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Ulster Bank has confirmed that no farms are included in its proposed loan sale.
The loan portfolio being considered for sale is worth an estimated €900m and is made up of 90% private dwelling home (PDH) and 10% buy-to-let (BTL) mortgages.
“Not all mortgages, PDH or BTL, are sustainable and we are obliged to reduce the level of non-performing loans on our balance sheet. For mortgages that are not sustainable, additional forbearance will not bring them back to a performing position,” a statement from Ulster Bank said.
On average, the PDH mortgages had operated as a non-performing loan for 75 months.
In a previous loan sale, Ulster Bank sold a number of farm loans to the US-based vulture fund Cerberus.
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