JPM-One Deal Would Create Largest HEL Lender

J.P. Morgan Chase's purchase of Bank One, Chicago, would create the nation's largest second-lien lender, according to figures compiled by National Mortgage News and Home Equity Wire.Based on third-quarter production of seconds, Chase Home Finance ranked third nationwide, with $7.4 billion, and Bank One sixth, with $4.7 billion. The market leader, Washington Mutual, Seattle, funded $9.6 billion in seconds during the quarter. If the second-lien production volumes of Chase and Bank One are combined, the firms would rank first, with $12.13 billion, based on third-quarter figures. The second-lien volumes come from a survey of conforming lenders and represents mostly 'A' credit quality loans. But JPM's purchase of Bank One is not expected to alter the first-lien residential market much because Chase is already a large player and Bank One is not.