twitter linkedin
facebook google+
Search:

Mortgage News

News by Subject
Complete list of specialty news sections.

Purchase Subscription
Subscribe to MortgageDaily.com 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 MortgageDaily.com.

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

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

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

Press Releases
Reports and announcements from MortgageDaily.com.

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

production

servicing

compliance

legal

fraud

secondary

jobs

appraisal

site map

www.loan-academy.com/
The Mortgage Graveyard
Failed, closed and a c q u i r e d mortgage-related entities.



Firm Exits Wholesale, But Warehouse Biz Strong

Gateway closes broker channel

October 20, 2008

By MortgageDaily.com staff


A California-based institution has shut down its wholesale lending unit and will instead focus on its correspondent lending business and thriving warehouse operation.

Gateway Bank FSB has suspended all wholesale lending, according to an Oct. 15 message posted on its Web site.

The San Francisco-based federal savings bank noted that last Tuesday was the last day to submit wholesale loan packages. Conditions on loans-in-process must be received by Nov. 10, and all loans must close by Nov. 15.

"It's basically having to do with yield and volume," Gateway Senior Vice President Mark Sussman told MortgageDaily.com in an interview. "Everyone is being squeezed so tight now."

Sussman noted that the economics of the wholesale business didn't make sense once originations dropped below $50 million a month. While the company had dealt with several thousand mortgage brokers at its peak, it was only dealing with 350 recently.

Five account executives were laid off as a result of the closing, but operational employees were shifted to correspondent and warehouse lending.

Despite the decline in wholesale performance, the company's correspondent lending operation is doing well as a result of its thriving warehouse lending business.

"We're one of the largest small warehouse lenders in the country," Sussman stated. "As First Collateral and IndyMac and Impac and Countrywide and Warehouse One and a bunch of other warehouse lenders disappeared ... our volume went through the roof."

He said the typical warehouse lending customer has a net worth of between $1 million and $5 million -- with an average of $1.3 million.

The executive explained that their warehouses lines, which are available to finance conventional and FHA loans nationally, are not restrictive and can be used to fund loans that will be sold to other nationally recognized lenders approved by Gateway.

The line is priced at between 1 percent to 2 percent over prime, transaction fees range from $75 to $150 and the haircut is 0 to 2 percent on first mortgages and 1 percent to 5 percent on seconds.

Wholesale Lending News | Directory | P r i cing Engine | Originator Newsletter
News about wholesale lenders, correspondent lenders and wholesale mortgage lending programs. Alt-A, subprime and other niche loan programs. Lawsuits between wholesalers and brokers.



Secondary Marketing News | Correspondent Lender Directory
Mortgage portfolio trades and forward commitments. Correspondent lending, r e p u r c h a s e s and warehouse news. Secondary marketing statistics and lawsuits.



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.


Logout forgot
password?

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

MBS

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