The number of new mortgage insurance policies shot up one-third last month and are likely to have risen in April. At the same time, defaults improved.
Mortgage insurers wrote 22,153 policies for $4.5 billion last month, according to data released today by the Mortgage Insurance Companies of America. The results reflect the performance of MICA members Genworth Mortgage Insurance Corp., Mortgage Guaranty Insurance Corp., PMI Mortgage Insurance Co., Radian Guaranty Inc., Republic Mortgage Insurance Co. and United Guaranty Corp.
Business was better than 14,924 policies written in February for $3.6 billion. In addition, the number of applications also increased in March — to 28,720 from 20,128 in February — indicating the improvement has continued into April.
But issued volume was less than half of the 49,476 policies written for $9.8 billion in March 2009.
On a quarterly basis, mortgage insurance activity sank to 51,455 policies for $12.3 billion from 66,205 policies for $14.7 billion in the fourth-quarter 2009. Policies written were down around half from 165,261 for $25.5 billion in the first-quarter 2009.
MICA said primary insurance in force stood at $828.6 billion, falling from $844.4 billion the prior month and $937.1 billion the prior year.
Primary defaults fell to 63,126 in March from 68,675 a month earlier. Defaults tumbled from 84,042 a year earlier.
Primary insurance cures were also lower, declining to 77,909 from February’s 80,758 and March 2009’s 69,931.
