Title industry news: We are seeing down payments increasing, mortgage delinquency decreasing, and other important news for title professionals

Title industry news gives an insight into the present conditions for title insurance and what endeavors may influence the future.

This article serves as a home for title industry news, focusing on industry reports in particular.

We begin today with ATTOM Data Solutions and down payment statistics. According to ATTOM’s Q3 2017 U.S. Residential Property Loan Origination Report, “…the median down payment for single family homes and condos purchased with financing in the third quarter was $20,000, up from $18,161 in the previous quarter and up from $14,400 in Q3 2016 to a new high as far back as data is available, Q1 2000.”

The article continues, “The average down payment of $20,000 was 7.6 percent of the median sales price of $263,000 for financed home purchases in the third quarter, up from 7.1 percent in the previous quarter and up from 6.1 percent in Q3 2016 to the highest level since Q3 2013 — a four-year high.”

Next, we look data from CoreLogic’s Loan Performance Insights Report. “Nationally, 5 percent of mortgages were in some stage of delinquency (30 days or more past due including those in foreclosure) in September 2017. This represents a 0.2 percentage point year-over-year decline in the overall delinquency rate compared with September 2016 when it was 5.2 percent.”

These September rates were the lowest recorded for the month since 2006.

In addition to mortgage delinquency decreases, homeowners saw equity grow in 2017. According to CoreLogic, “U.S. homeowners with mortgages (roughly 63 percent of all homeowners*) have collectively seen their equity increase 11.8 percent year over year, representing a gain of $870.6 billion since Q3 2016.”

The article continues with home equity gains. “Additionally, homeowners gained an average of $14,888 in home equity between Q3 2016 and Q3 2017. Western states led the increase, while no state experienced a decrease. Washington homeowners gained an average of approximately $40,000 in home equity and California homeowners gained an average of approximately $37,000 in home equity.”

Furthermore, home purchasing sentiment has been improving during Q3. According to a press release from PR Newswire, “The Fannie Mae Home Purchase Sentiment Index® (HPSI) increased 2.6 points in November to 87.8, once again nearing its all-time high from September.”

The release continues, “Additionally, the net share who reported that now is a good time to sell a home rose 4 percentage points in November and is now up 21 percentage points year-over-year. The net share who said home prices will go up in the next 12 months increased 6 percentage points in November, while Americans also expressed a greater sense of job security, with the net share who say they are not concerned about losing their job increasing 4 percentage points.”

We will continue to update this article with pertinent title industry news.

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Resources for this article on title industry news:

  • “Median Down Payment for U.S. Homes Purchased in Q3 2017 Increases to a New High of $20,000”. ATTOM Data Solutions. Accessed 12/26/17.
  • “CoreLogic Reports September Mortgage Delinquency Rates Lowest in More Than a Decade”. CoreLogic. Accessed 12/26/17.
  • “HPSI Returns to Gradual Upward Trend with November Jump”. PR Newswire. Accessed on 12/26/17.
  • “CoreLogic Reports Homeowner Equity Increased by Almost $871 Billion in Q3 2017”. CoreLogic. Accessed 12/26/17.