Alternative lender Equitable Bank revealed today that a majority of its residential mortgage clients have already renewed at higher interest rates and have largely absorbed the increases.
In the bank’s fourth-quarter earnings call, President and CEO Andrew Moor said over 80% of its uninsured single-family mortgage customers have either originated or renewed their loans at today’s higher interest rates. As of year-end, its alternative mortgage clients had an average rate of 5.99%.
Moore said he is encouraged that the “vast majority of our customers are able to absorb this increase.”
“I have a lot of empathy for our customers here. I think lots of people wouldn’t have expected interest rates to rise as fast as they have,” he said during the bank’s earnings call.
“Most people, because the employment situation is still fairly…