Mortgages and refis are picking up volume, especially refis. Under the radar, a slew of regional banks have been skyrocketing, thanks to the refi boom. My preference is to find names trading under a price to book ratio of 1. But for the sake of showing you how “awesome and amazing” the mortgage market is right now, I will post a full list of winners over the past 3 months.
Here is the poster child of the refi bonanza, Elli Mae.
And here are the winners, as the market has been getting punched in its face. They don’t give a shit, honey badger style.
Back in 2002, I only bought regional banks and preferred stocks. The market was shit, but the refi business was booming–thanks to Greenspan. Don’t fall into the trap thinking the refi market can’t boom as the economy shrinks. It’s happened before and it’s happening now.