Which states saw highest mortgage delinquency growth?

Vermont tops mortgage delinquency growth

Mortgage delinquency increased fastest in Vermont, where delinquencies rose 12.32% from Q4 2025 to Q1 2026, the largest growth rate reported across the country.

What the figures show

The data points to a short-term deterioration in repayment performance concentrated in specific states, rather than a uniform national trend. Vermont’s increase stands out as the highest measured growth during that quarter-to-quarter window.

Why it matters

Mortgage delinquency is a key indicator of household financial stress and can foreshadow broader problems in the housing market. When delinquencies climb:

• Lenders face higher credit risk, which can affect underwriting and loan terms.
• Housing stability can weaken in the hardest-hit regions, potentially increasing pressure on home prices.
• Policy and financial planning may need to account for geographic differences in economic strain.

Because the reporting highlights only the top performer, it’s unclear from the provided information exactly which other states followed Vermont or whether the spread between states was large or modest. What is clear is that at least one state—Vermont—experienced a notably sharp rise over the measured period.