PRESSÂ RELEASE
Home Lending Tumbles
DALLAS — (Aug. 8, 2011) /PRNewswire/ Residential originations by U.S. lenders fell nearly 20% in the second quarter, according to the Mortgage Lender Ranking from MortgageDaily.com. The biggest-three lenders fueled the decline, while business was less concentrated at the top.
An analysis of second-quarter data by MortgageDaily.com indicates that Wells Fargo & Co. was again the biggest lender. But production at the mortgage behemoth was down 24% from the first quarter.
Next was Bank of America Corp., where volume contracted 29%. JPMorgan Chase &Â Co. trimmed fundings by 5% to place third.
But No. 4 Ally Financial Inc. managed a 4% increase.
Other mortgage bankers to turn in a stronger performance included Fairway Independent Mortgage Corp., where business increased a third; PlainsCapital Corp., which expanded activity by 27%; and MetLife Inc., with a 5% improvement.
Originations
| Rank | Q2 2011 | Q1 2011 | Q2 2010 |
| 1 | Wells | Wells | Wells |
| 2 | BofA | BofA | BofA |
| 3 | Chase | Chase | Chase |
| 4 | Ally | Citi | Ally |
| 5 | Citi | PHH | Citi |
Industry-wide volume declined around 19% from the first quarter. Compared to the second-quarter 2010, volume was down 20%.
MortgageDaily.com estimates that second-quarter production by all lenders was around $260 billion.
The five-biggest lenders saw their combined market share erode to around 63% from more than two-thirds in the first quarter.
Endorsements by the Federal Housing Administration amounted to $51 billion, declining from the first quarter’s $58 billion. But FHA’s market share inched up to approximately 20% from a revised 18% in the prior period.
Using agency and trade-group data, MortgageDaily.com projects that total originations this year will fall to around $1.1 trillion from $1.5 trillion in 2010.
Servicers of residential loans saw no shuffling among their ranks in the latest period.
Servicing Portfolios
| Rank | Q2 2011 | Q1 2011 |
| 1 | BofA | BofA |
| 2 | Wells | Wells |
| 3 | Chase | Chase |
| 4 | Citi | Citi |
| 5 | Ally | Ally |
An upcoming acquisition of Litton Loan Servicing LP by Ocwen Financial Corp. could poise Atlanta-based Ocwen to break into the top 10 mortgage servicers.
Mortgage Lender Ranking at:
https://www.mortgagedaily.com/MortgageLenderRanking.asp
Complete mortgage origination news coverage at:
Mortgage Servicer Ranking at:
Mortgage statistics at:
About MortgageDaily.com
Founded in 1998, MortgageDaily.com is a dominant online source of mortgage news, statistics and analysis for the mortgage industry. Visit us online at www.mortgagedaily.com.
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Source: MortgageDaily.com
