Mortgage delinquency is one indicator of economic and development trends. Between August of 2018 and August of 2019, there was a 0.2% drop in overall delinquency rates of all US mortgages, which includes those at least 30 days past due or in foreclosure. But, Wisconsin businesses and developers may deal with additional financial and real estate law issues because there was a small increase in the delinquency rate in this state.

Last year, according to CoreLogic’s monthly report, 3.9% of mortgages in this country were in a stage of delinquency. This dropped to 3.7% in 2019. There were also favorable indicators in the foreclosure inventory rate, which measures the number of mortgages in some phase of foreclosure. This dropped 0.1% to 0.4% between August of 2018 and 2019. This was the same as the rate for the previous nine months, which was the lowest since January of 1999.

Early-stage delinquency rates, mortgages which are 30 to 59 days past due, are an important component of analyzing the performance of the mortgage market. This was 1.8%, which remained unchanged between 2018 and 2019.

Although the nation’s overall delinquency was at a 30-year low, Wisconsin was one of five states which had a small yearly increase in rate. Wisconsin had a 0.1% rise between 2018 and 2019. Iowa, Minnesota, Nebraska and Rhode Island were the other states that had rate increases, but they did not exceed 0.2%.

Job loss, especially for families with small savings, can cause loan delinquency. The rise in state unemployment rates in Wisconsin and the four other states corresponded with their increase in delinquency rates. The overall national drop can be attributed to 19 years of stricter underwriting standards, the impact of ongoing low-interest rates and the better economic situation of many households in this country.