The mortgage insurance business is continuing to improve for Radian Guaranty (RDN), in that fewer loans are delinquent.

The bad news is there are fewer new mortgages to insure as the purchase mortgage origination business continues to lag. And it will likely keep getting worse as long as this keeps up.

The nation's largest private mortgage insurer reports only 3,913 delinquencies, compared to 4,650 delinquencies from late last year.

But business as a whole is shrinking.

The company reports only $1.9 billion in new insurance, compared to $2.85 billion from past reports.

The delinquent inventory is currently at 58,782 loans, where it was previously 60,909.