A group of 21 banks reported a combined $3.75 billion in mortgage banking income for the first quarter of 2021. While that was a modest 1.7% gain from the fourth quarter, it represented a huge 63.3% gain from the first three months of last year. (Includes data chart.)

The smart money says it’s time to buy MSRs again. Meanwhile, Texas Capital Bank tries to figure out its future.

Rates are rising and that means fewer applications. Yet, mortgage bankers and brokers are still hiring.

With refi business expected to decline later this year, a number of shops are rethinking their hiring plans. Lenders are set to face margin compression, excess capacity and consolidation.

Despite profit margins that continued to decline, lenders reported robust earnings from their loan originations and secondary market in the fourth quarter. (Includes data chart.)

Led by Rocket Mortgage, the $4.6 billion earned by nine nonbank lenders in the fourth quarter of 2020 topped the $3.6 billion in mortgage banking income reported by 20 banks. (Includes data chart.)

Nonbanks’ performance amid disruptions caused by the pandemic supports growth. Moody’s increased its operating environment score for nonbank mortgage companies.

Although production and loan sales fell in the fourth quarter, 2020 was a banner year for mortgage banking operations at commercial banks and thrifts. (Includes two data charts.)

Bank acquisitions in the mortgage space have been few and far between the past few years. Still, officials at Western Alliance believe it makes perfect sense for the bank to acquire AmeriHome Mortgage.

Banks reported $22.5 billion in mortgage banking income in 2020, according to call reports. Long-time industry leader Wells Fargo had a rough ride. (Includes data chart.)