General World News

Lender profits are crashing back to earth

Profit margins for independent mortgage banks (IMBs) and mortgage subsidiaries of chartered banks shrank dramatically in the fourth quarter of 2020 as costs climbed.

IMBs reported a net gain of $3,738 per each originated loan in the fourth quarter, down from $5,535 during the third quarter, according to the Mortgage Bankers Association‘s latest quarterly performance report.

“Driven by strong borrower demand and a study-high in average loan balances, production volume for independent mortgage companies reached unprecedented heights, averaging close to $1.5 billion per company details ⇒

BusinessMediaguide.Com portal received this content from this noted web source: HousingWire.Com