Printer Friendly

NORTH AMERICAN MORTGAGE COMPANY SETS SINGLE-MONTH RECORDS FOR HOME LOAN FUNDINGS AND APPLICATIONS

 NORTH AMERICAN MORTGAGE COMPANY SETS SINGLE-MONTH RECORDS
 FOR HOME LOAN FUNDINGS AND APPLICATIONS
 SANTA ROSA, Calif., Oct. 7 /PRNewswire/ -- North American Mortgage Company (NYSE: NAC), one of the nation's largest originators of home loans, reported today new single-month records for both fundings and loan applications in the month of September, with $1.24 billion in loans funded and $2.07 billion in loan applications.
 This represents a 227 percent rise in loan fundings as compared with the September 1991 period, when the company originated $380 million in home loans. Loan applications for the same period increased 184 percent over September 1991, when the company generated $729 million in new applications.
 These significant gains in the origination and application volumes for September continue the growth trend the company has maintained throughout 1992. For the nine months ended Sept. 30, 1992, originations totaled $8.11 billion, 130 percent ahead of the comparable prior year's originations of $3.53 billion. Applications through September 1992 increased by 116 percent to $14.24 billion, up from $6.6 billion over the same period last year.
 John F. Farrell, Jr., chairman of the board and chief executive officer of North American Mortgage Company, said: "We are particularly pleased that our record originations of $1.24 billion and greatly reduced servicing sales of only 11 percent of originations have resulted in the growth of our servicing portfolio by $1 billion in September to $10.55 billion. Moreover, with the average coupon rate declining to 8.4 percent in September, the prepayment risk to this growing portfolio is reduced." Farrell also noted that the average size loan the company currently services ($94,955) is a 24 percent increase over the average it serviced in September, 1991 ($76,414).
 The company's previous monthly record for applications occurred just last month -- August, 1992 -- when North American Mortgage produced $1.904 billion in new loan applications.
 In volume of fundings and applications, the California/Hawaii region continues to be a strong producer for the company, accounting for 69 percent of its total origination in September.
 "Many of our offices in Northern California have set new records this past month for originations," said Terrance G. Hodel, president and chief operating officer of the company. He noted that one branch office in particular, Santa Rosa Production, accounted for $102 million in mortgage originations alone. "Our year-to-date performance, coupled with the lowest interest rates in a generation, give us a strong expectation for continued growth, profitability and market penetration," he added.
 On a percentage basis, the company's Mid-Atlantic region continues to post major monthly performance gains. Loan originations for the region, which include offices throughout Maryland and Virginia, were $106 million in September. This represents a 25 percent increase from August, when the region originated $85 million in home loans. "We are extremely pleased with the performance of our Mid- Atlantic region, whose origination and application volumes are validating the expectations we set when we acquired those operations in March of this year, Hodel said." September loan applications in the mid-Atlantic region were $178 million, a 24 percent rise from the then-record $144 million in August.
 In addition to the significant gains in applications and fundings, North American Mortgage Company has seen its servicing delinquencies (those loans in arrears by more than 30 days) and foreclosures fall appreciably from a year ago. Delinquent loans make up only 1.83 percent of the company's $10.55 billion servicing portfolio, an improvement of 39 percent from the September, 1991 delinquency rate of 2.99 percent. In addition, foreclosures are running at less than one-half of one percent (0.48 percent) in September 1992. This compares with a foreclosure rate of 0.96 percent during last September, representing an improvement for the company of 50 percent.
 North American Mortgage Company is primarily engaged in the mortgage banking business and, accordingly, originates, acquires, sells and services mortgage loans that are principally first-lien mortgage loans secured by single-family residences. It is a major originator in the California, Texas and Mid-Atlantic markets. Headquartered in Santa Rosa, Calif., the company operates 43 origination offices located in California, Texas, Maryland, Virginia, Hawaii, Colorado, New Mexico and Utah.
 NORTH AMERICAN MORTGAGE COMPANY
 Operating Statistics
 YTD YTD
 Periods ended Sept. 1992 1991 1992 1991
 Loan originations
 (millions) $ 1,242 $ 380 $ 8,112 $ 3,534
 Average loan size
 originated $139,967 $125,948 $133,555 $127,071
 Percentage refinance
 originations (pct.) 74 42 67 43
 Loan applications
 (millions) $ 2,072 $ 729 $ 14,243 $ 6,603
 Owned servicing
 portfolio (millions) $ 10,546 $ 6,495 -- --
 Servicing portfolio
 number of loans 111,063 84,997 -- --
 Average loan size
 serviced $ 94,955 $ 76,414 -- --
 Servicing delinquency
 percent (30 days
 & over) 1.83 2.99 -- --
 Foreclosure percent .48 .96 -- --
 The above data reflect current operating statistics and do not constitute all factors impacting the quarterly and annual financial results of the Company. All figures are unaudited and monthly figures may be adjusted in the reported financial statements which will be provided on a quarterly basis.
 -0- 10/7/92
 /CONTACT: Robert J. Gallagher, senior vice president & CFO of North American Mortgage Company, 707-523-5055, or Andrew R. Baer or Thomas J. Davies of Kekst and Company, 212-593-2655, for North American Mortgage/
 (NAC) CO: North American Mortgage Company ST: California IN: FIN SU:


TM -- NY057 -- 7616 10/07/92 17:20 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Oct 7, 1992
Words:890
Previous Article:USAIR FINALIZES STRIKE FLIGHT SCHEDULE FOR THE NEXT WEEK, REPORTS EXCELLENT OPERATIONAL PERFORMANCE ON TUESDAY
Next Article:WCIC AGREES TO SELL TETON NATIONAL'S STOCK TO WOODMEN OF THE WORLD
Topics:


Related Articles
NORTH AMERICAN MORTGAGE COMPANY REPORTS RECORD $2.6 BILLION LOAN APPLICATION VOLUMES AND $1.15 BILLION OF LOAN FUNDINGS IN MARCH
NORTH AMERICAN MORTGAGE COMPANY REPORTS $1.47 BILLION OF LOAN FUNDINGS IN APRIL; SERVICING PORTFOLIO REACHES $12.7 BILLION
NORTH AMERICAN MORTGAGE COMPANY REPORTS $1.51 BILLION LOAN FUNDINGS IN AUGUST; SERVICING PORTFOLIO REACHES RECORD $15.1 BILLION
NORTH AMERICAN MORTGAGE COMPANY REPORTS RECORD $2 BILLION IN LOAN FUNDINGS IN OCTOBER; SERVICING PORTFOLIO REACHES RECORD $16.7 BILLION
NORTH AMERICAN MORTGAGE COMPANY REPORTS JANUARY LOAN FUNDINGS UP 84%; JANUARY LOAN APPLICATIONS UP 64%
NORTH AMERICAN MORTGAGE COMPANY REPORTS MARCH LOAN FUNDINGS OF $1.4 BILLION, UP 21%; PURCHASE APPLICATIONS AND FUNDINGS SET RECORDS
NORTH AMERICAN MORTGAGE COMPANY REPORTS APRIL LOAN APPLICATIONS OF $1.5 BILLION AND LOAN FUNDINGS OF $879 MILLION
North American Mortgage Company Reports August Loan Applications of $1.22 Billion and Loan Fundings of $738 Million
North American Mortgage Company Reports September Loan Applications of $1.1 Billion and Loan Fundings of $666 Million
North American Mortgage Company Reports October Loan Applications of $1.4 Billion and Loan Fundings of $765 Million

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters