Company: SACH
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001682220-25-000044
Chunk: 97

Company: Sachem Capital Corp.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 2
Chunk 97
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,466 6.2 %Mixed Use61,519 16.0 %46,077 12.2 %Total$384,739 100.0 %$376,991 100.0 %

31

Allowance for Credit Losses

Our allowance for credit losses is influenced by historical loss experience, current exposure by geographical region, current expected credit losses on loans in foreclosure based on fair value less cost to sell, non-performing status, and other supportable forecasts of economic conditions. A loan is considered non-performing once it has been delinquent on its monthly payments more than 90 days.

The following table presents the allowance for credit losses against unpaid principal balance of loans held for investment as of June 30, 2025 and December 31, 2024:

June 30, 2025December 31, 2024(in thousands)Aggregate GrossPrincipal AmountAllowancePercentage ofRespectivePrincipalAggregate GrossPrincipal AmountAllowancePercentage ofRespectivePrincipalPerforming – General reserve$265,141 $(5,058)1.9 %$289,910 $(5,051)1.7 %Non-performing – General reserve39,744 (659)1.7 %5,396 (96)1.8 %Non-performing – Direct reserves55,818 (3,598)6.4 %57,808 (7,265)12.6 %Non-performing in Foreclosure – Direct reserves24,036 (8,330)34.7 %23,877 (6,058)25.4 %Non-performing subtotal$119,598 $(12,587)10.5 %$87,081 $(13,419)15.4 %Total$384,739 $(17,645)4.6 %$376,991 $(18,470)4.9 %

For further information, see Note 4 – Loans and Allowance for Credit Losses — to our condensed consolidated financial statements.

Real Estate Owned

As of June 30, 2025, we owned nineteen properties, each of which previously served as collateral for first mortgage loans. One and four properties were acquired during the three and six months ended June 30, 2025, respectively, in connection with foreclosure actions. Three and four properties were sold during the three and six months ended June 30, 2025