Mortgage lenders and REITs entered tight housing markets in the Midwest and Northwest this month to better reach potential buyers, despite a tough mortgage market.

While many lenders have laid off some of their staff to cut costs, others are continuing to open offices to capitalize on homebuyer demand. Among them are Financial Genevaa mortgage lender headquartered in Arizona, which opened a branch in Chicago, and new westerna real estate investment firm, which also opened its first office in Chicago, marking its expansion with its 43rd office location in its 19th state.

Led by Irma DeLoen, the Chicago branch of Geneva Financial will offer products including conventional and government loans, such as loans from the Federal Housing Administration (FHA), veterans affairs and United States Department of Agriculture (USDA).

Geneva Financial, founded in 2007 by Aaron VanTrojen, has more than 130 branches in 46 states, according to the company.

Chicago’s housing market is off to a strong start in 2022. About 1,820 homes were sold in the city in January alone, up 7.2% from the same period a year ago, according to Compass. Nationally, there was a year-over-year decrease of 2.3% over the same period.

“The spring market is already off to a strong start, particularly for single-family homes, with a 33.5% year-over-year increase for properties under contract, indicating that demand in the city remains strong. said Elizabeth Anne Stribling-Kivlan, Compass. ‘ Chief Executive Officer.

The expansion comes amid soaring mortgage rates and falling lending volumes. Mortgage purchase rates last week averaged 5.1%, according to the latest Freddie Mac PMM. The average rate for a 30-year fixed-rate mortgage was 2.95% the same time a year ago. The Mortgage Bankers Association expects loan origination volume to fall to around $2.5 trillion in 2022, down significantly from $4 trillion last year.

But this has not been a deterrent for all companies.

New Western, which specializes in distressed residential investment properties, aims to revitalize $543 million in residential properties in the Chicago market over the next five years. The company estimates there are about 3 million “old properties” in the Chicago area alone, nearly 88% of which were built before 2001.

“Providing affordable housing, especially in large markets like Chicago, is vital,” said Kurt Carlton, co-founder and president of New Western. When we help get distressed properties back on the market, it’s up to 31% cheaper than a new home.

New Western bills itself as “the nation’s largest private source of investment properties,” connecting more than 100,000 local investors seeking to rehab homes with sellers. Since its inception in 2008, the company said it has bought and sold about $12 billion in residential real estate.

mortgage lender Planet Home Lending has a new team in Portland, Oregon, where it will focus on borrowers looking to work with homebuilders. Led by sales managers Tim Hattan and Tom Bond, and loan officer Dalton Clark, the team has expertise in construction loans, which can help buyers determine whether a construction loan will be a viable option.

“Planet is in a unique position because there are very few non-custodial lenders offering a construction product,” Hattan said. “This is just one of the great things I think Planet is bringing to the region that wasn’t there before. We plan to open more offices in Salem, Eugene, Medford and the Bend/ Redmond and we believe they will have a positive effect on the communities we wish to serve.

Realtor.com estimates that the median price of homes sold in Portland was $565,000 in April. The Oregon branch of Planet Home Lending will provide conventional government loans as well as bridging loans that aim to bridge the gap between buying and selling a home, the company said.

The company also said its personal digital mortgage assistance program, Skymore by Planet Home Lending, will allow consumers to apply for a home loan through their mobile device. Borrowers and real estate agents can track loan progress and submit documents electronically.

Planet Home Lending offers home loans secured by Fannie MaeFreddie Mac, VA, FHA and USDA in 47 states, Washington, DC and Puerto Rico, according to the firm.

Panorama Mortgage Groupa mortgage company headquartered in Nevada, added a full-service mortgage lender Rely on home loansbased in Utah, at the umbrella of the group’s brands.

Rely Home Loans plans to expand into Florida and Arizona. PMG, a company with more than five brands, will gain new leadership when Rely Home Loans President Manfret Roesner takes the helm.

Earlier this year, PMG added full-service lenders Prosperity Mortgage and Vision Mortgage Group. In 2019, PMG added two brands, one of which was Legacy Home Loanswhich focuses on increasing black homeownership in America.

UPDATE 5/31: The article has been updated with the median home price sold in Portland, Oregon, by Realtor.com.