Posted To: MND NewsWire
While most of us couldn’t wait for 2020 to be over, it turns out to have been a superlative year for mortgage originators. The Mortgage Bankers Association’s (MBA’s) annual Mortgage Bankers Performance Report shows the profit independent mortgage banks and mortgage subsidiaries of chartered banks made on each loan they originated was nearly three times their profit in 2019. Bankers made an average of $4,202 on each loan originated in 2020, up from $1,470 in 2019. While servicing profits were down, production profits more than compensated. Ninety-nine percent of the firms posted overall pre-tax net financial profits in 2020, compared to 92 percent in 2019 and only 69 percent in 2018. In basis points (bps), the average production profit (net production income) was 157 bps compared to 58 bps in…(read more)
