GMACCM Remains on Top
GMAC Commercial Mortgage Corp., Horsham, Pa., tops the Mortgage Bankers Association's annual ranking of commercial loan servicers.
At the end of 2002, GMAC was administering nearly $133.8 billion in master and primary servicing, or $50.2 billion more than runner-up Wachovia Securities, Charlotte, N.C., which handled $83.6 billion.
In terms of loans, GMAC services nearly 50,900 mortgages, almost three times as many as the 13,876 loans handled by Wachovia, according to the MBA's tally.
In contrast, GMAC administers nearly 134,000 commercial loans. Midland Loan Services, Overland Park, Kan., handles almost as many loans, 13,634, as the North Carolina servicer. But by volume, it ranks third on the list at just under $74.1 billion.
In fourth place is CapMark Services, Atlanta, with 7,050 loans and $66.2 billion in servicing.
The yearly count was released here last week at the MBA's annual Commercial Real Estate Finance/Multi-Family Housing Convention.
By gender, GMAC, CapMark, GEMSA Loan Services, Houston, and Prudential Asset Resources, Dallas, are the largest services for life companies and other private investors.
The largest administrators of apartment loans by Fannie Mae and Freddie Mac are Berkshire Mortgage Finance, Boston, ARCS Commercial Mortgage, Calabasas Hills, Calif., GMAC and Prudential.
GMAC, Reilly Mortgage, McLean, Va., Prudential, Midland and Greystone Servicing Corp., New York, are the largest servicers of multifamily loans insured by the Federal Housing Administration.
At a press conference, representatives of the largest servicers said they expect a good, but not outstanding year in 2003.
Ron Halpern of Berkshire, the largest servicer of Fannie Mae-Freddie Mac loans, told reporters he is "somewhat cautious" about the next 12 months. And Howard Levine of ARCS said that although there would be some opportunities in niche and undeserved apartments, volume would probably be down.
Thomas Szydlowski of Reilly Mortgage was more optimistic, though. Noting that the FHA has "been making great efforts to bring its programs up to the stature of Fannie Mae and Freddie Mac," he said that he is looking for "a very good year this year."
Commercial loan servicers weren't as hopeful. But only one, Robert Vestewig of GEMSA, an 18-month-old company which administers only the loans of its two parent companies, L.J. Melody & Co., Houston, and GE Capital, mentioned the "d" word.
"It's going to be an interesting year," Mr. Vestewig said. "Defaults should remain at a minimum because of the low interest rate environment. I only hope owners can work out of their problems before rates go up."
Meanwhile, Timothy Ryan of Wachovia said demands by lenders and investors for faster and more accurate information will add to the challenges faced by servicers.
And Michael Lipson of GMAC Commercial agreed. "Demand for information is more extensive everyday," he said.
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