According to RBS Securities Inc, the number of U.S. borrowers failing to pay their mortgages has fallen significantly in the last few months.
An average of 2.6 percent failed to pay at least once in March, April or May among the borrowers with subprime loans wrapped into bonds issued in 2007 who had never previously missed a payment. This indicates a drop from 3.7 percent in February and a 15 percent decline after seasonal adjustments, calculates RBS.
Paul Jablansky, Desmond Macauley, and Ying Wang, analysts at the Royal Bank of Scotland, wrote in a June 8 report that the last few months’ performance points to a fundamentally positive shift in borrower behavior.
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