Although delinquencies are higher for certain consumer credit sectors compared to recent years, fundamentals are holding up and analysts are becoming more optimistic about the economy’s performance in the remainder of 2025.

Removing the capital gains tax on home sales wouldn’t necessarily be an effective method of increasing housing supply, and effects on the mortgage market would be limited, according to industry analysts.

Lakeview, the largest servicer of FHA loans in Ginnie MBS, had 3.5% of these mortgages in the 90-plus-day category.

MBA's Megan Booth said the updated code would lead to fewer FHA- and USDA-backed properties.

The delinquency rate on FHA loans in Ginnie MBS inched up at the end of the second quarter, with the share of seriously delinquent loans declining. The reading on VA loans past-due dropped. (Includes four data tables.)

Industry stakeholders said FHA’s move to allow part-time underwriters to qualify for direct endorsement is also likely to reduce operational costs.

The legislation authorizing the Department of Veterans Affairs to establish a partial claim program has yet to be signed by the president and the timeline for implementation isn’t clear.

The increase in delinquency rates among FHA loans originated in recent years probably comes down to inflation, Urban Institute researchers said, ruling out other culprits.

The Department of Housing and Urban Development has changed the way it calculates the floor price for properties sold at foreclosure sales under its claims without conveyance of title program, but maintained that servicers must pay more than total debt owed in some instances.

The Department of Housing and Urban Development has cut the height to which builders are required to raise a bottom floor above the 100-year flood level, saving money for builders, but likely not building owners.