Silvergate Bank, La Jolla, Calif., funded $663 million of loans through its mortgage warehouse program, down from
The company started in the warehouse business in April 2009 and 4Q12 had been its best ever in terms of fundings.
It said the year-over-year improvement was a result of an increase in the number of mortgage banking clients it has for its warehouse credit.
In addition, the reverse mortgage lending division, created in late 2011, funded and/or purchased $50 million in Federal Housing Administration-insured Home Equity Conversion Mortgages in 4Q12. It sold a pool of HECMs in 1Q13. Silvergate added its capacity to accumulate and hold these loans on its balance sheet allows it to maximize opportunities for gain on sale income as well as interest income while the loans are still on its books.
The bank reported 1Q13 net income of $1.4 million, the fourth highest in its history. In 4Q12 it earned $2.5 million, while in 1Q12 it earned $1 million.
