The highest 10 mortgage lenders in 2022 in line with HMDA knowledge

Depositories gained ground in single-family lending during 2022 based on loan count, according to Polygon Research’s analysis of the latest modified Loan Application Register data from Home Mortgage Disclosure Act reporting.

Nonbanks Rocket Mortgage, United Wholesale Mortgage and loanDepot reprised their positions in the first three slots of the top 10 lenders ranked by the number of loans, but banks took over six positions within the rankings, as opposed to two in 2021.

Wells Fargo held onto its No. 4 position, and although JPMorgan Chase slipped to two spots to the eighth slot, other depositories filled in all the other positions in the back half of the rankings, which were based on an analysis of loans secured by one-to-four family properties. Bank of America ranked No. 6, followed by: U.S. Bank, JPMorgan Chase, PNC and Citizens. Nonbank Fairway Independent Mortgage ranked fifth.

“What’s new this year is the presence of the banks in the top 10,” said Lyubomira “Val” Buresch, CEO of Polygon Research.

The change appears primarily to stem from consolidation among nonbank mortgage companies following a rapid runup in interest rates during 2022 that constrained their lending volumes and margins as they struggled to downsize following a two-year housing boom.

Also notable in the rankings was the fact that Rocket Mortgage retained its leading position for the full year based on loan count even though No. 2-ranked United Wholesale Mortgage had recorded a higher dollar volume in lending in fourth quarter earnings.

In addition, full-year HMDA/modified LAR rankings based on dollar volume show Rocket’s mortgage production topped United Wholesale’s, but their numbers were close at nearly $127.58 billion and $127.51 billion, respectively. However, Polygon Research has identified a possible reporting error by what appears to be a small lender showing up as No. 4 by dollar volume that may be distorting the rankings, which come from data released by the Consumer Financial Protection Bureau this week.

HMDA data has limitations and does exclude some entities due to restrictions on the size of financial institutions that report into it.

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