"The Longbridge segment had another excellent quarter with strong contributions from both origination and servicing, said JR Herlihy, Ellington's chief financial officer. Origination profits were driven by higher origination volumes of prop reverse mortgage loans, higher origination margins for HECM reverse mortgage loans, and net gains related to the prop loan securitization completed during the quarter. The company's servicing book grew by 37% on a quarterly basis to reach $750 million in unpaid principal balance (UPB) at the end of September."
"We continue to invest in proprietary technologies that enable our affiliate loan originators and other partners to originate and deliver loans more efficiently to us, Tecotzky said. Those technology investments are paying off through higher purchase volumes as we have greatly expanded the breadth of originators who sell loans to us. We're also optimistic about the potential for technology to both automate and improve many aspects of loan underwriting."
Longbridge originated $498.6 million in volume across HECM and proprietary lending during the third quarter shortly before federally insured HECMs were stalled by a federal government shutdown. Wholesale and correspondent channels accounted for 71% of that volume. Origination profits rose due to higher volumes of proprietary reverse mortgage loans, higher origination margins for HECM loans, and net gains from a proprietary loan securitization. The servicing book expanded 37% quarter over quarter to $750 million in UPB by the end of September. Proprietary reverse mortgages reached a record origination amount and now comprise 62% of the portfolio by value. Technology investments expanded the breadth of originators, increased purchase volumes, and promise automation and improvement of underwriting.
Read at www.housingwire.com
Unable to calculate read time
Collection
[
|
...
]