Other Real Estate Owned

Overview

This booklet focuses on the acquisition, management, disposition, and accounting of other real estate owned (OREO) held by banks. It defines what is included in OREO, discusses risks associated with OREO, addresses risk management, and summarizes regulatory requirements. While this booklet focuses on foreclosed real property, the acquisition accounting and reporting guidance may apply to other types of foreclosed (repossessed) property, such as consumer and commercial goods, financial instruments, and intangible assets. 

Applicability

This booklet applies to the OCC's supervision of national banks and federal savings associations. References to national banks in this booklet also generally apply to federal branches and agencies of foreign banking organizations. Refer to 12 USC 3102(b) and the "Federal Branches and Agencies Supervision" booklet of the Comptroller's Handbook for more information.