Second Quarter 2022

OCC Reports Improvement in Overall Mortgage Performance

Summary

The OCC Mortgage Metrics Report, Second Quarter 2022 showed that 97 percent of mortgages included in the report were current and performing at the end of the quarter, compared to 95 percent a year earlier.

The percentage of seriously delinquent mortgages – mortgages that are 60 or more days past due and all mortgages held by bankrupt borrowers whose payments are 30 or more days past due – was 1.5 percent in the second quarter of 2022, compared to 1.8 percent in the prior quarter and 3.8 percent a year ago.

Servicers initiated 11,015 new foreclosures in the second quarter of 2022, a decrease from the prior quarter, but a higher volume than a year earlier. The new foreclosure volume in the second quarter of 2022 is lower than pre-COVID-19 pandemic foreclosure volumes.

Servicers completed 28,109 modifications in the second quarter of 2022, a decrease of 33.7 percent from the previous quarter. Of the 28,109 mortgage modifications, 78.2 percent reduced borrowers’ monthly payments, and 26,883, or 95.6 percent, were “combination modifications” – modifications that included multiple actions affecting the affordability and sustainability of the loan, such as an interest rate reduction and a term extension.

The first-lien mortgages included in the OCC’s quarterly report comprise 22 percent of all residential mortgage debt outstanding in the United States or approximately 12.2 million loans totaling $2.7 trillion in principal balances.

This report provides information on mortgage performance through June 30, 2022.