The Florida-based non-bank servicer and originator noted in its earnings report a decline in income for Q2 2024, primarily due to a decrease in values of certain MSRs.
Nonetheless, the company saw growth in several other key metrics. The servicing unpaid principal balance (UPB) rose by 6%, and the subservicing UPB increased by 10% compared to the end of 2023.
Onity’s total origination volume surged 51% to $7 billion quarter-over-quarter, reflecting strong “replenishment capabilities” for MSRs. As of June 30, Onity’s total liquidity stood at $231 million, and its book value per share reached $57.
The reverse mortgage segment, though showing growth in origination volume, has faced challenges in profitability due to lower margins on loans.
O’Neil, attributed the quarter’s positive performance to the forward servicing business, which saw increased revenue and cost reductions.
Source: mpamag.com