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Home » PHH Shifts Gears to ‘Capital Light’ Focus On Subservicing, Dumping PLS Business
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PHH Shifts Gears to ‘Capital Light’ Focus On Subservicing, Dumping PLS Business

February 23, 2017
Nonbank mortgage giant PHH Corp. – which posted combined losses of $347 million the past two years – is betting its future on subservicing, a business it describes as being “capital light” and one that could lead to riches down the road. As outlined by senior management during a recent call with analysts, the company will focus on processing loans for other shops, splitting the underlying servicing fee – 25 basis points on Fannie Mae/Freddie Mac loans – with the owner of those receivables. PHH CEO Glen Messina described...
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