The Prestwick Mortgage Group is offering investors a GSE 'flow' servicing arrangement that could be as large as $720 million per year in MSRs.
The seller was not identified by name, but is described as a “well capitalized” mortgage banking firm based in the Mid-Atlantic region.
Flow deals – where an originator offloads MSRs monthly – have been somewhat rare the past few years.
The servicing market has been dominated by large bulk sales – usually involving legacy and problematic servicing rights.
The originator will sell anywhere from $20 million to $60 million per month in MSRs backed by Fannie Mae and Freddie Mac loans.
The servicing fee on the product is 25 basis points. The average projected loan balance is $210,000 to $230,000.
Almost all of the product is retail sourced. Bids are due in late March. Prestwick is based in Alexandra, Va.
