The OCC Mortgage Metrics Report for the Third Quarter of 2014, released Friday by the Office of the Comptroller of the Currency, showed improvement in the performance of first-lien mortgages serviced by seven national banks and one federal savings association. The report found that out of a portfolio of 23.6 million loans with a combined unpaid balance of $4 billion, the percentage of current and performing mortgages rose to 93.0 percent in Q3, a slight increase from both the previous quarter and from Q3 2013.
Mortgages that were 30 to 59 days delinquent made up 2.4 percent of the portfolio, which was an increase of 1.9 percent from Q2 to Q3 but a decline of 8 percent from the same quarter in 2013. The percentage of seriously delinquent mortgages, which are defined by OCC as 60 or more days past due or held up by bankrupt borrowers whose payments are 30 days or more past due, declined by 0.9 percent quarter-over-quarter and 14.5 percent year-over-year in Q3 2014.
The majority of investors who bought homes at auction last month intend to hold onto them as a source of rental income, according to a report from real estate marketplace Auction.com. Out of all the investors surveyed by the company in November, 50.5 percent said they're going to rent out their properties, while 46.6 percent plan to flip them to another buyer. The preference toward renting was more evident among one-time purchasers, 72.2 percent of whom said they plan to rent out the auctioned home.