Over the last few years, the jumbo mortgage market has seen a shift in lenders and lenders exiting the market. Part two of HousingWire’s two-part series has revealed which of these lenders are pulling back and which nonbank and Wall Street firms are entering this market.
The most compelling findings of the report: nonbank lenders are playing a significant role in taking market share from traditional lenders. These nonbank lenders consist of diverse providers of mortgage financing, such as private equity, venture capital, and investment firms. When looking at which lenders have pulled back from the jumbo market, lending institutions such as Bank of America, Quicken loans and Fifth Third Bank have experienced the biggest reductions in their jumbo mortgage activity over the last two years. Finally, fintechs including LoanDepot and UWM have managed to gain market share, despite the high costs of mortgage origination technology and digital development.
Most Important Elements:
• Nonbank lenders are taking market share from traditional lenders
• Bank of America, Quicken Loans and Fifth Third Bank have pulled back from the jumbo market
• Fintechs such as LoanDepot and UWM have gained market share
You can read this full article at: https://www.housingwire.com/articles/the-jumbo-market-is-up-for-grabs-part-ii/(subscription required)
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