Insights: COVID-19 Performance Report, Volume 9

The ninth installment of our COVID-19 Performance Report offers a comprehensive overview of the online lending, CRT, and non-QM markets.

In online lending, total impairments have fallen to 11.4%, a decline of 520 bps since April’s peak. In mortgages, non-QM impairments decreased by 240 bps to 20.4% and CRT impairments increased by 10 bps to 6.9%, though we have reason to believe numbers in the mortgage market are generally underreported.

As borrowers enroll and extend their deferral schedule, we have noticed significant discrepancies in performance reporting between dv01 and other reporting sources (third-party data aggregators, master servicer and trustee reports), resulting in underreporting of modifications and impairments across the mortgage market. This misreporting can adversely affect investor confidence, as well as delay sector recovery.

Download the July end-of-month report to see updated consumer credit insights with data through July 23, 2020 for online lending, and June 30, 2020 for mortgages.