Monthly Archives: October 2016
October 20, 2016
By Paul Muolo
MorVest Capital is working on a roughly $5 billion sale of Ginnie Mae servicing rights through a negotiated transaction between two parties.
MorVest CEO David Fleig confirmed that talks are underway, but could not say more about the transaction. Fleig did note: “We are talking to other sellers about getting rid of Ginnie product.”
Selling Ginnie servicing rights is not an easy task these days thanks to high prepayment speeds and the fear that an FHA premium cut could be unveiled after the November election.
Back in August, Incenter Mortgage Advisors auctioned off one of the largest bulk packages of Ginnie Mae servicing rights in quite some time: An $8.87 billion pool of receivables with a weighted average interest rate of 4.23 percent.
© 2013. MorVest Capital.