A recently released Office of the Comptroller of the Currency (OCC) report found that the performance of the federal banking system first-lien mortgages improved during the first quarter of 2022.
The OCC Mortgage Metrics Report, First Quarter 2022 determined 96.9 percent of mortgages included in the analysis were current and performing at the end of the quarter, in comparison to 94.2 percent the prior year.
Additionally, seriously delinquent mortgages were at 1.8 percent in the first quarter of 2022, compared to 2.3 percent in the prior quarter and 4.6 percent a year ago. The OCC defines seriously delinquent mortgages as those that are 60 or more days past due and all mortgages held by bankrupt borrowers whose payments are 30 or more days past due.
There were 19,524 new foreclosures initiated by servicers during the first quarter of this year, with new foreclosure volume in the first quarter of 2022 being comparable to pre-COVID-19 pandemic foreclosure volumes and reflects the expiration of federal foreclosure moratoria.
According to the assessment, the 42,427 modifications completed by servicers in the first quarter of 2022 represented a decrease of 10.7 percent from the previous quarter – with 80.8 percent of the modifications reducing borrowers’ monthly payments.
The report also showed that first-lien mortgages made up 22 percent of all residential mortgage debt outstanding in the United States or approximately 12.2 million loans totaling $2.6 trillion in principal balances.