Large mortgage servicer sees a different landscape than servicers struggling with pre-2008 inventory
October 20, 2016 – Charlotte, NC – RoundPoint Mortgage Servicing Corporation, one of the nation’s largest non-bank mortgage servicing companies, announced today that it now services over $75 billion worth of mortgage assets, which are comprised of its own assets and loans subserviced for many other investor types nationwide. Since its inception in 2007, the company has grown to become one of the nation’s top 20 non-bank mortgage servicers, as well as a prominent liquidity provider via its MSR co-issuance program.
“Now that we’ve passed the $75 billion mark in servicing, we have our eye on the next threshold, which is $100 billion,” said Allen Price, senior vice president at RoundPoint.
“Servicers that were founded after the mortgage collapse are in a very different position than those struggling with old inventory,” Price said. “RoundPoint was founded after the credit crisis, so we have avoided the legacy issues that have troubled so many other firms. Right from the start, we developed the necessary compliance and operational infrastructure to meet or exceed regulatory requirements. We believe this approach is critical in our current environment.”
Statistics show that many big banks and other mortgage servicers are losing volume, while RoundPoint continues to grow. In addition, as asset owners continue to grapple with higher operational costs and increased regulatory oversight, RoundPoint will continue to see increased demand for its services, Price noted. The country’s largest banks have dropped almost half of their mortgage servicing since the financial crisis, with some $2.5 trillion in loans largely moving into the shadow banking system, the Wall Street Journal reported in July. Citing a regulatory report by the Office of the Comptroller of the Currency, (OCC), the Wall Street Journal wrote that the drop in mortgages serviced by the nation’s largest banks is sizable: in September 2008, they serviced 60% of all the mortgages in the country; today, the seven largest national banks serviced 38% of mortgages in the country.
RoundPoint has direct experience in subservicing both distressed and performing assets. Unlike a traditional subservicing vendor, RoundPoint purchases and owns Fannie Mae, Freddie Mac and Ginnie Mae servicing rights. “Because we actually own servicing rights, we really know how important it is to deliver great service to the homeowner,” said Price. “We have ‘skin in the game.’ so to speak.”
RoundPoint works directly with investors to design and implement a customized servicing approach which “provides the best possible outcomes for both investors and their borrowers,” Price said.
About RoundPoint Mortgage Servicing Corporation
Founded in 2007, RoundPoint is a fully-licensed agency and non-agency subservicer for commercial banks, credit unions, mortgage companies and hedge funds. The Charlotte, NC-based company currently services over $75 billion worth of mortgage assets, which are comprised of its own assets and loans subserviced for many other investor types nationwide.. RoundPoint is licensed to service loans in all fifty states, the District of Columbia, and the U.S Virgin Islands and is publicly rated by Fitch Ratings (RPS3+, RSS3+), Standard & Poor’s (Average) and Kroll Bond Rating Agency (BB). RoundPoint is a seller and servicer for Fannie Mae and Freddie Mac. It is an approved single family Issuer and servicer for Ginnie Mae, and maintains current MBS issuer eligibility. RoundPoint is also an approved servicer for the U.S. Department of Housing and Urban Development, the U.S. Department of Veterans Affairs and the U.S. Department of Agriculture. In addition to servicing loans guaranteed by Fannie Mae, RoundPoint services for third parties and has an extensive portfolio of loans involved in FDIC structured and shared loss transactions. For more information, please call Allen Price (704) 426-8846. Lenders and investors can learn more about RoundPoint’s servicing offerings by visiting roundpointexchange.com. Borrowers may visit RoundPoint’s consumer website at rpmservicing.com.