U.S. Bancorp expects mortgages to be down 30%-35% in Q3 vs Q2

A house under construction is seen in Los Angeles, California, U.S., June 22, 2022. REUTERS/Lucy Nicholson

NEW YORK, Sept 12 (Reuters) - U.S. Bancorp (USB.N) expects a 30% to 35% drop in mortgage revenue in the third-quarter from the second quarter as the housing market slows, its chief financial officer said on Monday.

Sales of new U.S. single-family homes plunged to a 6-1/2-year low in July as persistently high mortgage rates and house prices further eroded affordability, according to a recent report from the Commerce Department. read more

"The one area that I would say that we're seeing a little bit of pressure is just in the mortgage banking business," Terry Dolan told a Barclays investor conference.

That's "in line with what's happening in the industry," he said.

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Reporting by Saeed Azhar; Editing by Chizu Nomiyama

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