Will Mortgage Lending Rebound From a Disappointing Q1?

Updated

Expectations were high for both JPMorgan Chase and Wells Fargo heading into the first quarter. The real estate market by all accounts was healing. New home starts and median home prices were both up significantly in 2012 and showing signs of an accelerating positive trend.

However, both banks -- the two largest mortgage lenders in the U.S. -- left the markets disappointed in the first quarter. Since then, the macro conditions have continued to improve, making expectations for the second quarter even higher. In the video below, Motley Fool contributor Jay Jenkins discusses the real estate market and the implications for mortgage lenders as we approach second-quarter earnings.

Wells Fargo's dedication to solid, conservative banking helped it vastly outperform its peers during the financial meltdown. Today, Wells is the same great bank as ever, but with its stock trading at a premium to the rest of the industry, is there still room to buy, or is it time to cash in your gains? To help figure out whether Wells Fargo is a buy today, I invite you to download our premium research report from one of The Motley Fool's top banking analysts. Click here now for instant access to this in-depth take on Wells Fargo.

The article Will Mortgage Lending Rebound From a Disappointing Q1? originally appeared on Fool.com.

Fool contributor Jay Jenkins has no position in any stocks mentioned. The Motley Fool recommends Wells Fargo. The Motley Fool owns shares of 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.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement