Magyar Bank, the principal subsidiary of Magyar Bancorp, disposed of $6.3 million in real estate owned assets last year.
The New Brunswick, N.J.-based community bank sold 9 properties classified as non-performing assets over the course of the year that were held by Magwar as OREO. Included in this total are two properties sold in the first quarter that had a value of $3.2 million.
According to RealtyTrac, Irvine, Calif., New Jersey has the nation’s second longest average foreclosure process at 964 days for a bank to gain control of a distressed property and then begin actively selling it.
Despite this long processing timeline, John Fitzgerald, president and CEO of Magyar Bancorp, said he is optimistic for future success in removing non-performing assets off of the banks balance sheets.
“We expect this positive momentum in resolution of credit issues to continue in 2012,” said John Fitzgerald, president and CEO of Magyar Bancorp. “We currently have contracts of sale for additional properties which we expect to close during this calendar year.”
