On trend with most of its peers, Walter Investment Management Corp. saw home loan production dip. Delinquency rose, and losses widened, but the servicing portfolio grew.
Third-quarter residential loan originations came to $7.194 billion.
The numbers, in addition to other financial information, were revealed in the Tampa, Florida-based mortgage banking firm’s earnings report for the third quarter of this year.
Business fell short of second-quarter mortgage lending, when $7.699 billion was closed.
On a year-over-year basis, however, the most-recent mortgage origination total was well ahead of the upwardly revised $5.900 billion funded in the same three months last year.
From Jan. 1 through Sept. 30, mortgage production amounted to $20.772 billion.
Third-quarter 2015 volume included $1.778 billion in retail lending, $5.089 billion in correspondent acquisitions and $0.327 billion in reverse mortgage production.
At $6.3 billion, total pull-through adjusted locked volume was unchanged from the second quarter. Applications inched slightly down to $8.7 billion from $8.9 billion in the second quarter.
As of Sept. 30, 2015, Walter’s total servicing portfolio was at 1,881,063 loans for $230.371 billion.
The portfolio units decreased from 1,894,706 as of June 30, but the aggregate principal balance increased from $228.944 billion.
The most-recent servicing total also increased from the same period in 2014 when 1,742,323 loans were serviced for $183.741 billion.
The latest total included third-party servicing on $197.980 billion in forward loans and $9.573 billion in reverse mortgages. Also included in the total were investment loans, consisting of $12.593 in forward loans and $10.225 billion in reverse mortgages.
In addition, Walter reported a subservicing portfolio of $45.421 billion as of September’s final day.
On the traditional mortgage portion of the servicing portfolio, delinquency of at least 30 days climbed 14 basis points from the second quarter to 8.94 percent. But the rate was better than 9.57 percent at the same point last year.
Before income taxes, Walter reported a $132 million loss, hugely deteriorating from the $15 million loss in the second quarter and swinging from a $13 million profit a year earlier.
As of Sept. 30, Walter said it employed approximately 5,850 workers, a 150 employee loss from the second-quarter end count and 750 fewer than counted at the same point in 2014.
