Regional issues fuel rise in foreclosure indicator
National Mortgage News
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An indicator of foreclosures is on the rise as pockets of distress persist in the U.S. market. Foreclosure starts even in the short month of February were up compared to the same time the year before and relative to January at 1% and 8% respectively, suggesting there was an increase outside of seasonal variations. The numbers point to the lifting of some national foreclosure bans lingering from the post-pandemic transition, like the Department of Veterans Affairs', and also regional woes.
The lender and servicer's financials fell into the red in the final quarter of 2024, ending the year with an overall net loss, Loandepot reported Tuesday. However, the firm believes recent initiatives and a leadership reshuffle position it for growth in the new year. The lender highlighted the launch of Project North Star, a new three-year initiative, and the return of LoanDepot founder Anthony Hsieh to lead the company as two bright spots heading into 2025.
Finance of America slipped into the red in the fourth quarter of 2024, but over the full year, it narrowed its losses from 2023 and ultimately returned to profitability. The reverse mortgage lending giant reported a $142.63 million net loss for the quarter. It recorded $35.69 million net income for 2025 as a whole. Adjusted results for continuing operations were more positive for the year at $40.42 million.
For the first time in almost two years, mortgage product offerings have climbed above levels they hit during the post-financial crisis period, the Mortgage Bankers Association found. February's Mortgage Credit Availability Index was 100.4, an increase from January's 99. At this time last year, the index was 92.9. March 2023 was the last time the MCAI was above the benchmark established in March 2012.
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