USA: increases the market share of the credit for mortgage advisors

Perhaps the future of American Consultants credit is coloring with rosy hues. In fact, of the nearly $ 33 billion of loans granted by banks in the third quarter of the year, 9.2% of market share belongs to the credit counselors, as reported by the Quarterly Data Report released a few days ago by the magazine industry National Mortgage News .

In the first and second quarters of 2011, brokers have maintained a market share of 6.8% and 7.9% respectively. The growth in 3Q is definitely a great sign of recovery, but if we compare the data with previous years we find that only 3 years the market share occupied by the consultants in the mortgage business reached 19%, thanks to the privileged relationship with the banks .
Are retail banks to occupy the largest share of the market: 52% of the market share of mortgages.
Although the credit industry consultants, as a whole, has gained ground during the first quarter of the year, many of the major wholesalers have delivered lower volumes compared to the same quarter of 2010.

Wells Fargo & Co., one of the largest financial services companies American (and third wholesalers in the country), this year has allocated $ 3.9 billion to consultants for the closure of mortgage contracts (the so-called table funding): that is to say 60% less than in 2010.
Another financial services company, the Californian Provident Funding Associates, has created a table funding of $ 5.1 billion (the highest in the country) which, however, has meant a -28% compared to last year, while U.S. Bank Home Mortgage has provisions of $ 4.5 billion for credit counselors, however, equal to a -41% compared to 2010.

Bank of America, despite having announced to exit the mortgage business as early as last year, is still on the market, albeit with a somewhat reduced presence. The table funding of the bank to the third quarter of 2011 totaled $ 60 million, but the comparison is not the same period of 2010 does not take the comparison since 30th September last year there was talk of values ​​equal to 4.6 billion dollars.

The credit counselors who work in the mortgage market have been decimated during the deep crisis that has hit the real estate market with many analysts who have accused the industry of distributing funding of poor quality. However, the consultants have repeatedly stated that these bad loans would have to be earmarked for securitization and underwriting, and which have nothing to do with the mortgage market.

Always credit counselors believe they are in a "competitive disadvantage" because of the new regulations (the Mortgage Market Review), but the data indicate that their growth in market share relative to this business bode well for the future