Rocket's direct-to-consumer businesses, which also include title insurance, appraisals and settlement services and the $500 million value it holds in servicing loans, contributed $1.435 billion, 56% less than a year ago. Last month, listings in 50 states were made available on the site. Average monthly visitors increased six-fold year-over-year to 2 million in the second quarter with the site contributing to $6 billion in homes sold and bought. "Our pipeline for both purchase and refinance remains robust."Īn important piece in achieving those purchase goals is Rocket Homes, the company's Zillow-like digital real-estate platform, where homeowners can list to sell and buyers can connect with a real estate agent and search through listings. "The housing market remains active, homeowners are sitting on the highest level of equity in more than a decade, and the investments we have been making are gaining traction across the platform," Julie Booth, Rocket's chief financial officer, said during the presentation. In the third quarter, Rocket forecast it will remain roughly steady with closed loan volumes between $82 billion and $87 billion and a gain-on-sale margin between 2.7% and 3%. So far this year, Rocket has grown its closed loan origination volume 51% to $187.3 billion, compared with a record of more than $320 billion for all of 2020. The company expects to close more than $60 billion in purchase transactions by year's end. The second quarter proved it is on its way, Farner said, with record purchase closed loan origination volume that doubled from the year-ago period. Rocket is aiming to becoming the largest retail home purchase lender in the country by 2023. Expenses increased 3.7% to $1.608 billion. Rocket's shares on Thursday closed down 0.7%, to $17.48 per share, but the price in post-market trading was quickly climbing above its $18 initial public offering price from a year ago.ĭespite the increased loan volume, revenue fell 47% to $2.669 billion in the second quarter. Rocket CEO Jay Farner said during an earnings presentation that the company probably could have done better in its mortgage business as well as its Rocket Auto vehicle retail marketplace if more houses and cars were available: "Based on the strength of demand at the top of our funnel, we believe both record purchase volume and record auto results would have been higher if not for inventory challenges." And although its gain-on-sale margin for the quarter fell to 2.78% from 5.19% a year ago, it was between the expected 2.65% and 2.95%. But the country's largest mortgage lender grew its closed loan origination volume 15% to $83.76 billion, sitting between the $82.5 billion and $87.5 billion it had forecast.
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