UNIONDALE, N.Y. -- Mortgage originations by Arbor National Holdings Inc. dropped by 11% to $783 million in its first fiscal quarter, which ended May 31. Applications for loans fell by 27%.
The company's servicing portfolio, however, grew by 58% from the level a year earlier, reaching $4.9 billion..
Arbor said the annualized runoff rate from its servicing portfolio was 13.2%, and it called the rate one of the lowest in the industry.
Competitive Conditions
Originations of loans to buy homes climbed by 42%, Arbor said.
Ivan Kaufman, Arbor's chief executive, said conditions were highly competitive in the mortgage market during the quarter because of overcapacity in the industry as originations shrink.
But he added that he saw opportunities to build market share as a result of the consolidation under way.
