The US Office of the Comptroller of the Currency reported that 97.7% of first-lien mortgages in the federal banking system were current and performing at the end of the second quarter of 2026, up from 97.5% a year earlier. The share of seriously delinquent mortgages also declined from the second quarter of 2025, although servicers initiated 7,904 foreclosures, an increase from both the previous quarter and a year earlier. Servicers completed 7,349 loan modifications, up 16.5% from 6,308 in the previous quarter. Combination modifications involving multiple measures to improve loan affordability and sustainability accounted for 96.7% of the total. The report covers about 10.1 million loans with USD 2.6 trillion in principal balances, representing approximately 18.8% of outstanding US residential mortgage debt.