Home-loan originations at Regions Financial Corp. jumped by nearly a third and were up by half from a year ago. Residential delinquency, meanwhile, was lower as mortgage income rose. But one area that didn’t improve was commercial mortgage delinquency.
Second-quarter residential originations were $2.1 billion, according to earnings data released Tuesday. Volume increased from $1.6 billion in the first quarter as a result of activity from the enhanced Home Affordable Refinance Program.
Business was also better than in the second quarter of last year, when Regions originated $1.4 billion.
Residential holdings at the Birmingham, Ala.-based company fell to $25.715 billion from $26.253 billion three months earlier and $27.899 billion a year earlier. Last month’s total included $13.394 billion in residential first liens, $5.663 billion in first-lien home-equity loans and $6.658 billion in second-lien HELs.
Home-loan delinquency of at least 30 days was 3.75 percent, improving from the first-quarter rate of 4.10 percent. A year prior, the rate was 3.92 percent.
HEL delinquency declined to 1.85 percent from 1.93 percent and was better than 2.39 percent in the same period last year.
The balance sheet reflected $20.334 billion in commercial real estate loans as of June 30, slipping from $21.323 billion owned as of March 31. The company owned $25.605 billion in CRE assets as of June 30, 2011. The latest total included $10.626 billion in owner-occupied CRE loans, $0.261 billion in owner-occupied construction loans, $8.598 billion in investor CRE loans and $0.849 billion in investor construction loans.
Delinquency on owner-occupied CRE loans worsened to 0.93 percent from 0.70 percent and was also higher than 0.69 percent in the year-earlier period. Nonowner-occupied CRE loans had a past-due rate of 1.39 percent, up from 1.35 percent three months earlier and 1.27 percent a year earlier.
Mortgage income climbed to $90 million from $77 million during the first three months of this year. Mortgage income was also better than $50 million during the same three months last year.
Regions Financial earned $477 million before income taxes, an improvement from first-quarter income of $321 million and the $45 million earned in the same period last year.
Associate headcount finished June at 23,422, fewer than the 23,619 people on staff at the end of March. At the same point in last year, 23,966 people were employed by the company.
The second quarter closed out with 1,719 branch outlets, a few less than 1,722 at the end of the first quarter.