Introduction to Mortgage Origination Examiniations

Internal Use Only

Earnings/Profitability • Ability to generate earnings from mortgage loan activities • Purpose is to absorb losses and augment capital • Immediate source of liquidity • Short-term indicator of the adequacy of operations

Internal Use Only

Earnings/Profitability • Generated from a variety of activities • Consider regulatory limits • Loan portfolio interest income • Volatile due to cyclical nature of industry