According to the Mortgage Bankers Association, mortgage rates are climbing higher.
In 2012, the country's largest mortgage originators saw a huge surge in refinancing activity and, thus, fat mortgage banking profits. However, if rates continue to rise, fewer consumers will be eager to refinance their loans, and revenues at the banks may slip considerably.
In this video, Motley Fool banking analysts David Hanson and Matt Koppenheffer discuss how the nation's largest banks would adjust to a sharp decline in mortgage banking revenue and tell investors which bank wouldn't be hit quite as hard.
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The article Low Mortgage Rates: Get 'Em While They Last originally appeared on Fool.com.David Hanson owns shares of JPMorgan Chase. Matt Koppenheffer owns shares of Bank of America and JPMorgan Chase. You can follow David and Matt on Twitter. The Motley Fool recommends Bank of America and Wells Fargo and owns shares of Bank of America, JPMorgan Chase, and Wells Fargo. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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