This is not new news. This is part of the shadow inventory, and what banks do when the owners walk away too early, and the property falls apart. Very low percentage of claims...limited to heavy market impact inner city type areas.
Classic battle between economy driven new claims, against cures, and stepped up high quality new business. That balance is why the stock is recovering along with the economy.
New news: JPM had significant up tic in new mortgages (up over 15%). GNW unlocking value of pure play mortgage insurance side, will highlight the value of the pure plays like MTG, a category leader.
This is bouncing off support after a reasonable correction. Time to close out the shorts and go long the economic recovery.