Orange County Mortgage
Brokers have known for a while the recent mortgage boom has been slowing down
and many people have been wondering how this is going to affect the bottom
lines of banks across the country.
A Shining Light In A Slow Economy?
Even though mortgage industry
experts are expecting coming statistics to show that mortgage originations have
slowed down in the last quarter, Orange County Mortgage Brokers are still in
agreement that mortgage business has been the bright spot that has continued to
help the struggling economy.
In order to beat the bad news
out of the gate, some lenders like U.S. Bank are already announcing that their
mortgage income from the first quarter of this year will be down by 15% or
more.
Kevin Kabat, CEO of Bankcorp
has said that they didn’t expect mortgages to decline as quickly as they have,
and many of the industry’s top analysts like: Ken Usdin are also bracing
financial industry watchers and investors to expect profits from lenders
originating mortgages to be down by as much as 20% or more.
What’s The Reason For The Decline?
According to analysts in the
Mortgage Bankers Association, the decline in mortgage originations in Orange
County and across the country is completely normal since homeowners across the
country typically refinance their homes in phases or waves of activity that can
be tied to the rise and fall in interest rates.
Not Bad News For All Banks?
Even though most banks are
telling investors to be ready for bad news, not every bank has been affected,
one bank in particular: Sanford C. Bernstein & Co. has said that they only
expect their mortgage originations to fall by just 10%
To learn more about the
latest mortgage industry news or to get a quote for an Orange County Mortgage
Loan, contact Sun Financial Group today by calling us at (949) 699-1950.
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