Gain On Sale (GOS): Spread between primary and secondary mortgage rates.
Look for GOS in the CFC release about.countrywide.com
Competition in sub-prime is killing margins
Mortgage Banking Segment* Quarter Ended
(dollars in millions) June 30, 2005 March 31, 2005 June 30, 2004
Prime
Production $84,610 $63,943 $75,119
Loans sold $84,935 $58,921 $74,517
Gain on sale ("GOS") $674 $729 $790
GOS as % of loans sold 0.79% 1.24% 1.06%
Nonprime
Production $9,669 $8,187 $8,133
Loans sold $11,491 $12,486 $8,784
GOS $218 $351 $409
GOS as % of loans sold 1.90% 2.82% 4.66%
Home Equity
Production $6,875 $6,619 $5,239
Loans sold $3,020 $4,025 $6,110
GOS $122 $156 $151
GOS as % of loans sold 4.02% 3.89% 2.47%
Total production $101,154 $78,749 $88,491
Total loans sold $99,446 $75,432 $89,410
Total GOS $1,014 $1,237 $1,350
Total GOS as % of loans sold 1.02% 1.64% 1.51%
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