Rocket disclosed that it sold mortgage servicing rights with a total unpaid principal balance of $23 billion during the quarter, generating $379 million of cash proceeds.
“Our servicing business delivered strong profitability, while our production segment reported a pre-tax loss due to an industry-wide contraction in origination activity coupled with margin pressure near the end of the quarter,” said David Spector, chairman and CEO of Pennymac.
Most of the provisions for credit losses were on the single-family side of the house, with Freddie adding $685 million to its loan loss reserves in the third quarter after releasing $846 million the prior period.
David Auld, executive chairman of D.R. Horton, noted that the company is adjusting incentives, pricing and starts to align inventory levels with current demand from potential homebuyers.
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