WASHINGTON, D.C. (October 19, 2021) – The Mortgage Bankers Association (MBA) Builder Application Survey (BAS) data for September 2021 shows mortgage applications for new home purchases decreased 16.2 percent compared from a year ago. Compared to August 2021, applications decreased by 4 percent. This change does not include any adjustment for typical seasonal patterns.

“New home sales purchase activity was weaker in September, and the average loan size rose to another record high, as homebuilders continue to grapple with rising building materials costs and labor shortages. The survey-high average loan size of $408,522 is evidence of higher sales prices from these higher costs, as well as the shift in new construction to larger, more expensive homes,” said Joel Kan, MBA’s Associate Vice President of Economic and Industry Forecasting. “The estimated pace of new home sales decreased 3.5% last month after a strong August reading, but the two-month sales pace is at its strongest since January 2021.”

MBA estimates new single-family home sales were running at a seasonally adjusted annual rate of 843,000 units in September 2021, based on data from the BAS. The new home sales estimate is derived using mortgage application information from the BAS, as well as assumptions regarding market coverage and other factors. 

The seasonally adjusted estimate for September is a decrease of 3.5 percent from the August pace of 874,000 units. On an unadjusted basis, MBA estimates that there were 66,000 new home sales in September 2021, a decrease of 7 percent from 71,000 new home sales in August. 

By product type, conventional loans composed 75.1 percent of loan applications, FHA loans composed 13.9 percent, RHS/USDA loans composed 0.5 percent and VA loans composed 10.5 percent. The average loan size of new homes increased from $406,922 in August to $408,522 in September.

MBA’s Builder Application Survey tracks application volume from mortgage subsidiaries of home builders across the country.  Utilizing this data, as well as data from other sources, MBA is able to provide an early estimate of new home sales volumes at the national, state, and metro level. This data also provides information regarding the types of loans used by new home buyers. Official new home sales estimates are conducted by the Census Bureau on a monthly basis. In that data, new home sales are recorded at contract signing, which is typically coincident with the mortgage application.  

For additional information on MBA’s Builder Application Survey, please click here. 

SAN DIEGO (October 17, 2021) – Kristy Fercho, Executive Vice President and Head of Home Lending at Wells Fargo, was sworn in today as Chairman of the Mortgage Bankers Association (MBA) during the association’s 2021 Annual Convention & Expo in San Diego.

"It is an incredible honor to serve as MBA's 2022 Chairman," said Fercho. "I look forward to collaborating with Matt Rocco and Mark Jones to address the opportunities and challenges facing our industry, including developing strategies that will ease our nation’s affordable housing crisis and close the racial homeownership gap. The mortgage industry has a responsibility to be part of the solution that levels the playing field and ensures all Americans have access to the American Dream of homeownership.”

As head of Wells Fargo’s Home Lending division, Fercho leads a team of more than 25,000 mortgage professionals in sales, operations, servicing, capital markets, portfolio management and related business, risk management, and supporting functions. Wells Fargo is one of the nation's leading combined home lenders and servicers.

Fercho has been an active MBA member for many years, and currently serves as Vice Chair of MBA's Diversity and Inclusion Advisory Committee, co-chair of the Affordable Housing Council, and a member of its Residential Board of Governors (RESBOG). She also serves on the boards of City Year and the Detroit Zoological Society.

Matt Rocco, Chairman of the Board and Chief Executive Officer at Grandbridge Real Estate Capital, and Mark Jones, Chief Executive Officer and Co-Founder of Amerifirst Home Mortgage, were also sworn in today as Chairman-Elect and Vice Chairman, respectively.

Rocco is an active MBA member and currently sits on MBA's Commercial Real Estate Finance Board of Governors (COMBOG). A graduate of MBA's Future Leaders Program, he has also participated on MBA's Origination Council and DUS Peer Group. In addition to being an active member of MBA and the Mortgage Action Alliance (MAA), Rocco is a member of the International Council of Shopping Centers (ICSC), NAIOP, Urban Land Institute (ULI), National Multifamily Housing Council (NMHC), and Pension Real Estate Association (PREA).

Rocco joined Grandbridge, a subsidiary of Truist Bank, in 1998. He is currently a member of the firm's Board of Managers, Senior Leadership Team, and Risk Committee, where his responsibilities include corporate initiatives and Grandbridge's overall loan origination efforts, as well as the company's Agency Underwriting (Fannie Mae, Freddie Mac, and FHA) and Balance Sheet Closing groups. He also serves on Truist's leadership team and as an advisory member to many of the nation's largest investors and capital correspondents. Prior to Grandbridge, Rocco was engaged in investment banking, bond issuance, underwriting, and real estate asset management.

Jones co-founded Amerifirst Home Mortgage in 1983, and has overseen the company's growth from a single site in Kalamazoo, Michigan, to more than 80 locations and 900 employees across the country, making it one of Inc. 5000's "Fastest-Growing Private Companies in America" for seven out of the last 10 years. Amerifirst is the No. 1 USDA rural housing lender and No. 3 FHA lender in Michigan, and manages a $6 billion servicing portfolio.  

Jones currently serves as MBA Chair of the Audit Committee and is a member of the IMB Executive Committee (which he previously co-chaired), the State Relations Committee, the Rural Housing Working Group, and the MORPAC Committee. He was also a member of MBA's 2019-2020 Board of Directors. 

New lending software exits beta at national lender, organization takes it nationwide.

SEATTLE--October 18, 2021--Xpanse, a provider of automated lending technology, has hired industry veteran Phil Huff to serve as the company’s Chief Executive Officer. In his new role, Huff will lead the company beyond its successful beta trial, to the market nationwide.

“Getting Phil to join the Xpanse leadership team as CEO is a milestone event for the company and the entire team is very excited to have him,” said Xpanse founder and Chief Operating Officer Greg Middleman. “He has a history of building mortgage technology companies and is the leader we need to guide Xpanse into the future. His passion and experience are the perfect complements to our existing team of highly talented technology professionals, most of whom joined us from outside of the mortgage industry and brought a disruptive mindset.”

Huff brings over 25 years of experience in the real estate finance industry to the company. His leadership roles have ranged from technology startups and growth stage organizations to mature, $100MM divisions of public companies.

Under his leadership as CEO, both eLynx and Platinum Data experienced exponential, profitable growth that resulted in acquisitions by Black Knight and CoreLogic, respectively. In addition to his deep industry knowledge, Huff brings to the company a love of collaborative culture, a passion for empowering people and teams, and a strong desire to grow Xpanse into the industry leader that lenders need now.

“I’ve seen a lot of new mortgage technology teams over the course of my career, but this group tops them all,” Huff said. “Greg has recruited top notch talent away from Facebook, Amazon and Zillow and after only a year we’ve deployed technology within one of the nation’s most successful loan origination shops. I can’t wait to introduce this team and our products to the industry.”

Xpanse currently has 80 team members and is actively recruiting experienced industry technology professionals. For more information about the company and these opportunities, visit Xpanse online at https://www.xpanse.com/.

About Xpanse

Xpanse is a modern AI-powered mortgage automation solution designed to address every step in the loan manufacturing process. Xpanse utilizes machine learning to automate and orchestrate transactions between lenders and service providers, while leveraging RPA to automate many lending tasks. The software is also suitable for consumer-direct lending channels, minimizing effort for borrowers by collecting most of the information necessary for the mortgage application. To learn more visit the company online athttps://www.xpanse.com/.