Cardinal Says Originations Down 40% in 3Q
Cardinal Financial Corp., the Tysons Corner, Va.-based parent of George Mason Mortgage, said it has experienced a 40% decline in mortgage originations in 3Q13 when compared with the second quarter because of rising interest rates affecting the refinance business.
Furthermore, its gain-on-sale margins have decreased in the current quarter because of competitive pressure related to the changing market positions. The company added there is no certainty that these will return to “recent historical level.”
As a result “expense reduction and revenue enhancement measures have been and will continue to be implemented.” Cardinal said the largest impact of these measures will not be realized until 4Q13.
Even with all of the market turmoil, Cardinal’s management “continues to look favorably upon its mortgage banking business, management and the industry as a whole.”
The company said its loan officers are experts in purchase money mortgage production “and have been growing that portion of its mortgage business by providing the best service in its markets.”
In the initial Origination News top 200 loan officer listings for 2012, George Mason Mortgage had 17 representatives, including four in the top 50 with two in the top 20.