$141.5 billion 1st quarter fundings
By MortgageDaily.com staff
5/20/2005

While quarterly production fell for thrifts, milestone net income was achieved.

Residential thrift originations declined to $141.5 billion in the first quarter from the fourth quarter's $154.1 billion, the Office of Thrift Supervision reported. The total, however, is up nine percent from a year earlier.

The latest volume represented about 24% of total 1-4 unit originations nationwide, about 2% better than the market share a year ago, according to the report.

Adjustable-rate mortgages reportedly made up about half of the first quarter fundings, down 12% from the previous quarter but 6% higher than the comparable quarter last year.

Refinance activity accounted for 37% of the latest production, edging up from 36 percent from both the prior quarter and a year earlier, the office said.

Despite the downfall in residential production during the first period of the year, quarterly earnings reached a record $4 billion.

In an announcement, the office noted that "increased industry profitability was attributable to higher mortgage servicing fee income, and declines in loan loss provisions and noninterest expense." Servicing fee income increased from 0.13% to 0.23% of average assets during the quarter.

Article © MortgageDaily.com All Rights Reserved