Is rising FHA loan distress a canary in the coalmine?

Rising delinquency rates among typically lower-income FHA borrowers hint at stress in riskier segments of the residential mortgage market. But since most FHA borrowers remain in decent financial shape and FHA loans make up only a small share of outstanding mortgage debt, we expect this distress to stay largely contained and not escalate into a broader problem.

Subscriber content

Read this in full, free

Start a free trial and use one of your 10 free starter credits to unlock this piece.


Free. 10 articles. No card required.
By completing this form you are agreeing to our Terms and Conditions for the provision of a free trial of Capital Economics' services. We take your privacy seriously and will not share your details with others without your consent. By providing your details, including your email address, you are consenting to Capital Economics sending you macroeconomic commentary and analysis. You can unsubscribe at any time. See our Privacy Policy for more information.

Already a client or trialist? Log in to read this.