ABN AMRO's American mortgage unit has seen its production fall off most of this year, and October was no exception. But the company is looking to second mortgages to stop the bleeding.
ABN AMRO Mortgage Group, Inc. announced October originations of $3.3 billion, down $0.3 billion from September. The company has seen many months this year where production has fallen from the prior month, and October fundings were less than half the level a year ago.
Year-to-date fundings were reported at $49.3 billion.
The Dutch banking subsidiary said production was aggregated from 22,500 units.
Citing industry forecasts of continued falling fundings, a company executive said the unit will expand its second mortgage product menu and already has expanded its ARM products "To achieve greater market share."
InterFirst Wholesale Lending accounted for $2.3 billion in fundings, according to the announcement, while Standard Federal Bank and LaSalle Bank Loan Origination Channels accounted for $0.7 billion. The remainder was originated by the National Lending Center and the Financial Institutions Group.