Iowa Bankers Association Iowa Bankers Insurance & Services, Inc.
Iowa Bankers Association
8800 NW 62nd Avenue
Johnston, IA 50131
Toll-Free: 800-532-1423
Local: 515-286-4300
Fax: 515-280-4140

2009 IBMC Annual Report

Annual Reports:2009 IBMC Annual Report

IBMC 2009 Annual Report

2009 began with the remnants of the quick downward explosion of interest rates in late 2008, and while some upward volatility was present throughout the year, the mortgage rate environment proved fruitful for loan activity. IBMC had promised to offset the onerous revisions to its servicing value at 2008 year end with substantial profitability in 2009 and that promise was fulfilled beyond initial hopes.  2009 brought IBMC all-time records in new loans, servicing, profitability, and net worth. Staffing, office space, Fannie Mae and government regulation, credit obstacles, and sheer volume all provided challenges that were met head on during the most successful year in the 30-year history of IBMC.

Highlights for 2009 are as follows:

  • Pre-tax net income was $6,154,941 after a mortgage servicing rights valuation adjustment of $10,576,361.
  • Net worth stands at $8,758,628 and represents a $2,099,540 cushion over required net worth.  
  • IBMC recorded its highest year in history for total volume at $1,453 million.  IBMC loan programs generated 6,650 loans totaling $944 million from 253 bank locations.  The Federal Home Loan Bank mortgage program continued to show substantial growth with an additional $510 million in FHLB activity.
  • IBMC finished the year servicing nearly 19,000 loans for a total of $2.29 billion.
  • Cash fees paid to IBMC member banks was $12.6 million, and when added to the $4.8 million paid on FHLB volume, resulted in $17.4 million being paid directly to financial institutions utilizing IBMC.
  • IBMC funded $4 million in new agricultural loans in 2009 and services $50 million in Ag real estate.
  • HAMP:  IBMC fully implemented the administration’s Home Affordable Modification Program and has numerous loans on trial modifications as well as several that have been permanently modified.
  • Continuing its role as a provider of secondary outlets for both low-to-moderate income borrowers and rural oriented properties, IBMC was once again among the top lenders in the state for USDA Rural Development Single Family loans and First-time homebuyer loans through the Iowa Finance Authority. 
  • Significant efforts and improvements were made to the IBMC web site greatly enhancing 24 / 7 access for member banks and homeowners.  Rate locks, extensions, a pricing calculator, and pipeline management systems were all implemented making direct on-line communication with banks much more efficient. 
  • Hosting 12 monthly training sessions, conducting a focus / user group seminar, and an aggregate of 384 bank visits, evidenced IBMC’s continued commitment to member communications and marketing.

The regulatory landscape, delinquencies and foreclosures, housing valuations, and the total uncertain fate of the GSE’s headline the main challenges and concerns for IBMC entering 2010.  IBMC’s ability to navigate through these significant obstacles will define its success in adapting to the unprecedented transition occurring within the industry. IBMC continues to achieve success by emphasizing its strengths and remaining focused on its mission.  We are well postured to face the challenges with a talented and dedicated staff and a proven commitment to superior service.

Respectfully submitted,

Daniel Vessely
IBMC President

promo 2

Iowa Bankers Insurance & Services (IBIS) offers Iowa banks a full line of insurance products.

learn more
promo 3

The Iowa Bankers Association (IBA) is dedicated to serving Iowa banks and their employees.

learn more