We recently hosted a conference call featuring Jerry Baker, president and CEO of First Horizon Home Loan Corp. (the residential mortgage banking subsidiary of First Tennessee National Corp.), and Tim Dale, EVP and residential mortgage banking director of BB&T Corp. Each of these experienced bankers provided a bullish outlook for the revenue and earnings prospects of residential mortgage banking in 2001.

Due to falling interest rates, mortgage refinance activity has begun to surge and new home purchases are holding up well. The Mortgage Bankers Association (MBA) is currently forecasting total 1-4 family mortgage origination volume of $1.48 trillion in 2001, and the forecast of "Freddie Mac" is slightly higher. These forecasts are in line with record origination volume of $1.51 trillion generated in 1998 and up from $1.29 trillion and $1.02 trillion in 1999 and 2000, respectively.

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.