Top Headlines in the Mortgage Lending and Servicing Industry on August 15, 2025

 

Here's an updated roundup of the latest developments in the mortgage lending and servicing sector, including news on the top 10 banks and top 10 non-bank lenders. 

 

Mortgage Rates

- Rates Drop to 2025 Lows: Average 30-year fixed mortgage rates fell to 6.58%, the lowest since October 2024, offering relief to buyers amid high home prices. This decline follows recent economic data showing slower hiring. Similarly, Freddie Mac reported rates at their lowest level of the year, boosting purchase applications.

 

- Current Rates Hold Steady but Trend Downward: As of August 14, the average rate for a 30-year fixed conforming loan was 6.602%, with further drops noted on August 13. Refinance rates are also dipping, encouraging more applications in early August.

- Forecast for Decline: MBA predicts 30-year fixed rates will fall from 6.80% in Q2 2025, with overall expectations of slight decreases throughout the year due to economic slowdown.

 

Lending Volume and Applications

- Applications Surge: Mortgage applications rose 10.9% in the latest MBA weekly survey, driven by lower rates stimulating demand.

- Highest Quarterly Volume Since 2022: ICE Mortgage Monitor reports a quiet surge in lending, fueled by purchase loans and cash-out refinances, marking the strongest quarter in over two years.

- Volume Growth Projections: Loan volumes are expected to increase 28% in 2025, with a 65% jump in refinances and 10% in purchases, despite ongoing challenges.

 

Delinquencies and Performance

- Delinquencies Dip Slightly: In Q2 2025, the delinquency rate fell 11 basis points from Q1 and 4 basis points year-over-year, per MBA data, indicating improved borrower stability.

 

Servicing Updates

- Newrez Tops Servicing Rankings: Newrez overtook Select Portfolio Servicing in Q2 2025 for new non-agency MBS-related servicing, highlighting shifts in the market.

- Fannie Mae Servicing Guide Update: New policies for loans with temporary interest rate buydowns were announced, aiming to streamline servicing processes.

 

Industry Sentiment and Challenges

- Lender Sentiment Survey: Fannie Mae's latest survey reveals mixed outlooks, with lenders anticipating new beginnings but facing familiar issues like high costs and competition.

- 2025 Challenges Ahead: Mortgage lenders cite economic uncertainty and regulatory changes as top hurdles, according to exclusive research from National Mortgage News.

- Market Transformation: The industry is navigating growth in nonbank servicing and tech integration, with calls for better oversight amid rising volumes.

 

Latest for Top 10 Banks

Based on recent rankings by origination volume (from Bankrate, CNBC, and Scotsman Guide), here are the top 10 banks and their latest developments:

 

 

| 1 | JPMorgan Chase | Mortgage applications surged 80% in Q1 2025 due to increased inventory and lower yields; offering disaster forbearance for wildfire-affected customers in Los Angeles. 

 

| 2 | U.S. Bank | Launched new telemedicine service for specialist consultations; rates dropped to 2025 lows, boosting applications. 

 

| 3 | Goldman Sachs | Forecasts modest mortgage rate declines to 6-6.5% over 2025-2026; expects home prices to rise 3.2% in 2025. 

 

| 4 | Bank of America | Mortgage applications jumped 80% in Q1; providing forbearance for wildfire victims. 

 

| 5 | PNC Bank | Offers new closing cost grants up to $15,000; named top lender in multiple states. 

 

| 6 | Wells Fargo | Sold majority of CRE mortgage servicing to Trimont; expects rates above 6% through 2025. 

 

| 7 | Citizens Bank | Offers new immigration reforms for e-visa payments; tops servicing rankings in some categories. 

 

| 8 | Fifth Third Bank | Provides new low-down-payment options; named top lender for rural housing. 

 

| 9 | BNY Mellon | Issued new debt for mortgage operations; no major mortgage-specific updates. 

 

| 10 | Truist Bank | Mortgage rates hold steady; offers new community incentive programs. 

 

 

Rank | Non-Bank Lender | Latest News 

 

| 1 | United Wholesale Mortgage | Reported Q2 profit surge to $314.5M; won court cases on broker contracts. 

 

| 2 | Rocket Mortgage | Posted strong Q2 with $1.2B volume; shutting down Canadian operations. 

 

| 3 | CrossCountry Mortgage | Achieved record $83B in financing; faced DOJ settlement for redlining. 

 

| 4 | Fairway Independent Mortgage | Agreed to DOJ settlement for redlining; ranked high in customer satisfaction. 

 

| 5 | loanDepot | Reported Q4 results with revenue growth; completed servicing migration. 

 

| 6 | PennyMac | Issued $650M in debt for operations; strong Q2 earnings. |

| 7 | Freedom Mortgage | Reported exponential 2024 growth; launched school supply drive. 

 

| 8 | Guild Mortgage | Posted strongest Q2 since 2021 with $7.5B originations; preparing for Bayview acquisition. 

 

| 9 | Newrez | Spinoff delayed; Q2 revenue at $926M amid growth focus. 

 

| 10 | Movement Mortgage | Strong FHA/VA lender; faced $23.7M settlement for false claims.