twitter linkedin
facebook google+

Mortgage News

News by Subject
Complete list of specialty news sections.

Purchase Subscription
Subscribe to and get immediate access to all news, statistics and archives.

Mortgage Advertising
Reach mortgage executives, loan originators and other people tied to mortgage industry.

Consumer Mortgage News
Free mortgage news for prospective borrowers.

Mortgage Newsletter
Free e-mail newsletter with the latest headlines from

Mortgage News Reprints
Put entire stories in your online or printed newsletter or publication.

Mortgage Feedget RSS code
Condensed stories free on your Web site or for your RSS reader.

News Archives
Archive of stories by month going back to 1999.

Press Releases
Reports and announcements from

Mortgage Statistics
Data and statistics for real estate finance.

Mortgage Directories
Directories of lenders, branch operators and mortgage service providers.

Mortgage Graphs
Directories of lenders, branch operators and mortgage service providers.

home subscribe advertise reprints e-mail help RSS about us LOG IN

Mortgage News


Mortgage News

HOT Topics









site map
The Mortgage Graveyard
Failed, closed and a c q u i r e d mortgage-related entities.

Maine Lender Shutting Down

Downeast to close next month

March 27, 2008


A major mortgage lender in Maine is shutting down. Some of the company's former executives have launched their own company and picked up some of its former business.

Downeast Mortgage Corp. is in the process of shutting down its operations, which at one point included more than a dozen offices in Maine, New Hampshire and Massachusetts.

"The company is unwinding, trying to shut down its operations, and doing it in an orderly fashion to make sure that customers in the pipeline are well taken care of and not left in the lurch," a person with the company, speaking off-the-record, told

He said the closing was expected to be completed by the third week in April.

Officials at the South Portland, Maine-based company did not returned repeated phone calls from

The company, which began as a construction lender in 1987, describes itself as "one of the leading mortgage companies in New England" on its Web site.

Last winter at least four former officials with Downeast left the company and formed Homestead Mortgage Loans Inc., a new mortgage company in Windham, Maine. None would discuss their departure and whether it was related to Downeast's shutdown.

However, Todd Harvey, an owner of ERA Today Realty in Windham, told that after referring customers to Downeast for some 10 years, he was now working with the same people but at Homestead.

Harvey declined to say anything further.

Last October, Maine Attorney General Steven Rowe sued Downeast and an affiliated company, alleging that they had engaged in unfair and deceptive practices in making commercial loans to finance a residential property after the homebuyers did not qualify for a residential loan.

In June 2007, Downeast was presented with an award from the Maine State Housing Authority for originating the most first-time homebuyer loans in 2006, an award the lender had also received for the previous year.

The full service company also has boasted that it was the state's number one FHA and VA lender.

It reportedly originated 10- to 30-year fixed-rate and a variety of adjustable-rate conventional mortgages as well as fixed-rate, adjustable-rate and balloon jumbo mortgages. It also offered subprime, no-doc, stated-income, no-ratio and no-asset-verification loans, and fixed-rate seconds as well as HELOCs. And it continued to provide the construction and rehab loans with which it had started its business more than 20 years ago.

Downeast processed, underwrote, funded and closed all of its loans.

Last February, it was among seven sponsors of events at the annual conference of the Mortgage Bankers and Brokers Association of New Hampshire, of which Downeast's sales manager, Gladys White, is president.

FOX 23, a television news show in Maine, reported that a major commercial lender that deals with Downeast no longer wants to be part of a risky market and noted the company's brokers reportedly said existing loans are in the process of being sold to other lenders.

An estimated 90 employees were impacted by the closing.

Jerry DeMuth is an award winning journalist who has been reporting for four decades.

e-mail Jerry at [email protected]
Corporate Mortgage News
M e r g e r s, a c q u i s i t i o n s and private and public offerings. Other corporate activity including executive appointments, bankruptcies name changes.

Mortgage Employment News | Employment Index | Employment Statistics
Job additions, layoffs and employment lawsuits. Employment data from the Department of Labor, state tracking, reports and analysis. Job finding tips.

Logout forgot

SUBSCRIBERS: Edit Subscription | Subscription Help | or call 214.521.1300

Subscribe Contact Us Site Map

Copyright © 2017 Mortgage Daily, D a l l a s
Subsribers Only:

AMC directory

ARM indexes

mortgage company directory

mortgage regulations

net branch directory

p r i c i n g engine directory

wholesale lender directory

More Mortgage News Resources (full site map):

advertising news

appraisal news

bank news

biggest lenders

commercial mortgage news

corporate mortgage news

credit news

FHA news

financial regulation news

foreclosure news

GSE news

jumbo mortgage news

interest rates

loan modification news

loan originator survey

LOS Newsletter


mortgage associations

mortgage-backed securities

mortgage books

mortgage brokers

mortgage compliance

mortgage conferences

mortgage directories

mortgage education

mortgage employment

mortgage employment index

mortgage executives

mortgage fraud

mortgage fraud blog

mortgage fraud local news

Mortgage Fraud Index

Mortgage Graveyard

mortgage insurance news

mortgage lawsuits

mortgage leads

mortgage lender ranking

mortgage licenses

mortgage litigation

Mortgage Litigation Index

Mortgage Market Index

mortgage mergers

mortgage news

mortgage politics

mortgage press releases

mortgage production

mortgage public relations

mortgage rates

mortgage servicing

mortgage statistics

mortgage technology

mortgage video

mortgage Webinars

net branch

net branch directory

nonprime news

origination news

originator tools

real estate news

refinance news

reverse mortgage news

secondary marketing

social media

servicing news

subprime news

wholesale lenders