Mortgage Insurance Defaults Rise 30%
From Bloomberg & Mortgage Insurance Companies of America: Borrowers more than 60 days behind rose to 58,441 in August.
More American homeowners are missing mortgage payments, pushing defaults on privately insured home loans up 30% last month.
Michael Darda, economist at MKM Partners LP: "These defaults are a lagging indicator, so they're probably going to get worse from here.''
Mortgage insurers, which reimburse home lenders when borrowers don't pay, have stumbled in stock market trading as the record defaults increased claims.
MGIC Investment Corp., the largest U.S. mortgage insurer, lost about 50% this year. PMI Group Inc., the second-largest, lost more than 30%.
No. 3 Radian Group Inc., the insurer whose acquisition by MGIC was scuttled last month, has fallen almost 60%.
More American homeowners are missing mortgage payments, pushing defaults on privately insured home loans up 30% last month.
Michael Darda, economist at MKM Partners LP: "These defaults are a lagging indicator, so they're probably going to get worse from here.''
Mortgage insurers, which reimburse home lenders when borrowers don't pay, have stumbled in stock market trading as the record defaults increased claims.
MGIC Investment Corp., the largest U.S. mortgage insurer, lost about 50% this year. PMI Group Inc., the second-largest, lost more than 30%.
No. 3 Radian Group Inc., the insurer whose acquisition by MGIC was scuttled last month, has fallen almost 60%.
Comments