Hi title readers —
2020 was one for the record books as far as origination, and Stewart Title capitalized on the opportunity in the fourth quarter, reporting an increase in operating revenues of 42% over the third quarter.
As Reporter Tim Glaze writes: "Driven by historic mortgage originations, Stewart reported net income of $59.7 million in the fourth quarter, impressive considering that it only broke even during the fourth quarter of 2019…For the full year, Stewart pulled in $154.9 million in earnings, about double the $78.6 million it made in 2019."
It's been an eventful few months for Stewart, which acquired six companies, 57 offices, and an additional 600 employees in September, then followed up with acquisitions of Pro Teck Valuation Intelligence, CertifID and Notary Cam by the end of the year.
The record demand for homebuying shows no sign of slowing, and the latest news from homebuilders suggests that we may finally see some inventory coming on the market to keep the momentum. Housing starts in January declined by 6% from December, but permits spiked 30% over last year. Read that story here.
Finally, investors continue to be interested in mortgage companies, with States Title announcing last week that it received $150 million in debt refinancing from HSCM Bermuda, which will go towards developing a more modern home closing experience. The financing follows a $123 million Series C filed last May, which went towards States Title's continued goal of digitizing real estate closings.
Have a great week!
Sarah Wheeler
HousingWire Editor in Chief
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