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MortgagePoint » Your Trusted Source for Mortgage Banking and Servicing News 72 June 2024 J O U R N A L consumers who are delinquent on one account are substantially more likely to be behind on other obligations as well. For example, among respondents who had been behind on a major credit card in the previous six months, 23% were also behind on store-branded credit cards, 17% on buy now, pay later loans, and 28% on unsecured personal loans. In contrast, credit card users who pay their accounts on time have delinquencies on their other consumer loans ranging from 1% to 2%. For many consumers, having many bills due at the same time adds to their financial stress, both in terms of not having enough money to make on-time payments and the complexity of managing a portfo- lio. This is especially true given the increas- ing popularity of buy-now, pay-later (BNPL) loans. According to a recent Achieve Center for Consumer Insights study on buy now, pay later financing, consumers are more in- clined to utilize BNPL again after making a purchase with it. Consumers who regularly use BNPL may find themselves handling numerous transactions and owing pay- ments to multiple lenders. Nearly One-in-Four Expect to Struggle With Student Loans Looking ahead three months, most respondents intend to pay all of their ex- penses on schedule. However, Achieve's research suggests which debts and bills will take priority among people dealing with their home budget. Consumers stat- ed that they are more likely to be late or skip personal and student loan payments while being on time with their mobile phone, mortgage/rent, and homeowners or renters insurance payments. Respon- dents also stated that the most likely payments to go unpaid are college loans (24%), personal loans (16%), and buy now, pay later loans (11%). In the next three months, the ma- jority of respondents intend to pay all of their expenses on schedule. However, Achieve's research suggests which debts and bills will take priority among people dealing with their home budget. Con- sumers stated that they are more likely to be late or skip personal and student loan payments while being on time with their mobile phone, mortgage/rent, and home- owners or renters insurance payments. Respondents also stated that the most likely payments to go unpaid are college loans (24%), personal loans (16%), and buy now, pay later loans (11%). "Whether student loan borrowers don't have enough money to pay all of their bills or they're waiting to see if more debt forgiveness will be approved in Washington, it's clear that other debts are taking precedence," Housser said. "This data shows why the inability to enroll student loans in a debt resolution program or get them discharged in bankruptcy is an outdated and ineffective policy that does little to deter loan defaults." MEASURING U.S. SINGLE-FAMILY RENTAL GROWTH C oreLogic has issued its most recent Single-Family Rent Index (SFRI), which examines sin- gle-family rent pricing movements across the country and in major metropolitan areas. In March, annual single-family rent gains increased to 3.4%, with the typical monthly cost for a three-bedroom home in the United States at $2,052 in February. Only six of the 20 metropolitan regions tracked by CoreLogic had rental prices lower than the national average. Three Southern metros experienced annual re- ductions, but coastal job hubs continued to lead in rent growth. This suggests that Americans who rent in expensive met- ropolitan areas can bear the added cost burden, given to higher incomes in many job sectors and a U.S. unemployment rate that has held around 4% for more than two years. "U.S. single-family rent growth strengthened overall in March, though some weaknesses are revealed in the lat- est numbers," said Molly Boesel, Princi- pal Economist for CoreLogic. "Overbuilt areas, such as Austin, Texas, continued to soften, decreasing by 3.5% annually in March. And for the first time in 14 years, single-family, attached properties posted a year-over-year decline. The continued strength in single-family detached rents indicates that potential homebuyers who are priced out of the home-purchase market are choosing to rent similar alternatives." National single-family rent growth across those tiers, and the year-over-year changes, were as follows: » Lower-priced (75% or less than the