MBA Says Independent Mortgage Banks Saw Losses Increase By 800%. Report Says Loan Servicing Is The Only Thing Keeping IMBs Alive
The loan losses continue to grow for independent mortgage banks aka IMBs. The Mortgage Bankers Association (MBA) is out with new numbers and they are not good.
The report shows IMBs reported a net loss of $624 on each loan they originated in the third quarter of 2022.
This nearly 800% higher compared with $82 per loan in the second quarter of 2022.
Production revenues also continue to decrease on a per loan basis to $10,392 per loan in the 3rd quarter. This is down from $10,855 per loan in the second quarter.
In addition, servicing income for the third quarter was at $102 per loan. As a result, this is down from $133 per loan in the second quarter. Servicing operating income was at $95 per loan in the third quarter. As a result, this is also down from $97 per loan in the second quarter.
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