WASHINGTON, Aug. 8 (Xinhua) -- U.S. delinquency rates for mortgage loans on single-family residential properties went down to the lowest level since mid-2008 in the second quarter of 2013, according to an industry report released on Thursday.
The Mortgage Bankers Association (MBA) found in the report that in the second quarter the seasonally adjusted delinquency rates dropped to 6.96 percent, down 29 basis points from the previous quarter and 62 basis points from one year ago.
The delinquency rate includes loans that are at least one payment past due but does not include loans in the process of foreclosure.
The percentage of loans on which foreclosure actions were started during the second quarter decreased to 0.64 percent from 0. 70 percent, which reached the lowest level since the first quarter of 2007 and less than half of the all-time high of 1.42 percent reached in September 2009, said the report.
Meanwhile, the percentage of loans in the foreclosure process at the end of the second quarter was 3.33 percent, down 22 basis points from the first quarter and 94 basis points lower than one year ago.
The serious delinquency rate, the percentage of loans that are 90 days or more past due or in the process of foreclosure, was 5. 88 percent, down 51 basis points from last quarter and 143 basis points from the second quarter last year.
"For most of the country, delinquencies and foreclosures have returned to more normal historical levels," said MBA's Chief Economist Jay Brinkmann .
But states with a judicial foreclosure system, where foreclosure has to go through the court system, continue to bear a disproportionate share of the foreclosure backlog, added Brinkmann.
Twenty-two states use judicial procedures as the primary way to foreclose. The average rate for judicial states was 5.59 percent, triple the average rate of 1.86 percent for nonjudicial states.