The March 2026 ICE First Look into mortgage delinquency, foreclosure, and prepayment statistics has been published by Intercontinental Exchange, Inc (ICE). According to the report, while foreclosure volumes continued to rise, mortgage delinquencies improved significantly in March, with cure activity improving and prepayment speeds reaching their best level in over four years.
“March brought the seasonal improvement we typically expect to see this time of year,” said Andy Walden, head of mortgage and housing market research at ICE. “Delinquencies moved lower, with improvement across the earlier stages of mortgage performance as fewer loans rolled into delinquency. Prepayment activity also climbed to its highest level in nearly four years as borrowers responded to a lower-rate environment. At the same time, serious delinquencies continue to broadly trend higher, with 154,000 more borrowers 90-plus days past due or in active foreclosure, compared to the same time last year.”
Key Findings from the First Look:
- Seasonal declines in delinquencies: Although remaining 14 basis points higher than the previous year, the national delinquency rate reduced by 37 basis points (bps) in March to 3.35%, in keeping with the month’s usual seasonal improvement.
- Prepayment activity increased dramatically: Prepayment speeds (SMM) increased 78% above March 2025 and 24 basis points from February to 1.06%, the greatest level in almost four years.
- Overall, delinquency performance improved. March’s new delinquency inflow decreased by 23% seasonally and was essentially unchanged from the same period the previous year. Rolls to 60- and 90-day delinquency also improved during the month.
- The number of cures increased to 547,000, a 27% rise from February. Cures on loans that were more than 90 days past due also showed a significant month-over-month increase.
- Non-current loan volumes decreased but stayed higher than the previous year. In March, the number of loans that were 30 days or more past due or in foreclosure decreased by 194,000 to 2.12 million, but they were still 8.2% more than they were a year earlier.
- Despite March’s improvement, there are still 154K more borrowers who are 90 days or more past due or in active foreclosure than there were at the same time last year. Sales (+21%) and foreclosure starts (+17%) have also significantly increased from the previous year’s levels.
- Foreclosure inventory reached its greatest level in six years. In March, active foreclosure inventory increased from 213,000 to 273,000, the highest level since February 2020.
Regional Overview (2025):
“While overall mortgage performance remains healthy for most borrowers, the continued buildup in late-stage delinquencies and foreclosure pipelines remains worth watching,” Walden said.
Note: Non-current totals combine foreclosures and delinquencies as a percent of active loans in that state.
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