New Century Grows Loan Production to Record $59.8 Billion in 2006
New Century Financial Corporation, a real estate investment trust (REIT) and one of the nation's largest subprime mortgage finance companies, today announced that total mortgage loan production for 2006 reached a new record high of $59.8 billion, 6.6 percent higher than the $56.1 billion originated in 2005. Additionally, loan production for December 2006 was $4.8 billion, the company said. The number is a 9.4 percent decrease compared with December 2005, and a 6.7 percent increase compared with November 2006. "We are pleased to have delivered another year of record loan production and profitable market share growth given the turbulent market environment," said Brad A. Morrice, president and CEO. "Our solid results for the year reflect a modest decline in our non-prime production, offset by the expansion of prime and Alt-A originations. For 2007, we expect our overall mortgage loan production to be relatively flat compared with 2006 as we anticipate a decline in market volume and the impact of our tighter underwriting guidelines to be offset by the continued roll-out of our Alt-A and prime products and additional market share growth for our non-prime products." The company will report its fourth quarter and full-year 2006 financial results in early February.