American Home Mortgage Servicing, a company controlled by investor Wilbur Ross, recently explored buying the wholesale division of MetLife Home Loans, but for now has put the idea on hold, according to industry advisors familiar with the matter.
American Home has $72 billion of servicing contracts on its books, ranking 15th nationwide, according to figures compiled by National Mortgage News and the Quarterly Data Report. But AmHome is seeing its receivables run-off because it has very little in the way of production capacity. “Ross needs production,” said one source.
MetLife ranks fifth nationwide among table funders. In 3Q it funded almost $2 billion through loan brokers.
As NMN went to press media contacts at both companies could not be reached for comment.
The Texas-based AmHome was built by Ross by combining two large servicing portfolios from troubled companies.
This past summer AmHome launched a correspondent division to purchase already funded loans from residential mortgage banking companies. Around the same time Ross invested $100 million in Capital Markets Cooperative, a secondary marketing specialist based in North Florida.
Daily Briefing | Tuesday, December 20, 2011
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