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Newrez sees AI investments, new loan products fueling growth
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National lender and servicer Newrez reported positive earnings and touted opportunities amid ongoing economic volatility, as its leadership sees potential growth in new lending products and savings from artificial intelligence investments.
Both numbers factored in changes in fair value of mortgage servicing rights, with the second-quarter markdown totaling $392.9 million.
New loan production across all channels totaled $15.9 billion, rising from $15.5 billion three months earlier.
Improved gain-on-sale margin of 164 basis points propped up profits, as it grew from 144 bps quarter over quarter.
Unpaid loan balances stood at $865.2 billion, surging from $850.4 billion in the first quarter and inching up from $864.2 billion 12 months earlier.