 Joining me now is Mike Weinbach, CEO of Chase Home Lending. Mike, give us a sense of how the housing market is doing nationwide. I know prices are now above their pre-recession levels. Yeah, the housing market's strong, and it's continued to see appreciation in home prices really almost every year since the recession, since the financial crisis. It's different in different geographies, so a lot of strength out west, a lot of strength in the south, so more of the coast, maybe a little bit slower in some parts in the middle of the country. But overall, quite strong. Well, it's interesting though, because the Federal Reserve has raised interest rates four times since the recession, yet financial conditions have eased. What do you make of that dynamic? Yeah, in the impact of the Fed raising rates in the mortgage market and the home-buying market, is there's less refinancing now. So in that sense, the mortgage market's a little bit smaller, but rates are still at historically low levels, and it's a great time to be able to purchase a home. And as the economy is getting better, and the consumer is getting healthier, more and more people are purchasing homes. So the purchase market's growing, and has continued to grow, and likely will. And J.P. Morgan-Shay has just reported its latest quarterly earnings. We did. And mortgage revenue was down 26% year over year. So what drove that decline, even though financial conditions have eased? Yeah, you have the impact of higher rates is a headwind for the mortgage business. Even though financial conditions are a little looser now. Well, the rest of the company, as you mentioned, the earnings were strong, so we see strength in other parts of the franchise. So for a company like J.P. Morgan-Shay, we're always investing in making the business better for our customers. We're going to continue to do that. We'll see some volatility in the earnings in particular businesses, like home lending quarter to quarter. But what do you think drove the decrease though? Without getting into an overly technical description of it, as rates have risen, the mortgage market's gotten a little bit smaller. So volume is a little bit lower than it was a year ago. And margins are tighter as other players in the industry have excess capacity. So that leads to tightening of margins, which leads to a little bit of a reduction in revenue and profitability. It's typically a short-term phenomenon, so it takes time for the market to adjust to the new level of interest rates. And as I mentioned, we continue to invest for our customers, and we're bullish on the future of the business. Now the rule of thumb for down payment on a house is typically 20%, right? But you don't necessarily need that right now. You can get in with a much lower down payment. And does that worry you? Because that's sort of what helped cause the 2007-2008 housing crisis. Yeah, it's fascinating. You talk about the 20% down, and I think that is... As I was growing up, my parents told me, you need to have 20% down to be able to buy a home. The National Association of Realtors actually put out what I thought was a fascinating statistic. And they said 60% of first-time home buyers are putting down 6% or less. And there's a lot of great programs through the GSEs, Fannie and Freddie, and through some of the other government programs, where customers can put less down, but do it in a responsible way. So it's very different from the pre-crisis, no income, no asset type of loans that weren't on a foundation of strong underwriting. I think there's an incredibly strong underwriting foundation, certainly with a company like Chase. We're going to be careful to make sure we don't lend customers more money they can handle. We don't want to have another financial crisis. Do you think we're going to have another one similar to what we saw in 2008? I think the next one won't be housing related. Interesting. What will it be? I don't have a crystal ball, so... And let me also ask you about the millennia home buyer, because you know they've been a little bit late to the game to actually pull the trigger and buy a house. What is your advice to them, and what trends are you seeing among younger people out there? Yeah, it's a little bit of what we were just talking about. Again, I think if there are millennial customers or potential customers are asking their parents how much money do I need to put down, and they're hearing 20%, it might feel like something that's really, really far away. There are programs where you can have lower down payments. And the millennia, it seems like everything's happening. It's just coming a little bit later than maybe it did in prior generations. So as the millennial population is aging, we're seeing more and more beginning to buy homes. And Chase, in 2015, 20% of our mortgages were to millennials. In 2016, that was 36%. So it's just sort of this delayed right of passage. Yeah, and we actually put out our slate credit outlook. It was a survey we did of millennials, where nearly one in four indicated they're interested in buying a home in the next three years. So I think it's coming. Oh, we'll watch how it plays out. Mike Weinbach, thanks for joining us. All right, thanks, Scott.