Retail production from Ameriquest Mortgage Co. descended for the fifth consecutive quarter. But the subprime lender has plans to reverse the trend.
The Orange, Calif.-based retail lender funded nearly $2.6 billion in mortgages during the first quarter, about 30 percent below the level in the previous three-month period, Ameriquest told MortgageDaily.com in a written statement. Originations were down 47 percent from the first quarter 2005.
Production has fallen every quarter since reaching a peak of $5.1 billion in the fourth quarter 2004, according to figures dating back to 2002. The company plans to reverse this trend through its recent implementation of a regional structure in lieu of a branch structure.
"With the implementation of our new business model, we have planned for a substantial reduction in volume, followed by steady and sustained growth," Ameriquest told MortgageDaily.com. "Our regional production centers, which assumed our current loan pipeline and are using existing capacity to originate new loans, will grow our volume steadily as we begin to offer a broader array of competitively priced products."
Ameriquest Mortgage is a subsidiary of ACC Capital Holdings, which is also parent to wholesaler Argent Mortgage Co., Town & Country Credit Corp. and AMC Mortgage Services.