Southeast, Southwest, Texas, Colorado Regions Lead Growth
SAN DIEGO – Guild Mortgage, one of the largest independent mortgage lenders in the U.S., saw purchase loan volume jump almost 50 percent from the first quarter to the second quarter of 2017, resulting in record overall loan volume of $7.3 billion for the first half of 2017, up 7.1 percent from $6.8 billion in the same period of 2016.
Purchase loans reached $3.5 billion in the second quarter of 2017, a Guild record. The previous record was $3.1 billion in the third quarter of 2015. The total purchase loan volume for the first half of 2017 was $5.9 billion, up 23.1 percent from $4.8 billion in the same period of 2016. Purchase loans were 81 percent of all Guild loans in the first half of 2017, versus 70.5 percent in 2016. Guild created 32,209 new loans during the first half of 2017, up 6.5 percent from 30,254 in the 2016 period.
Mary Ann McGarry, president and CEO, said Guild continued to benefit from offering potential buyers a wide array of mortgage products, its proven ability to help first-time homebuyers with the application process and the introduction of the MyMortgage digital mortgage application.
“MyMortgage helps us to streamline the mortgage process while providing each homebuyer with personalized service,” said McGarry. “We are also seeing growing interest in our 1 Percent Down conventional loan program. When combined with a 2 percent grant from Guild, the homebuyer begins with 3 percent equity. The grant does not need to be repaid. As an entrepreneurial company, we are always searching for new ways to help first-time homebuyers achieve their goals.”
The top region for growth during the first half of 2017 was the Southeast (Florida, South Carolina, North Carolina, Georgia, Alabama, Mississippi and Tennessee), with loan volume of $604.5 million, up 34 percent. Five of the seven states in the region saw growth of more than 30 percent from the same period in 2016.
Following the Southeast region was the Texas region with loan volume of $501.8 million, up 25.2 percent; Colorado region, $507.2 million, up 17.4 percent; and the Southwest region (Arizona, New Mexico and Nevada), up 16.1 percent to $918.3 million.
Leading states for growing loan volume during the first half of 2017 were: Texas, up 88.9 percent to $721.1 million (this includes the addition of AmeriPro and its 25 offices in the second half of 2016); Arizona, up 20.7 percent to $367.4 million; Colorado, up 16.4 percent to $516.2 million; and Nevada, up 14.2 percent to $583.7 million.
During the first half of 2017, average loan size for all Guild loans was $228,445, up 1 percent from $225,874 in 2016. Regions with the biggest increase in average loan size were: Northwest, $277,193, up 7.9 percent; Southwest, $218,899, up 4.4 percent; and Texas, $174,908, up 4.2 percent. The Hawaii region had the highest average loan size, at $403,810, during the first half, while the Southeast region had the lowest average, at $174,873.
Guild continued to grow its servicing business, with $34.1 billion and 172,615 loans serviced as of June 30, 2017, up 33 percent from $25.6 billion and 136,119 loans from the first six months of 2016. The company’s portfolio is divided among conventional loans, 57.9 percent; FHA, 31.4 percent; and VA, 10.7 percent.
Guild offers first-time homebuyers a wide range of loan options and personalized service. The company is consistently among the top independent mortgage lenders in the U.S. in terms of purchase loans. Its loan professionals can serve the needs of any homebuyer, from helping first-time homebuyers achieve home ownership, often through government loan programs, to jumbo home loans. Guild also specializes in helping active duty and retired military personnel to secure VA loans, with 100-percent financing and flexible qualifying standards.
About Guild Mortgage
Founded in 1960 when the modern U.S. mortgage industry was just forming, Guild Mortgage Co. is a nationally recognized independent mortgage lender offering a wide range of residential mortgage products and local in-house processing, underwriting and funding. Its collegial and entrepreneurial culture enables it to deliver unsurpassed levels of customer service. Having been through every economic cycle, the company has grown 16-fold since 2008, and now has more than 3,800 employees operating from 250 branch and satellite offices in 25 states. Guild’s highly trained loan professionals are experienced in government-sponsored programs such as FHA, VA, USDA, low down payment assistance programs and other specialized loan programs. The company generated $15.9 billion in loan volume in 2016, as compared to $1 billion in 2008. In addition, Guild services more than 155,000 loans, which totaled $30 billion in 2016, and has correspondent banking relationships with credit unions and community banks in 47 states. (Equal Housing Lender- Company NMLS #3274).