Taking their place are nonbank lenders more willing to make riskier loans banks now shun. Six of the top 10 mortgage lenders by origination volume were nonbanks as of September, up from four for all of 2015 and two in 2011. Banks no longer reign over the U.S. mortgage market. They accounted for less than half of the mortgage dollars extended to borrowers during the third quarter—the first quarter that banks, credit unions and other depository institutions have fallen below that threshold in more than 30 years, according to Inside Mortgage Finance. Taking their place are nonbank lenders more willing to make riskier loans banks now shun.
(Source: Wall St. Journal article by Annamaria Andriotis, Nov. 2, 2016). Read more here.