OCC published the Mortgage Metrics Report for the third quarter of 2019. This report presents performance data for the third quarter of 2019 for loans that the reporting banks own or service for others as a fee-based business. OCC collects data on first-lien residential mortgage loans serviced by seven national banks with large mortgage-servicing portfolios. This report provides information on mortgage performance through September 30, 2019. OCC reported a slight improvement in the performance of first-lien mortgages in the federal banking system during the third quarter of 2019.
The report showed that 96.4% of mortgages included in the report were current and performing at the end of the quarter, compared to 95.4% a year earlier. The report also showed that servicers initiated 21,492 new foreclosures during the third quarter of 2019, a 0.4% increase from the previous quarter and a 24.6% decrease from a year ago. Servicers completed 13,950 mortgage modifications in the third quarter of 2019, and 73.0% of the modifications reduced borrowers' monthly payments. The first-lien mortgages included in the OCC's quarterly report comprise 29.8% of all residential mortgages outstanding in the United States or approximately 16 million loans totaling USD 3.13 trillion in principal balances.
The OCC Mortgage Metrics Report is published quarterly to promote broader understanding of mortgage portfolio performance and modification activity in the federal banking system and to support supervision of regulated institutions. The report covers the performance of first-lien home mortgages in the portfolios of reporting banks. It excludes junior liens, home equity lines of credit, and home equity conversion mortgages (reverse mortgages).
Keywords: Americas, US, Banking, Mortgage Metrics Report, First Lien Mortgages, Residential Real Estate, Credit Risk, OCC
Previous ArticleFASB Appoints Richard Jones of EY as Its Next Chair
FCA and PRA in the UK, FED in the US, and the authorities in Singapore have fined Goldman Sachs for risk management failures in connection with the 1Malaysia Development Berhad (1MDB).
BCBS announced that OSFI and the Bank of Canada hosted the 21st International Conference of Banking Supervisors (ICBS) virtually on October 19-22, 2020.
FCA proposed guidance on how firms should continue to seek to help customers who hold insurance and premium finance products and may be in financial difficulty because of COVID-19, after October 31, 2020.
EBA issued an opinion on prudential treatment of the legacy instruments as the grandfathering period nears an end on December 31, 2021.
ESRB published the fifth issue of the EU Non-bank Financial Intermediation Risk Monitor 2020 (NBFI Monitor).
HM Treasury announced that the new Financial Services Bill has been introduced in the Parliament.
APRA announced that it has increased the minimum liquidity requirement of Bendigo and Adelaide Bank for failing to comply with the prudential standard on liquidity.
PRA published the consultation paper CP17/20 to propose changes to certain rules, supervisory statements, and statements of policy to implement elements of the Capital Requirements Directive (CRD5).
US Agencies adopted a final rule that applies to advanced approaches banking organizations and aims to reduce interconnectedness in the financial system as well as to reduce contagion risks associated with the failure of a global systemically important bank (G-SIB).
US Agencies (FDIC, FED, and OCC) adopted a final rule that implements the net stable funding ratio (NSFR) for certain large banking organizations.