Wells Fargo


While others were either going bust or backing away from the mortgage market in the wake of the housing crash, Wells Fargo rushed in. That paid off in 2012. Low interest rates and rising housing profits sparked a refinance boom. Wells benefited more than any of its rivals. Profits rose nearly 20% last year. The bank is now by far the biggest mortgage lender in the U.S., making nearly one out of every three home loans last year.

Now Wells may be too tied to the mortgage market. A rise in interest rates, which some think could happen as early as the fall, is likely to cut off refinance activity. It could also make it harder for Wells to sell off many of the mortgages it holds. Still, unlike many of its large bank rivals, Wells has stayed away from most of Wall Street’s riskiest businesses. It’s unlikely to be as affected by new regulations as many of its rivals. As a result, many see it as a safer play on the U.S. banking recovery.


420 Montgomery St. San Francisco, CA. 94163 866-878-5865

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