The company sees an opportunity as its competitors have to sell to make up for lost income due to tighter origination margins.

The company also locked a record $4.7 billion in jumbo loans and significantly increased its business purpose lending from a year ago as its revenue mix shifted toward its taxable subsidiary.

The deal for Michigan-based Flagstar Bancorp, announced in April, was originally expected to be completed by the end of the year. The New York bank’s CEO expressed optimism that it will still get regulatory approval.

The Alabama company agreed to buy two nonbank lenders earlier this year. It’s still on the lookout for possible deals, potentially in corporate finance or wealth management, its chief financial officer told American Banker.

Earnings are up from the second quarter, but originations slip at Wells Fargo and Citi.

The San Francisco bank reported a 26% increase in its third-quarter earnings, thanks to robust single-family, multifamily and commercial real estate loan activity in New York, Boston and its home city.

The loan origination system provider, which launched an IPO on July 28, reported that its second quarter revenue and income grew 38% year-over-year.

Improved capitalization and smaller balance sheets should help several weather the likely consolidation that is coming, Moody's said.

Even as lenders increased purchase share, higher expenses and margin compression related to pricing competition led to smaller quarterly net gains.

Revenue at the fintech company grew from prior periods without even taking into account any contributions from the Title365 acquisition at the end of the quarter.

The wholesale lender has a cost structure aimed at beating the competition in a rising rate environment, Chairman and CEO Mat Ishbia said on the second quarter earnings call.

Depressed margins and a $219 million hit to its servicing rights fair value translated to a lower bottom line at the wholesaler.

While the company's mortgage originations saw a 46% annual drop in gain on sale margin, it anticipates that annual volumes will exceed 2020 levels.

Shrinking gain-on-sale margins also ate into earnings, with growth expected to slow for the rest of 2021.

The company attributed its second quarter loss to competitive pricing pressures and GSE-imposed charges.

The company’s $204 million in net income was down from unusual highs seen recently but still historically strong thanks to the balance between its loan channels and servicing operation, representatives said.

Delinquency concerns continue to wane as the end of forbearances is not expected to lead to a massive wave of foreclosure activity.

The company's expanded portfolio through its acquisition spree drove revenue, representatives said.

The company has been making investments in correspondent originations and servicing and “reverse” loans used by borrowers age 62 and up to withdraw home equity.

Many banks reported sharp declines in income from home loans during the second quarter. The large gains they enjoyed last year thanks to a surge in refinancing activity are unlikely to return, according to bankers and analysts.