Ocwen Awarded VA Foreclosure Contract

Ocwen Financial Corp. and the Department of Veterans Affairs have announced that Ocwen has been awarded the contract for managing and selling VA foreclosures.The West Palm Beach, Fla.-based servicer announced in May that it had won the competition for the contract, but the contract had not yet been awarded. The contract period is for 11 months, with four one-year extensions at the VA's option. Ocwen will manage approximately 12,000 properties per year, with expected revenues of $95 million to $125 million over the life of the contract, Ocwen said. Ronald M. Faris, president of Ocwen Federal Bank FSB, said the company's chief goals under the VA arrangement are to obtain "the highest possible return in the shortest amount of time" on each asset; promote small, "small disadvantaged," women-owned, and veteran-owned businesses through subcontractors; and promote equal housing opportunity for all. The VA itself had previously handled the management and sale of real estate owned for nearly 60 years. Ocwen can be found online at http://www.ocwen.com.