A number of brokerages and real estate tech companies continue rolling out their Q2 numbers, and we’re keep tabs on the big wins. Next up: LoanDepot
Accounting for what management is calling a “transitional period” for the mortgage industry, LoanDepot had quite the mixed bag of Q2 results.
According to the company’s release, the multichannel lender reported a 31 percent increase in purchase mortgage transactions compared to the first quarter of this year. That marks LoanDepot’s best quarter ever for purchase loans, financing $10.38 billion in home sales.
Refinance originations, however, declined to $24.1 billion in in Q2 from $33.56 billion in Q1. Overall, loan origination volume came in at $34.5 billion, a $7 billion decline—or 17 percent—from the first quarter of this year.
Overall, net income for LoanDepot dropped to $26.3 million in Q2, compared to $427.9 million in Q1. LoanDepot notes, as reported by Housing Wire, that the quarter-over-quarter decrease was driven by a decline in gain on sale margins and an increase in servicing rights fair value losses.
Executive expect LoanDepot to originate $30-36 billion in loans during the third quarter of this year.
“We remain focused on our strategy of offering even more adjacent, non mortgage real estate-related services that will serve our customers through every stage of the home ownership journey,” LoanDepot CEO Anthony Hseih said. “Providing our customers with robust choices and an expansive set of products and services through our proprietary technology, powerful data and analytical capabilities, and exceptional service, is how we will continue to win.”