Private-equity firms such as Orange Capital and EJF Capital have been gobbling up shares in PHH Corp. the past year, believing the stock is undervalued. Among other things, “smart money” investors have noticed that the liquidation value of its mortgage servicing rights almost equals the entire company’s market capitalization rate. But that doesn’t mean PHH Corp. will be successful in its attempt to unlock shareholder value by selling off parts of the company, including its mortgage banking franchise and automobile fleet business. “The only thing that’s certain about PHH is that it’s trading below book value,” said one mortgage executive who has conducted business with the firm. Late this week, PHH common was selling...
Freddie Mac has begun reviewing servicing-related violations of its program rules, issuing notices of defect for certain violations, mostly related to the conveyance of properties to the GSE with title problems.
Well, at least GSE junior preferred shares are holding their own. Also, Five Oaks Investment is approving correspondents for its new jumbo flow-program...
“Cheap is the goal now,” said Chuck Klein, a managing partner at Mortgage Banking Solutions, Austin, TX. “I’m seeing many mortgage-banking firms that want to buy, and they’re looking at either smaller firms or branches.”
Citadel is the most active non-agency, non-prime lender in the U.S. In an interview with IMFnews, company founder and CEO Dan Perl said, “We’ll do $11 million to $12 million, at least" for the month of March.
Even though the Johnson-Crapo bill has no future outside of the Senate, one thing is certain regarding Fannie and Freddie: the two will continue to earn a ton of money going forward.
According to exclusive figures compiled by Inside Mortgage Finance, once Fifth Third departs, there will be just two depositories in the top 10: Flagstar and U.S. Bank.
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