Moody's Investors Service said last week that U.S. State Housing Finance Agency (HFA) single-family whole loan programs continued to experience significant increases in both delinquencies and foreclosure rates during 2009. However, the service said they remained well below the default rates that Moodys has incorporated into its rating process. Loans in foreclosure in particular grew at a rapid pace with the weighted average percentage rising to 1.87 percent as of the end of the year. This is 75 basis points higher than the average on December 31, 2008. The 90+ day delinquency rate was 2.92 percent compared to 2.0 percent one year earlier while the 60+ date rate was 1.97 percent, up from 1.61 percent. The total delinquency rate in 2009 was 6.76 percent while 4.79 percent of loans are considered...(read more)

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