Conventional Conforming Market Continued to Erode In 2005 as Nontraditional Mortgage Products Boomed
The modest 6.8 percent increase in mortgage originations in 2005 was the result of continuing growth in non-conforming market segments and further erosion in the conventional conforming business. A new analysis by Inside Mortgage Finance reveals that conventional conforming originations declined by 9.8 percent last year, falling to $1.09 trillion. That represented just 35.0 percent of total originations – down from 41.4 percent in 2004 and as much as 62.3 percent back in 2003. … [Three data tables included]