Downey Financial Corp. started the new year with continued decreasing production.
The Newport Beach, Calif.-based lender originated $0.38 billion in January, according to an announcement today. The production was down 9 percent from December and 59 percent below the level in January 2006.
The monthly downturn reportedly follows eight consecutive quarters of falling production.
In the fourth quarter, fundings of $1.33 billion were down from $1.60 billion in the linked period and more than half off the level of $3.076 billion in the fourth quarter 2005, Downey reported.
For all of 2006, loan originations of $7.829 billion, down more than 48 percent from the previous year.
Downey's portfolio of loans serviced for others, however, continued to edge up, ending January at $6.1 billion, the announcement said.