The 2015 Home Mortgage Disclosure Act numbers are now available in LendingPatterns™ and they show a healthy originations volume of $1.85 trillion for the year through 7.4 million loans.
That’s up sharply from 2014’s $1.4 trillion in originations through six million mortgages.
The purchase mortgage/refinancing split, which was an unusual dead even at 48 percent when I took a preview of 2015 HMDA through LP’s “early look” feature, was resolved in favor of the purchase mortgage when all activity was tallied-—though not by much.
Purchase volume made up 49.7 percent of the total number of loans made, to 43.9 percent for refis, with the balance (6.5 percent) going to home improvement loans. For dollar amounts, purchases showed a slightly higher volume at 51.5 percent, or $951 billion, with refis coming in at $833 billion, 45 percent, and HILs 3.4 percent, for $63 billion.
In the secondary mortgage market, lenders sold 73 percent of production while retaining 27 percent of loans made in portfolio. In dollar amounts, portfolio lending was a little higher at 32 percent ($591 billion).
Non-agency investors held an edge over agency sales volumes last year. On the dollar side, non-agency investors bought 25 percent of production, $458 billion. They were followed by Fannie Mae at 19 percent ($348 billion) Freddie at 13 percent and $238 billion, and Ginnie Mae with $213 billion, 11.5 percent. Farmer Mac barely tipped the scales, at $89 million in sales.
By number, non-agency sales were even higher, at 26.4 percent (1.95 million mortgages). Fannie Mae was the largest of the agency investors, at 1.5 million loans. And Ginnie Mae overtook Freddie Mac for third, at one million loans.
A slightly smaller percentage of the market was conventional in 2015. In 2014 76.3 percent came through the conventional channel, while in 2015, that amount was 73.5 percent. On the guvvie side last year, the Federal Housing Administration led with 17 percent, followed by the Department of Veterans Affairs at 8.3 percent and the Rural Housing Service/Farm Services Agency at 1.6 percent.
Conforming mortgages took almost 92 percent of the market in number of loans at 6.7 million, while jumbos came in at just less than 10 percent, or 687,000. The percentages were almost exactly the same as in 2014, though the numbers varied because the 2015 production was higher.
The average loan amount was $261,000 on first liens and $65,000 on subordinate liens, a nice bump up from $245,000 for firsts and $58,000 for subordinates in 2014.
As in previous years, HOEPA lending was almost nonexistent. In 2015 just 1,249 mortgages qualified for the designation.
Nearly 98 percent of 2015 volume was for one-to-four family mortgages. About 1.8 percent went for manufactured housing while multifamily share was 60 basis points.
Average spreads were 2.44 percent on first liens and five percent on subordinate liens, although only 5.7 percent of spreads were reported by the 7000 lenders who reported HMDA numbers for last year.