National Mortgage News reported today that B&C lending volume literally fell off a cliff in the first quarter:

Mortgage bankers funded just $88 billion in subprime residential loans during the first quarter … subprime production accounted for just 12% of all loans originated in the United States, compared with a high of 24% in 2005. The last time subprime’s quarterly share was this low came in the third quarter of 2003, when A-minus to D production accounted for 9.2% of the industry’s fundings.

The publication’s complete survey results will be published Monday in print.