On point with top mortgage lending peers, SunTrust Banks Inc.’s quarterly production picked up speed. It also saw its servicing and investment portfolios grow.
From April 1 through the end of last month, SunTrust closed $7.283 billion in residential home loans — a nearly one-half increase from the $4.952 billion originated in the first quarter.
The latest mortgage production total also fared better than the $6.491 billion funded during the same period last year.
The Atlanta-based financial institution provided this information, along with other operational and financial details, in its second-quarter 2016 earnings report.
Second-quarter 2016 volume consisted of $3.404 billion in retail business and $3.879 billion in correspondent acquisitions.
The first six-month mortgage origination total for this year came to $12.235 billion.
For the most recent period, the refinance share thinned to 45 percent from 53 percent in the first quarter.
Third-quarter business may rise based on applications climbing to $11.2 billion in the second-quarter from $9.2 billion in the prior period.
The total mortgage servicing portfolio fattened to $154.474 billion as of June 30 from $148.941 billion as of March 31 and $145.491 billion as of June 30 last year.
This latest total included $125.408 billion in loans serviced for others.
At the end of June, residential assets climbed to $39.052 billion from the March-ended balance of $38.616 and the June 2015-ended total of $38.335 billion.
The most recent residential investment portfolio total consisted of $0.534 billion in guaranteed mortgages, $26.037 billion in non-guaranteed loans and $12.481 billion in home-equity assets.
The 30-to-89 day delinquency rate on the non-guaranteed portion of residential investments dropped four basis points from the end of March to 0.31 percent. The delinquency rate was seven BPS better than the percentage reported as of June 30 a year ago.
Delinquency on home-equity loans worsened, however, to 0.64 percent from 0.59 percent three months prior and 0.56 percent at the end of June 2015.
As of June 30, 2016, another $0.397 billion in residential construction loans also were on the balance sheet.
Owned commercial real estate assets amounted to $8.845 billion, which widened from $8.532 billion as of March 31, and $7.588 billion as of June 30, 2015.
Second-quarter 2016-ended CRE holdings were comprised of commercial mortgages at $6.228 billion and commercial construction loans at $2.617 billion.
Delinquency on commercial mortgage delinquency dropped three BPS from the prior period to 0.03 percent. The delinquency rate was one basis point improved from the same point last year.
Better quarterly mortgage production reflected in SunTrust’s mortgage income of $163 million, which increased from $122 million in the previous quarter and $106 million in the same quarter in 2015.
The home lender’s latest mortgage earnings consisted of $111 million in production income and $52 million in servicing income.
At the holding-company level, SunTrust also saw income, before the provision for income taxes, grow to $695 million from $644 million in the first quarter and $687 million a year earlier.
Staff numbers inched down to 23,940 at the end of June 2016 from 23,945 at the end of March. Headcount further descended from 24,237 employees at the end of June last year.
When the second quarter ended, SunTrust inventoried 1,389 full-service banking offices, eight fewer than claimed as of March 31.
