Originations See Largest YOY Decline In Two Decades

Mortgage originations saw their largest annual decline in 21 years, further evidence that the housing boom is coming to an end. Originations fell 47% YOY in Q3, according to ATTOM Data’s Q3 2022 U.S. Residential Property Mortgage Origination Report. Quarter-over-quarter they were down 19%, the sixth consecutive drop. Lenders issued a total of $636.5 billion worth of mortgages in Q3. By dollar count, that’s down 22% from Q2 and 46% YOY. It’s the largest dip in loan dollar volume since at least 2001. HELOC lending increased for the fifth time in six quarters, but the boost was overwhelmed by the slump in purchase and refinance origination. “There are no surprises in this quarter’s loan origination numbers, as the unprecedented jump…

Movement And Homepoint Both Launch New HELOCs

Both Movement Mortgage and Homepoint introduced new, speed-focused home equity products as homeowners continue to seek out ways to access cash without compromising their mortgage rates. Homepoint, a wholesale lender, launched a new, 100% digital HELOC in 38 states and Washington, D.C., available through its mortgage broker partners. The company said it will expand to more states within months. Its HELOC requires “minimal uploading of income and asset documents” and, in some cases, may provide same-day approval and funding within five business days. It lets borrowers access $20k to $400k of their home’s equity as a line of credit with either a 5-, 10-, 15-, or 30- year term and 2- to 5-year draw terms. They maintain at least 15%…

Dwindling Refis Eclipsed Rising HELOC, Purchase Lending In Q2 2022

Refinance lending fell 36% from Q1 to Q2 2022, eclipsing increases in other lending areas, according to ATTOM’s second-quarter 2022 U.S. Residential Property Mortgage Origination Report. The report found that 2.39 million mortgages secured by residential property were originated in Q2 2022, down 13% from Q1 and 40% YOY. This is the fifth consecutive quarter of falling originations and the biggest annual drop since 2014. Though purchase originations and home-equity lending actually increased 8% and 35%, respectively, they were heavily outweighed by the double-digit refi drop. The total number of mortgages issued was down 13.2% from Q1 and 40% YOY, dropping at their fastest pace in eight years. Lenders issued $807.8 billion worth of mortgages overall in Q2, down 11%…

Wells Fargo Joins JPMorgan Chase In Exiting HELOCs

Wells Fargo will take a break from offering new home equity lines of credit beginning Friday as credit continues to tighten during the coronavirus pandemic, according to media reports. The San Francisco-based banking giant joins JPMorgan Chase in backing off the loans known as HELOCs, which allow homeowners to borrow money against the equity in their houses. “Wells Fargo Home Lending will temporarily stop accepting applications for Wells Fargo Home Lending will temporarily stop accepting applications for all new home equity lines of credit (HELOCs) after April 30,” the company said in a statement shared with The Mortgage Note. “The decision to temporarily suspend the origination of new HELOCs reflects careful consideration of current market conditions and the uncertainty around…