There were fewer initial jobless claims during the week ending February 25, according to a recent report from the Labor Department.
The report indicated that jobless claims during the week dipped to an estimated 351,000, bringing the rate to the lowest it has been in nearly four years. As employment conditions continue to improve across the country, it could result in more borrowers able to make their mortgage payments, subsequently cutting down on the number of foreclosed houses across the country.
Meanwhile, the report was surprising to some industry experts after a survey from Econoday anticipated 355,000 new jobless claims after a range of estimates between 345,000 and 360,000. A claims rate lower than 400,000 is considered an indicator of a strengthening job market, and has been below this mark since the beginning of November 2011.
However, despite the improvements, the report noted that there are still an estimated 7.49 million Americans receiving some form of federal unemployment benefits - up from 7.48 million the previous week.