Carrington Holding Co. is trying to raise $1 billion from investors to purchase foreclosed single-family properties that its mortgage services unit will manage and rent.
The Santa Ana, Calif.-based holding company is looking to participate in an REO rental program that the Federal Housing Finance Agency and Department of Housing and Urban Development are expected to roll out this spring.
“We would love to be part of the FHFA program, but we are looking at other alternatives,” said Rick Sharga, a Carrington Mortgage Services executive vice president. “We might just go find the properties and build our own portfolio,” he added.
Sharga noted that CMS has a property services subsidiary that is already renting properties for its own portfolio and for Fannie Mae.
And Carrington Mortgage Services has a real estate brokerage firm that operates in 27 states.
“We can use the funds we are raising to cherry pick properties in local markets,” Sharga told NMN.
Daily Briefing | Tuesday, December 27, 2011
House Prices Fall Second Consecutive Month
House prices fell 1.2% in October after falling 0.7% in September according to new figures released by Standard Poor’s Tuesday morning.
Good and Bad Signs for Massachusetts Home Sales
Massachusetts’s home sales continued to show signs of a possible recovery with a 13% increase in November from the prior year.
Condo Demand Warming Up in South Florida
Developers at six newly proposed condominium towers in the tri-county South Florida region have signed more than 500 pre-construction sales contracts and reservations, an indication that the market there has returned in a big way.
One in Four Sales in ’11 Were All Cash Deals
Nearly four out of every ten homes sold in 2011 have been purchased for cash on the barrelhead, according to a preliminary count by Housing Intelligence.
Post Prepays Six MF Loans
Post Properties Inc., an Atlanta-based real estate investment trust, has prepaid six multi-family mortgage loans held by Freddie Mac and will record a $7 million loss on the transaction.
Fed Gives Thrift Owners Two Years to Adopt Reporting Changes
Most thrift holding companies will get a two-year phase in period for following Federal Reserve Board reporting requirements while others will initially be exempted, the central bank said Friday.
CMBS Market Activity Slows but Sector Still Outperforms
Average daily volume in the CMBS market in December is down versus November, according to data reported by the Financial Industry Regulatory Authority’s Trade Reporting and Compliance Engine or TRACE.
Churchill Mortgage Opens Kentucky Branch Office
Churchill Mortgage, a Brentwood, Tenn.-based lender that provides conventional, FHA, VA and USDA residential mortgages for borrowers, has expanded its financial services operations by opening an office in Kentucky.
CRE Loans’ Value Flat in Nov. vs. Oct.: DebtX
The combined value of loans in CMBS pools hardly budged from October to November, according to data released last week from DebtX. Based on loans that the advisory firm prices, the figure at the end of November was 85.2%, from 85.3% on Oct. 31.