Record Quarter at IndyMac

$11.2 billion 4th quarter fundings
By MortgageDaily.com staff
1/28/2005

Volume soared to record-breaking levels at IndyMac Bancorp Inc.

Fourth quarter's fundings of $11.2 billion, up 9% from the prior quarter, represented the best loan originating period in the history of the Pasadena, Calif.-based bank, according to its earnings announcement Thursday.

Full-year 2004 mortgage production of $37.9 billion surged 30% from the previous year.

IndyMac estimated its mortgage market share of 1.34% is up 74% over 2003 .

"Our market share success [last] year has been the direct result of our customer base being predominantly comprised of mortgage brokers and mortgage bankers with strong ties to Realtors and the purchase market, our product mix that is generally less interest rate sensitive, and a significant expansion of our geographic presence, sales force and customers nationwide," said company chief executive Michael Perry in the announcement.

About 44% of the fourth quarter's originations were for purchase money, another 44% were rate/term refinances and the remaining 12% consisted of cashout refinances, the lender reported.

Adjustable-rate mortgages represented 73% of the latest volume, IndyMac said, of which hybrid ARMs accounted for 38%.

Alt-A originations edged up from the third quarter to $7.5 billion and subprime fundings increased a whopping 47% to $1.4 billion, while home equity lines of credit plummeted 41% to $0.4 billion, the announcement said.

The size of the loan portfolio of $50.2 billion at the year's end grew 63% over 2003.

The pipeline of mortgage loans in process reportedly ended the quarter at $6.3 billion.

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