A new report from real estate data and analytics provider LPS shows U.S. delinquencies and foreclosures both dropped substantially in May compared with the year before to levels last seen four of five years ago as the foreclosure crisis was ramping up.

Delinquencies declined 12 percent in May compared with last year, dropping from 7.2 percent of all mortgages to 6.1 percent, the lowest level since 2008. Delinquencies declined 2.1 percent compared with April 2013. U.S. delinquencies peaked in January of 2010 at 11 percent of all loans. Historically, delinquency rates have ranged between 4 and 5 percent.

Foreclosures also dropped, with the number of homes in some stage of foreclosure declining 27 percent compared with May 2012 and down 3.9 percent compared to April, with 3.1 percent of all loans in foreclosure. This is the lowest percentage of loans in foreclosure since 2009. 

According to LPS’s data, the top five states with the highest percentage of non-current loans were Florida, New Jersey, Mississippi, Nevada and New York. Montana, Arkansas, Wyoming, South Dakota and North Dakota have the lowest percentage of non-current loans.

LPS’s data covers approximately 70 percent of the overall market. The firm plans to release more data on changes in the national mortgage pool in May early next month.