Flagstar Bank had $1.7 billion of warehouse commitments at the end of June, a 28% jump from the same period a year ago, and a sign that originations in the primary market might be healthier than some people anticipate.
Also, Flagstar reported that its client base increased to 522 mortgage bankers, a gain of 128 firms over the past 12 months.
According to preliminary survey figures compiled by National Mortgage News, Flagstar isn’t the only lender doing well in commitments. People’s United Bank, Bridgeport, Conn., a relatively new player in warehouse finance, is seeing a healthy increase in business as well.
People’s warehouse executive Paul Best reported that the bank cut its first credit line in April and has already amassed $350 million in commitments with another $100 million on the way.
“In the current environment, I am pleased where we stand today,” Best told NMN.
People’s warehouse group is comprised of top executives who ran a similar business over at PNC Bank. PNC, though, didn’t like the warehouse business and exited the space last fall.
NMN is in the process of finalizing its 2Q warehouse survey.
