Seasonal Improvements Lowered Mortgage Delinquencies in March While Prepayment Activity Reached Nearly Four-Year High
A new report from Intercontinental Exchange shows seasonal improvements in mortgage delinquencies and a surge in prepayment speeds despite rising foreclosure volumes
Intercontinental Exchange, Inc. (ICE), a prominent provider of technology and data for global financial markets, has released its March 2026 ICE First Look report. The findings indicate a seasonal improvement in mortgage delinquencies throughout the month of March. This downward trend in delinquencies was bolstered by strengthening cure activity, as a higher number of borrowers successfully transitioned back to performing status during the period.[1][2]
The report also documented a notable surge in prepayment activity, with speeds rising to their highest level in nearly four years. This increase in prepayments suggests a more active environment for refinancing or home sales compared to recent years. The acceleration in prepayment speeds serves as a key indicator of changing borrower behavior and market liquidity within the mortgage industry as of early 2026.[1][2]
In contrast to the improvements seen in delinquency and prepayment rates, foreclosure volumes continued to trend upward in March. The ICE report highlighted that foreclosure starts and overall volumes maintained their climb even as other seasonal factors provided relief to the broader delinquency landscape. These metrics provide a comprehensive view of the current state of the U.S. mortgage market and its various performance indicators.[1][2]
