With refinancing applications booming across the country, warehouse lending volumes are quickly rising at ViewPoint Bank, Plano, Texas, which entered the space about two years ago.
"We just had our best month ever in October," said Jerry Davis, the bank's senior vice president of warehouse lending. "Right now, the usage/commitment ratio is running at 80%," he said in an interview with National Mortgage News.
Typically, the usage/commitment ratio has been in the mid-60s range for the company.
At the end of the third quarter, ViewPoint had about $750 million in outstanding commitments, a handsome 66% jump since mid-2009. Its maximum warehouse line is $30 million. Its nonbank mortgage clients have a minimum net worth of $7.5 million.
"Right now, the bosses are happy," said Davis, who joined the company 30 months ago from the warehouse lending division of Residential Funding Corp., a subsidiary of GMAC Financial Services (now called Ally Financial).
