OCC: Mortgage Performance Improves in Second Quarter

The share of current and performing first-lien mortgages in the second quarter of 2021 was 95%, up from 91.1% a year ago, the first full quarter of the COVID-19 pandemic, according to the Mortgage Metrics Report released by the OCC today.

Foreclosure activity declined 28.9% from the previous quarter, with 592 new foreclosures initiated. Foreclosures increased 137.8% from a year ago. Events stemming from the COVID-19 pandemic including foreclosure moratoriums, significantly affected the metrics, the OCC said.

Mortgages that were considered seriously delinquent declined to 3.8% from 4.6% the previous quarter. Meanwhile, loans that were 30 to 59 days delinquent increased from 1% to 1.1% in the second quarter. The report is generated from seven large national banks representing 25% of all outstanding residential mortgages.