Mortgage banking remained profitable for the vast majority of banks and thrifts that are in the business, but earnings declined sharply in early 2017 and more institutions quit the market, according to a new Inside Mortgage Trends analysis of call reports. The industry reported a combined $3.562 billion in mortgage-banking income for the first quarter of this year, down 35.0 percent from the previous three-month period. The upside was that first-quarter profits ... [Includes one data chart]
There’s plenty of talk in mortgage technology circles of e-mortgages, re-imagining the loan origination process and digitizing back-office operations, but what about the regulatory, supervisory and examination front? During a recent interview with Inside Mortgage Trends, Sharif Mahdavian, vice president of national sales at ComplianceEase, a leading industry vendor, revealed that regulators are increasingly moving to an “e-examination” phase to augment their current level of ...
Flagstar Bancorp completed two acquisitions this year that officials said were aimed at maintaining mortgage-related revenues even as industry-wide originations are expected to decline. In April, Flagstar acquired assets of Opes Advisors. In February, the bank acquired Stearns Lending’s delegated correspondent platform. During Flagstar’s recent annual shareholder meeting, Alessandro DiNello, president and CEO, said the acquisitions won’t necessarily ...
The next generation of technology improvements to the mortgage industry could include digital robots, according to analysts at PwC. The consumer finance division of the professional services firm recently published a paper on robotics and “digital labor” options for mortgage lending and servicing. The firm estimates that by the early 2030s, up to 38 percent of existing U.S. jobs will be susceptible to automation from robotics and artificial intelligence. PwC said the mortgage industry is ...
Nonbanks and fintech firms have made major in-roads in mortgage originations and now account for a significant chunk of the market and are continuing to expand through regulatory arbitrage, according to analysts at Keefe, Bruyette & Woods. Discussing the so-called disruptors in the mortgage market during a recent podcast, Bose George, chief of mortgage research at KBW, and Brian Gardner, KBW’s senior policy analyst, reported that nonbanks now originate 38 percent of all ...
Lenders cited various technology issues, costs and difficulties getting loan officers to change behavior as barriers to digitizing the mortgage process.
In the first quarter, PennyMac ranked fourth among all home lenders, trailing Wells Fargo, Chase Home Finance and Quicken, according to a ranking from Inside Mortgage Finance.
Almost every week it seems like a lender launches a digital mortgage process allowing for loan applications to be received and processed online effortlessly and efficiently. However, according to a recent survey of lenders, a number of barriers stand in the way of digital mortgages. Lenders cited various technology issues, costs and difficulties getting loan officers to change behavior as barriers to digitizing the mortgage process. Some 73 lenders participated in the survey administered by the Strategic Mortgage Finance Group earlier this year. The top barrier to digital mortgage offerings was...
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