Independent lenders, credit unions, and large banks dispensed billions in mortgage loans last year
Getting a mortgage is one of the most important steps in buying a home. Prospective buyers have to consider rates, contract length, their odds of approval, and who will originate the loan.
With mortgage rates expected to continue trending down heading into 2025, the market is preparing for an influx of interest from buyers, including first-timers.
The good news for Americans is that they have a plethora of choices when it comes to choosing where they get their mortgage from. They aren’t restricted to their own bank, or any large bank for that matter. Independent mortgage firms and credit unions are not just a viable option, they are among the biggest lenders in the country.
Using the latest data from Federal Financial Institutions Examination Council, Motley Fool ranked the top mortgage lenders by originations in 2023. Here are the results.
LoanDepot (LDI) is the tenth-largest mortgage originator in the country. It had 65,388 total originations in 2023 valued at $21.48 billion.
PNC Bank (PNC) came in at no. 9, with 66,913 originations totaling $19.21 billion last year. Motley Fool notes that the Pittsburgh-based bank benefits from a wide variety of mortgages to a broad swath of customers.
Providence, Rhode Island-based Citizens Bank (CFG) had 67,550 originations worth $15.62 billion in 2023.
Navy Federal Credit Union, which exclusively serves active military, veterans, and their families, is the seventh-largest mortgage lender in the country. Last year, it had 71,421 originations totaling $14.83 billion.
U.S. Bank (USB), the fifth-largest bank in the U.S. by assets under management, saw 72,124 originations in 2023 for a total of $25.71 billion. What’s more, the bank’s customers get a sizable discount on the closing cost of a mortgage, according to Motley Fool.
Independent mortgage company Crosscountry Mortgage came in at no. 5 with 83,452 originations valued at $25.59 billion.
The fourth-largest mortgage lender is Fairway Independent Mortgage Company. It dispensed 86,334 mortgage loans — 95% of which were for home purchases — for a total of $26.93 billion.
The second-largest U.S. bank by assets, Bank of America $BAC (BAC) is also the third-largest mortgage originator in the country. In 2023, it dispensed 91,846 loans totaling $28.45 billion. Bank of America customers also get additional benefits from originating a loan with the bank.
With a more than 5% market share, Rocket Mortgage (RKT) clinched the no. 2 spot with 288,558 originations for a total of $76.26 billion. That’s nearly half of the 464,000 originations worth almost $128 billion in 2022, likely driven by weaker demand for mortgages given high rates, low housing supply, and affordability challenges.
United Wholesale Mortgage (UWMC) is the top mortgage lender in the U.S. In 2023, it had 294,387 originations totaling $108.48 billion. A wholesale mortgage lender is different from others on this list in that it funds mortgages but offers them through third parties, like banks, credit unions, or mortgage brokers.
One of the company’s major benefits, according to Motley Fool, is its “Conventional 1% Down” program. Under the program, qualifying borrowers can put just 1% down, and United Wholesale Mortgage will put forward an added 2% (up to $4,000) toward the down payment.
