A deep dive into closing costs by the JPMorgan Chase Institute found that borrowers pay more in closing cost fees when leaning on brokers and nonbank lenders for mortgage financing.

Flexible nonbanks weathering the storm; layoffs continue at mortgage companies; tepid demand for mortgages on new homes; best execution analysis; Rocket preps AI offering; Equifax boosts mortgage-related revenue.

The retail channel lost some ground across all three loan product categories. In the conventional-conforming market, the retail share went from 38.8% in the third quarter to 38.2% in the fourth quarter. (Includes two data tables.)

Two large nonbank retail lenders took losses in the fourth quarter, with officials stressing that better days are ahead. Guild is growing through M&A while loanDepot is reducing its staffing.

Agency deliveries fell 16.1% in the fourth quarter of last year as retail lost ground to correspondents. Average loans sizes decreased and there was no significant change in loan quality. (Includes two data tables.)

Executives at Kind Lending and Paramount Residential Mortgage Group said lenders need to boost staffing levels to be prepared for increased originations this year.

Citizens Bank left the wholesale channel amid weak margins; Mr. Cooper’s cyberattack recovery includes large expenses for borrower services; new leader at broker group; Consolidated Analytics acquires Real Info; customer relationship management tool with artificial intelligence for loan officers.

Banks and thrifts sold $97.37 billion of mortgages during the quarter. Trends varied among the largest banks, with Chase increasing loan sales while U.S. Bank and Wells Fargo sharply reduced their activity. (Includes two data tables.)

The correspondent channel gained a significant chunk of market share from retail in the conventional-conforming market during the third quarter. The broker share stayed steady.

Fed researchers show that, when interest rates increase, refinances decline, but alternative forms of household borrowing increase proportionally. This borrowing substitution diminishes the value of refinances as a path for monetary policy.