Wells is Buyer In MSR Sales
Ohio Savings Bank FSB, Cleveland, has sold a $5 billion bulk portfolio of servicing rights - reportedly to Wells Fargo Home Mortgage, Des Moines.
A few weeks earlier the bank-owned Wells bought a $9 billion package of servicing from General Electric. (Wells has been subservicing the receivables for GE. The rights belonged to the now-defunct GE Capital Mortgage, Cherry Hill, N.J.)
Ohio Savings CEO Jess Lederman confirmed the $5 billion sale, but declined to identify the buyer. "I can't say who but it's a major, major servicer," he said.
Wells officials declined to comment.
One investment banker noted that it appears Wells has re-entered the market for bulk servicing packages. "They haven't been much of a player of late except for franchise deals," he said. "Over the past few years you could always count on Citi and Chase being there but not Wells."
Meanwhile, in mid-February, Interactive Mortgage Advisors, Denver, was offering a $3.7 billion package of private investor servicing rights with an additional $1.2 billion coming shortly thereafter.
According to an IMA offering circular, the loans are negative amortization ARMs with an average note rate of 3.69%.
The bid date on the package was coming to a close as MSN went to press.
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