Finance of America moves reverse servicing to Ocwen

Finance of America Reverse has entered right into a subservicing settlement with PHH Mortgage, a subsidiary of Ocwen Monetary. Phrases of the deal weren’t disclosed.

In response to the 2022 10-k submitting by dad or mum firm Finance of America, FAR’s reverse mortgage originations had been subserviced by Celink, whereas its hybrid proprietary product was dealt with by ServiceMac.

The corporate had 62,879 reverse mortgages in its servicing portfolio with an energetic mortgage unpaid principal stability of $17.9 billion on the finish of 2022, in keeping with the submitting. It’s not clear whether or not these are simply conventional reverse mortgages or additionally consists of the MSRs from the proprietary providing.

These numbers additionally don’t embody any mortgage servicing rights from American Advisor Group, which FAR agreed to accumulate in December.

AAG is the nation’s prime originator of House Fairness Conversion Mortgages, the Federal Housing Administration-insured mortgage that makes up an amazing share of reverse lending exercise.

The deal occurred after Finance of America introduced it was exiting all ahead mortgage origination operations.

PHH at the moment subservices $23 billion of reverse mortgages. It didn’t have any prior relationship with Finance of America or AAG.

This settlement will permit PHH to meaningfully develop that enterprise line, it mentioned in a press launch. It didn’t disclose what number of MSRs it is going to be including from Finance of America Reverse.

Finance of America has not returned a request for remark.

“We’re more than happy to enter into this new subservicing relationship with FAR,” Scott Anderson, government vp and chief servicing officer for PHH, mentioned within the launch. “This settlement is in keeping with one among our core enterprise methods of rising our subservicing portfolio and is a testomony to the power and high quality of our servicing platform as a premier subservicer for each ahead and reverse mortgages.”