Mortgage Daily

Published On: October 15, 2018

Quarterly record pre-tax earnings were reported by Bank of America Corp. In the mortgage business, loan production tumbled on a linked-quarter and year-over-year basis.

BofA’s third-quarter income before income taxes climbed to $9.0 billion from $7.6 billion during the same three months in 2017, according to earnings data released Monday.

Results at the Charlotte, North Carolina-based bank-holding company also improved compared to the preceding three-month period, when income came to $8.5 billion.

Bank of America Chairman and Chief Executive Officer Brian Moynihan explained in the report, “Responsible growth, backed by a solid U.S. economy and a healthy U.S. consumer, combined to deliver the highest quarterly pre-tax earnings in our company’s history.”

Residential loans originations came to $14.081 billion in the three months ended Sept. 30, 2018, less than the $15.753 billion closed in the second quarter. An even larger decrease was recorded versus the third quarter of last year, when volume was $17.316 billion.

One component of residential business was $10.682 billion in first mortgages. Consumer banking was responsible for $7.208 billion of the first mortgage volume, while Global Wealth and Investment Management generated $3.474 billion.

The other component was $3.399 billion in home-equity originations. Consumer banking originated $3.053 billion of this, and GWIM closed $0.346 billion.

Residential production during all three quarters that have elapsed this year amounted to $43.007 billion.

Although BofA didn’t report mortgage servicing data in the earnings report, it did report its third-party servicing portfolio at $249.5 billion as of June 30 in its second-quarter 2018 10-Q filing with the Securities and Exchange Commission.

BofA’s residential assets were reduced to $259.421 billion from $261.151 billion at the end of the first half. The balance was about the same, though, as $259.198 billion as of Sept. 30, 2017. Last month’s holdings consisted of $208.186 billion in mortgages and $51.235 billion in home-equity assets.

U.S. commercial real estate assets fell to $56.9 billion from $57.1 billion but have increased from a year earlier, when the balance was $55.5 billion.

The third quarter concluded with 204,681 people on BofA’s payroll. Headcount was cut from 207,992 three months previous and 209,839 a year previous.

The 4,385 U.S. financial centers most recently in operation were 48 fewer than as of mid-year.

Tools for Your Next Big Decision.

Amortization Calculator

Affordability Calculator

Mortgage Calculator

Refinance Calculator

FHA Mortgage Calculator

VA Mortgage Calculator

Real Estate Calculator


Pre-Approval Resources!

Making well educated decions in a matter of minutes and stay up to date on the latest news Mortgage Daily has to offer. Read our latest articles to stay up to date on what’s going on…

Resource Center

Since 1998, Mortgage Daily has helped millions of people such as yourself navigate the complicated hurdles of the mortgage industry. See our popular topics below, search our website. With over 300,000 articles, we are guaranteed to have something for you.

Your mortgages approval starts here.

Add 1-2 sentence here. Add 1-2 sentence here. Add 1-2 sentence here. Add 1-2 sentence here. Add 1-2 sentence here.

Stay Up To Date with Today’s Latest Rates


Today’s rates starting at


5/1 ARM
$200,000 LOAN

Home Refinance

Today’s rates starting at


$200,000 LOAN

Home Equity

Today’s rates starting at


$200,000 LOAN


Today’s rates starting at


$200,000 LOAN