Mortgage bankers funded $61.6 billion of payment-option adjustable-rate mortgages in the third quarter, a 37% decline from the level recorded a year earlier, according to figures compiled by National Mortgage News and the Alternative Products Quarterly Data Report.Every single lender answering the survey reported a double-digit percentage decline in fundings, ranging from 33% to 99%. Countrywide Financial Corp., Calabasas, Calif., ranked first among option ARM funders, originating $23.4 billion, a 56% decline from the volume in the third quarter of 2006. Wachovia Bank, Charlotte, N.C., ranked second with $8.8 billion, and Washington Mutual, Seattle, third with $7.5 billion. (WaMu's figure is an estimate.) Results may be incomplete because some firms would not provide an option ARM number.

Subscribe Now

Authoritative analysis and perspective for every segment of the mortgage industry

30-Day Free Trial

Authoritative analysis and perspective for every segment of the mortgage industry