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. Orange County, North Carolina - AIFCH - 2007 <br />machines, must find alternative sources (check cashing business, finance companies) for <br />services, which can be more expensive than traditional financial institutions or credit unions. <br />Three of the nine "hometown lenders" with branches or offices in the County processed more <br />than 50% of their applications from local residents: <br />• Branch Banking &Trust (BB&T) <br />• Guardian Bank <br />• Regions Bank <br />Citizens Community Bank had only 15% of its applications from County residents. <br />There are very few lenders located within neighborhoods with a high percent of minority <br />residents. <br />6.6 Action on Application <br />Local Orange County lenders weren't a significant factor in mortgage lending in terms of number <br />of applications. Local lenders had just 24.8% of all applications. However, when they did get an <br />application, they were more likely to originate and less likely to deny. This is significantly better <br />than all lenders. <br />The last year for which data was available is 2006 when 3,781 applications were accepted by <br />some 203 mortgage lenders; 166 received 20 or fewer applications. Only <br />12 lenders had a market share of 2% or greater. Bank of America was the largest mortgage <br />lender with 11.1 % (421 applications). Twenty-five lenders had 1 % or more of the mortgage <br />market, which consisted of all types and purposes of loans. Lenders operating in Orange <br />County approve far more applications than they deny.. This means while there are a large <br />number of lenders participating in the market, only a few have any significant influence. <br />For all types of loans accepted in the Orange County Census tracts, 58.8% were originated and <br />22.4% were denied. Local lenders originated 89.9% of 765 applications; 7.$% were denied. The <br />remaining applications were approved by the bank but not accepted by the applicant (7%), <br />withdrawn by the applicant (8%), or rejected because of insufFcient data required by the bank <br />(3%)~ <br />6.7 Government -Backed Applications <br />FHA has always been the lender for low-to-moderate income households, minorities and those <br />with less than stellar credit. More than 30 million families have used FHA as their source for <br />home mortgages in the last six decades. FHA's market share over recent years has remained <br />stable at around 20% of the total housing market in spite of shrinking mortgage rates that FHA <br />16 <br />