According to the First American Loan Application Defect Index, October figures were 2.5 percent lower than September and 10.2 percent lower than the October 2014 figures. October marked the third consecutive month of declines, falling more than 6 percent over the past three months.
The First American Loan Application Defect Index is estimated by the level of defects detected in mortgage loan applications processed by the company’s FraudGuard system. With a benchmark of 100 in January 2011, the index on a national and market-by-market basis is interpreted by a percentage value.
In the Chicago-Naperville-Elgin MSA, the index was reported at 82 in October 25.
- The index dropped 1.20 percent on a month-over-month basis.
- On a three-month basis, the index dropped by 4.65 percent.
- The year-over-year change was a decrease of 8.89 percent.