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Wells Fargo: Our mortgage business will “naturally” decline

Wells Fargo‘s second-quarter earnings reflect the broader challenges mortgage lenders face in such a turbulent market – in just six months, a rapid rise in mortgage rates has eroded consumer demand, shocked capital markets and forced mass industry layoffs. And those fundamental challenges are not going away anytime soon.

The third-biggest U.S. mortgage lender by volume on Friday reported a decline in originations, a decrease in gain-on-sale margins and lower revenues from the re-securitization of loans purchased from securitization pools. The lone bright spot was higher mortgage servicing income.  

Wells Fargo originated $34.1 billion in mortgages between April and June, down details ⇒

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