Iowa foreclosure, delinquency rates edge up in 2nd quarter

The mortgage foreclosure and delinquency rates in Iowa edged up in the second quarter.

A Mortgage Bankers Association report issued Friday shows Iowa's foreclosure rate rose to 2.82 percent in the second quarter. That's up from 2.49 percent a year earlier and 2.77 percent in the first quarter.

The delinquency rate for mortgage loans on residential properties in Iowa was 6.3 percent at the end of the second quarter, up from 5.88 percent in the first quarter. The Mortgage Bankers Association said the delinquency rate excludes loans in the process of foreclosure.

The delinquency rate for prime adjustable rate mortgage loans increased from 7.69 percent in the first quarter to 8.37percent in the second quarter and the rate for prime fixed rate mortgage loans edged up from 2.47 percent in the quarter that ended March 31 to 3.56 percent in the quarter that ended June 30.

The delinquency rate for the subprime ARM loans jumped from 27.19 percent in the first quarter to 28.48 percent in the most recent quarter, while the rate for subprime fixed rate loans increased from 20.69 percent in the first quarter to 21.06 percent in the second quarter.

Among the 50 states and the District of Columbia, Iowa ranked 44th in delinquencies and 43rd in foreclosures started, according to the Mortgage Bankers Association. Mississippi ranked first in delinquencies with a rate of 13.66 percent and Nevada ranked first in foreclosure starts with a rate of 2.93 percent.

On a national level, the delinquency rate for mortgage loans on one-to-four-unit residential properties was 9.40 percent on a non-seasonally adjusted basis, up from 9.38 percent in the first quarter of this year. The seasonally adjusted delinquency rate on residential properties was 9.85 percent in the first quarter, down from last quarter's 9.64 percent seasonally adjusted rate.