Nationstar Mortgage, Lewisville, Texas, is continuing talks to buy Bank of America's correspondent lending division, or at least parts of it, according to industry advisors who claim to have knowledge of the situation.
To date, Nationstar officials have declined to discuss the matter.
Two weeks ago National Mortgage News first reported that Nationstar – a division of the publicly traded Fortress Investment Group – was exploring the idea.
On Friday Dow Jones reported as well that Nationstar was in talks with B of A concerning the unit.
In August B of A announced that it would exit the correspondent mortgage space, where it ranks second nationwide.
The bank is currently marketing the correspondent group whose business is intertwined with its warehouse lending division. Among warehouse financers, B of A ranks first nationwide with about $10 billion of commitments, according to figures compiled by National Mortgage News and the Quarterly Data Report.
Nationstar ranks 28th among originators with a market share of 0.31%. It also services roughly $67 billion of residential loans.
Fortress is a publicly traded investment fund whose CEO is Daniel Mudd, the former CEO of Fannie Mae.
