Of the publicly traded insurers, MGIC, Genworth and United Guaranty (part of AIG), reported positive income, with Radian still trying to break out of negative territory. Privately held Essent Guaranty, a newbie, is coming on strong, with $10 billion in new business through the first half, versus $3.6 billion in the year-earlier period, according to IMF.

“Delinquencies are down, and the companies have recapitalized,” said Bose George, an analyst at Keefe Bruyette Woods. “At the same time, FHA is reducing its role in the market, so this has given them significant growth opportunities. … The companies have reversed their position and are starting to show modest profitability.”

(Read more: Mortgage delinquencies take a sharp turn up)

The private insurers have also benefited from the government housing bailout—the refinance program for underwater borrowers as well as the Home Affordable Modification Program. Both help borrowers make their monthly payments and stay current on their loans, although HAMP has come under fire recently as a report from the Troubled Asset Relief Program’s inspector general found the program had a high re-default rate.

Article source: http://www.cnbc.com/id/100956144

Overall mortgage delinquencies are still down 6.5 percent from a year ago, according to Lender Processing Services. Some of the spike may be attributed to “a seasonal phenomenon,” according to LPS analysts, but this particular spike is larger than usual. Delinquencies ticked up just 3.4 percent in June 2012. The rise also spanned products and regions.

(Read more: Investors are moving out of housing)

Despite receding from the high levels during the housing crash, 4.8 million loans are delinquent or in foreclosure, according to LPS.

The states with the highest percentage of noncurrent loans are Florida, Mississippi, New Jersey, New York and Maine.

Article source: http://www.cnbc.com/id/100914292