Record Originations, Earnings at PennyMac

Home-lending volume during the three months ended June 30 came to $13.033 billion — the highest level of originations ever.

The
Moorpark, California-based mortgage banking firm disclosed the production numbers, as well as other financial data, in its second-quarter earnings report.

Residential originations were $8.893 billion in the prior three-month period and $7.386 billion in the year-earlier period.

Originations during the entire first-half 2015 amounted to $21.926 billion.

The latest quarterly activity included $11.895 billion in correspondent acquisitions and $1.138 billion in consumer-direct closings.

Refinance share on correspondent volume fell to 36 percent in the quarter ended last June from 40 percent in the previous period.

Fee-based closings on behalf of PennyMac Mortgage Investment Trust accounted for $3.579 billion of second-quarter 2015 business.

The number of correspondent clients climbed to 377 from 356 in the first quarter.

Interest rate lock
commitments jumped to $16.0 billion from $11.3 billion in the first quarter — suggesting third-quarter originations are likely to be even stronger.

PennyMac said it serviced $90.681 billion in residential loans as of June 30, 2015, based on unpaid principle balance — the most on record.

The servicing portfolio grew from $71.986 billion three months earlier and $57.051 billion a year earlier.

In addition,
another $43.146 billion was sub-serviced as of the most-recent date.

The acquisition of mortgage servicing rights on $8.5 billion in Ginnie Mae loans was completed. In all, MSRs on $15.4 billion in loans was completed.

Second-quarter 2015 income prior to taxes was $75 million. Earnings were $53 million during the previous quarter and $58 million in the same quarter last year.

The report indicated that after-tax income was the most ever for PennyMac

As of mid-year 2015, there were 2,354 employees on staff — more than at any time in the past.