According to ATTOM’s Q2 2022 U.S. Residential Property Mortgage Origination Report, 2.39 million mortgages secured by residential property were originated in Q2 2022 in the U.S. That figure was down 13 percent from Q2 2022 – the fifth quarterly decrease in a row – and down 40 percent Q2 2021 – the biggest annual drop since 2014.
The report noted that decline resulted from another double-digit downturn in refinance activity that more than outweighed increases in home-purchase and home-equity lending.
ATTOM’s latest report also noted that overall, lenders issued $807.8 billion worth of mortgages in Q2 2022 – down quarterly by 11 percent and annually by 35 percent. The report mentioned that as with the number of loans, the annual decrease in the dollar volume of loans marked the largest in eight years.
Also according to the report, purchase-loan activity, meanwhile, increased modestly in Q2 2022, despite ongoing home-price spikes, with the number of purchase loans up 8 percent quarterly to 1.1 million, representing 46 percent of all borrowing.
However, that reported gain was unusually small for the months running from April through June, leaving the number of purchase mortgages down 21 percent annually. The report noted that the dollar volume of loans taken out to buy residential properties rose to $431.4 billion, up 15 percent from Q1 2022, but still down 12 percent from Q2 2021.
ATTOM’s Q2 2022 mortgage origination report stated that residential purchase-mortgage originations increased from Q1 to Q2 2022 in 80 percent of the metro areas analyzed, but were still down annually in 90 percent.
According to the report, the largest quarterly purchase-mortgage origination increases were in Madison, WI (up 60.8 percent); Honolulu, HI (up 55.8 percent); Lafayette, IN (up 55.5 percent); Champaign, IL (up 52.6 percent) and Jackson, MS (up 49.3 percent).
The report noted that aside from Honolulu, metro areas with a population of at least 1 million that saw the biggest quarterly increases in purchase-mortgage originations in Q2 2022 were Boston, MA (up 41.7 percent); Seattle, WA (up 33.6 percent); Richmond, VA (up 31.9 percent) and Birmingham, AL (up 29.9 percent).
In this post, we take a deep data dive among U.S. metro areas with a population greater than 1 million, to reveal the complete list of the top 10 metros with the largest quarterly increases in purchase-mortgage originations in Q2 2022. Those top metros rounding out that list include: Cleveland-Elyria, OH (29.8 percent); New Orleans-Metairie, LA (28.8 percent); Milwaukee-Waukesha-West Allis, WI (26.9 percent); Columbus, OH (25.2 percent); and Pittsburgh, PA (22.2 percent).
ATTOM’s Q2 2022 mortgage origination report also found that the best-performing category by far in the second quarter was again home-equity lending, with HELOC loans shooting up 35 percent quarterly and 44 percent annually, to 341,704.
Want to learn more about purchase-mortgage lending and other mortgage origination trends in your area? Contact us to find out how!