The Smart Team of NOVA® Home Loans

Mortgage Banking Profits Increased in 2016

Posted To: MND NewsWire

Despite a terrible fourth quarter, independent mortgage banks and mortgage subsidiaries of chartered banks managed to have a slightly more profitable year in 2016 than they did in 2015. The Mortgage Bankers Association’s (MBA’s) Annual Mortgage Bankers Performance Report said those banks made an average profit of $1,346 on every loan they originated last year, compared to $1,189 per loan in 2015. MBA’s report for the final quarter of the year showed profits at $575 per loan, only one-third the profit level of the previous quarter. MBA said 94 percent of the firms which reported data said they posted overall pre-tax net profits during 2016. Ninety-two percent reported those profits in 2015. The average production profit expressed in basis points (bps), was 58 bps compared to 52 bps the previous…(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.


Source: Mortgage News Daily

%d bloggers like this: