delinquent (up from 2.11%).

For recent loans, originated in 2009 through 2023 (98% of portfolio), 0.46% are seriously delinquent (up from 0.44%). So, Fannie is still working through a handful of poor performing loans from the bubble years.

Multi-Family Delinquencies Increased, Fannie Rate Matches Highest Since 2011

Here are the multi-family 60+ day delinquency rate since 2006.

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