Quarterly home-lending jumped by half at Cincinnati-based Fifth Third Bancorp. Residential assets grew, and delinquency declined.
Beginning on April 1 and concluding on June 30, income before income taxes at the bank-holding company was $427 million.
Fifth Third saw earnings slip from $441 million earned in the first quarter. But income increased from $422 million one year earlier.
The results were covered in the financial institution’s second-quarter 2016 earnings report.
Residential loan originations reached $2.7 billion during the most-recent three months.
Business was better than $1.8 billion in the first quarter and $2.5 billion in the year-earlier quarter.
First-half mortgage production amounted to $4.5 billion.
There were $56.170 billion in residential loans serviced by Fifth Third for third parties.
The servicing portfolio was reduced from $57.758 billion at the close of the first quarter and $61.727 billion as of mid-2016.
Fifth Third’s balance sheet reflected $23.147 billion in residential assets,
growing the portfolio from $22.694 billion at the end of the first quarter and $22.383 billion at the midpoint of last year.
June 30, 2016, residential holdings consisted of $15.159 billion in mortgages and $7.988 billion in home-equity loans.
The bank said it had an 0.27 percent 90-day delinquency rate on its residential mortgages.
Serious delinquency was 5 basis points lower than as of March 31, 2016, and 6 BPS better than as of June 30, 2015.
Home-equity delinquency was reported as not meaningful.
Third-party servicing on
commercial real estate loans was trimmed to $0.253 billion from $0.257 billion and was also lower than $0.291 billion as of June 30, 2015.
The latest third-party CRE servicing portfolio included servicing on $0.229 billion in commercial mortgages and $0.024 billion in commercial construction loans.
Commercial real estate holdings totaled $10.589 billion as of the end of last month,
more than $10.302 billion three months previous and $9.874 billion one year previous.
June 2016’s CRE total included $6.883 billion in commercial mortgages and $3.706 billion in commercial construction loans.
Last month finished with 18,051 full-time equivalent employees. Staffing subsided from 18,200 at the end of March and 18,527 at the middle of 2015.
At 1,191 banking centers, there were fifty fewer than as of March 31, 2016.
