The Next Boom Business for Banks?

Updated

2012 was an enormous year for consumer mortgage banking, with Wells Fargo and JPMorgan Chase being two of the banks that cashed in big on this fee-based source of non-interest revenue, helping to hedge these banks against today's compressing net interest margins. Because of the blockbuster year in this area, many are asking if there is another big market here, ready to deliver equally impressive opportunities: commercial real estate. In this video, Motley Fool financial analysts David Hanson and Matt Koppenheffer discuss whether the commercial real estate market could take off in the same way consumer mortgages did recently, and how this could affect some of the big banks.

Despite not getting as big of a piece of the consumer mortgage pie, Bank of America's stock still doubled in 2012. Is there more yet to come? With significant challenges still ahead, it's critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool's premium research report on B of A, analysts Anand Chokkavelu, CFA, and Matt Koppenheffer, Financials bureau chief, lift the veil on the bank's operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy, and as an added bonus, you'll receive a full year of FREE updates and expert guidance as key news breaks.

The article The Next Boom Business for Banks? originally appeared on Fool.com.

David Hanson has no position in any stocks mentioned. Matt Koppenheffer owns shares of Bank of America. The Motley Fool recommends Wells Fargo. The Motley Fool owns shares of Bank of America, JPMorgan Chase, and Wells Fargo. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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