Arvest Bank of Fayetteville said Thursday (Jan. 5) it originated 4% more purchase-money home loans in 2016 than it did in 2015, and the value of the mortgages rose 6% to $1.001 billion, topping the billion-dollar mark for the first time in the bank’s history.
The bank’s mortgage division closed on 6,170 purchase-money loans in 2016. In 2015, it had 5,931 purchase-money loans with a total value of $941.34 million, according to a news release. A purchase money loan is a loan used to buy a home rather than any type of loan that is taken out after you buy a home, such as a home equity line of credit or a refinance mortgage. A borrower can obtain a purchase money loan from a bank, a credit union or a private source of funds.
“Passing the $1 billion mark in purchase-money loans alone is a testament to Arvest’s mortgage lenders and a good indicator of healthy local economies within the bank’s footprint,” Steven Plaisance, president and chief executive office of the bank’s mortgage division, said in the release. “Low interest rates have help many people realize the dream of buying their first home, their dream home or something in between.”
In September, the bank had closed on more than $1 billion in mortgages, both purchase-money and refinances, and had reached the $1 billion mark for the 14th consecutive year. This was the first time for the bank to eclipse $1 billion in purchase-money mortgages alone.
Arvest handles 99% of its mortgages, allowing customers to make their payments to the bank and work with Arvest representatives after the loan closes.