Question-and-Answer Session
Thank you, sir. (Operator Instructions). For our first question, we go to Tony Davis with Stifel Nicolaus.
Tony Davis - Stifel Nicolaus
Jerry, Bryan, good morning.
Jerry Baker
Hi, Tony.
Bryan Jordan
Good morning, Tony.
Tony Davis - Stifel Nicolaus
It is a difficult time out there. The last time I remember you caught with disclosing this I think was probably back in March. And I think the number at that point was around 4%. But I wonder if you could give us some idea of what the watch list looks like right now relative to total loans? And, could you give us a little more color on the risk classification migrations you have seen outside of residential and construction?
Jerry Baker
I think that watch list percentage is down about 3.5%. Our detailed red and yellow and green are still the same. Suspects that you have seen the past, it's Florida, around Georgia, Atlanta marketplace, Washington DC, a little bit in California. Bryan, I want you to add to that.
Bryan Jordan
All right, the thing I would add is that in terms of our risk rating, we have seen a little bit pressure on downward migration. We would expect that to continue in this part of the cycle. In some sense, the depth and severity of what we are seeing in the markets will continue to pull it down, if this persists. And so, we are very actively monitoring it. And we have got a tremendous amount of resources dedicated to managing problem assets. But at this point in the cycle, although, watch list is down a little bit, we think credit risk ratings will probably have more of a negative bias in the near term than a positive bias.
Tony Davis - Stifel Nicolaus
And Bryan, what's the average LTV on the commercial real estate right now?
Bryan Jordan
Commercial real estate, I am not sure you are going to express it that way, because you have got so much on a spread across so many different categories. I would suggest that in average, it's going to be, I don't know, Jerry, we might get back to him on this.
Jerry Baker
Yeah. We can follow up with you Tony. Probably, it's going to be very clear where you are going to have -- what we do in LTVs on land and LTV on vertical constructions might go up to an 80% level. But we'll follow up with you, Tony.
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