A nice quarter-over-quarter and year-over-year gain was made in home-lending activity at First Republic Bank. The servicing portfolio was trimmed, and mortgage assets grew.
During the three months ended June 30, income before the provision for income taxes
worked out to $220 million. Earnings ascended from $201 million in the year-earlier period.
The San Francisco-based financial institution revealed the
details, in addition to other financial and operational measures, in its second-quarter 2017 earnings report.
In the first three months of this year, earnings came to $214 million.
The latest period saw $3.477 billion in residential loan originations. The total included $3.053 billion in single-family loans and $.424 billion in home-equity lines of credit.
Business was better than $2.931 billion in the first quarter and even slightly better than $3.416 billion in the same-three months last year.
For the six months ended June 30, 2017, there were $6.408 billion in residential originations.
Commercial real estate loan production jumped to $1.479 billion from $1.043 billion in the first-three months of this year and climbed from $1.210 billion during the same quarter last year. Most recently, CRE lending was comprised of $0.647 billion in multifamily loans, $0.336 billion in commercial mortgages and $0.497 billion in construction loans.
A third-party servicing portfolio of $11.791 billion in loans was reported by Republic as of mid-2017.
The portfolio was trimmed from $11.838 billion three months earlier but rose from $11.061 billion on the same date in 2016.
First Republic’s balance sheet had $31.760 billion in residential assets. It grew the category from $30.060 billion the previous quarter. Just $26.725 billion in residential loans were owned as of mid-2016. Last month’s residential assets consisted of $29.079 billion in single-family loans and $2.682 billion in HELOCs.
Also included in the investment portfolio were $14.774 billion in CRE loans. First Republic expanded its CRE holdings from $14.052 billion as of March 31, 2017, and $12.265 billion as of mid-2016.
The latest total was made up of $7.453 billion in multifamily loans, $5.810 billion in commercial mortgages and $1.511 billion in construction loans.
