ELMSFORD, N.Y. - Cityscape Financial Corp., a mortgage bank specializing in nonconforming mortgage loans, reported second-quarter net income of $2.4 million for the period ended June 30, compared with $176,114 in the second quarter of 1994.

Cityscape originated 1,250 mortgage loans totaling $87.7 million in the second quarter, representing an increase of 187.4% in number and 174.1% in dollars over second quarter 1994 loan originations.

Earnings before income taxes increased by $3.7 million, to $3.9 million, in the three months ended June 30.

Earnings for the six months ended June 30 were $3.4 million, compared with a net loss of $306,764 for the same period of 1994. The net earnings for the first six months of 1994 reflect a one-time charge of $680,000 related to the change in tax status.

The company said the growth in loan origination volume for the second quarter was due to both geographic expansion into new states and increased efforts in existing states. It also received earnings from a 50%-owned joint venture in the United Kingdom, City Mortgage Corp., formed in May 1995.

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TROY, Mich. - Standard Federal Bank said it closed $711.9 million of residential loans in July, a gain of 188% from a year earlier.

The thrift said half of the loans were adjustables, against about a third in 1994. Standard customarily keeps adjustables in its portfolio and sells the fixed-rate models in the secondary market.

Its pipeline of mortgages awaiting closing reached $1.1 billion, including $392 million fixed-rate loans held for sale. A year earlier, the pipeline was $588 million, with $167 million of loans held for sale.

The thrift, however, is experiencing a squeeze on its interest spreads. It reported a spread of 2.38% in July, against 2.88% in July 1994, because the cost of funds has grown faster than the yield on assets.

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