Mortgage Daily Logo

Huge Growth at Nationstar

Mortgage News

Over the past year, originations have more than doubled at Nationstar Mortgage Holdings Inc., while the mortgage servicing portfolio has nearly tripled and staffing is up by half. The strong growth continued into the latest quarter.

Residential loan production totaled more than 8,300 loans for $1.8 billion in the three months ended June 30, according to earnings data reported Tuesday. Second-quarter fundings were an all-time record.

Loans originated under the Home Affordable Mortgage Program accounted for 63 percent of second-quarter activity, or $1.1 billion.

Total business improved from the first quarter, when Nationstar originated $1.2 billion in new mortgages. A year earlier, production amounted to just $0.7 billion.

The recapture rate, which reflects refinancing of loans serviced by Nationstar, jumped to 43 percent form the first quarter’s 38 percent and has consistently risen each period since the second quarter of last year when it was 28 percent.

The Lewisville, Texas-based company’s servicing portfolio closed out the second quarter at $193 billion. The portfolio grew from 635,000 mortgages for $103 billion as of as of the end of the first quarter.

The servicing portfolio was only $66 billion as of June 30, 2011.

Portfolio growth reflected $93.3 billion in bulk portfolio acquisitions including $63.7 billion in servicing on traditional mortgages acquired from Aurora Bank FSB; $10.4 billion in agency servicing purchased from Bank of America, N.A.; $9.6 billion in reverse mortgage servicing picked up from BofA; and $9.7 billion in reverse mortgage servicing rights acquired from MetLife Bank, N.A.

“On June 19, Nationstar was named the ‘stalking horse’ bid by the bankruptcy court, and in connection with being named the ‘stalking horse’ bidder, Nationstar and ResCap amended and restated the definitive purchase agreement as of June 28,” the report stated. “Upon closing, expected to occur in January 2013, subject to the auction process, court and other regulatory approvals, the acquisition would result in an estimated pro-forma UPB of $550 billion.”

In addition to the ResCap acquisition, Nationstar said it had a pipeline of more than $300 billion in servicing portfolio acquisitions. Since December 2008, Nationstar said it has completed around 344 servicing portfolio transfers.

Mortgages held for investment finished June at $238 million, falling from $241 million three months earlier and $255 million a year earlier.

Nationstar also reported $310 million in reverse mortgages interests, growing from $148 million at the end of March.

Delinquency of at least 60 days finished June at 11.7 percent, declining 30 basis points from March 31.

Nationstar reported $49 million in income before taxes, falling from the first quarter’s $53 million. A year earlier, the company earned just $2 million.

More than 600 employees were hired in the second quarter, leaving headcount at around 3,500 as of June 30. As of mid-2011, there were approximately 2,300 people working for the company.

Nationstar said it additionally brought on some of the Aurora employees in early July. Staffing currently stands at around 4,000 people.

Related Posts

NewDay USA CEO Rob Posner Expects 10% Increase in 2019 Mortgage Loan Volume

There is No Such Thing as a Free House …

Over the past several years, those who service loans in the State of Washington(1) have seen a dramatic rise in the number of lawsuits in which delinquent borrowers seek to quiet title to their homes on the grounds that lenders are barred from foreclosing based on...

NewDay USA CEO Rob Posner Expects 10% Increase in 2019 Mortgage Loan Volume

The Mortgage Graveyard 2018 Archives

The Mortgage Graveyard 2018 Archives Failed, Struggling and Acquired Mortgage-Related Companies Non-Bank Closures 3 Bank Failures (FDIC) 0 Credit Union Failures 0 Total Mortgage-Related Failures 3  

NewDay USA CEO Rob Posner Expects 10% Increase in 2019 Mortgage Loan Volume

Sample E-Mail

Sample E-Mail   Covering the Real Estate Finance Since 1999  Mortgage Industry News free news content | view headlines online  Advertorial Text Ad This ad includes a linked bold headline of up to 50 characters and up to 100 words of text. The ad can be...

NewDay USA CEO Rob Posner Expects 10% Increase in 2019 Mortgage Loan Volume

Mortgage Servicer Portfolios

Mortgage Servicer Portfolios servicing news | mortgages outstanding statistics | foreclosure news   Servicing Portfolios as of 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | 2006 Residential Servicing Portfolios by Servicer...

Popular posts

How Long Does It Take to Refinance a Mortgage
How Long Does It Take to Refinance a Mortgage

So, you’re interested in refinancing your mortgage. Maybe you want some extra capital to do that home project you’ve always dreamed of, interest rates are nearing record lows, or you want to start consolidating debt. Regardless of the motivation behind the refinance,...

How Does Refinancing a Mortgage Work
How Does Refinancing a Mortgage Work

A home purchase is considered an investment, and a robust one at that. Savvy owners are constantly looking for new ways to reduce debt, save money, pay less in interest, and ultimately build equity. Refinancing is one way to leverage your investment and do just that....

What Does It Mean to Refinance Your Home
What Does It Mean to Refinance Your Home

You can think of refinancing your mortgage as a debt redo. Essentially, you’ll swap out the existing loan for a new one - ideally with better terms and conditions. Only this time it could help you save money on high mortgage payments, rather than just borrow it....

Setting up the Utilities in My New House
Setting up the Utilities in My New House

All the tedious, time-consuming home closing documents have been signed, sealed, and delivered. Your belongings are packed into what seems like a million boxes and you have a solid plan to haul all your existing furniture to the new place. Just as your boxes and...

When Is My First Mortgage Payment Due?
When Is My First Mortgage Payment Due?

Navigating your way through a brand new mortgage loan can be a difficult task, especially for first time homeowners. After handing over a large sum of money for the down payment and closing costs, it’s important to pay attention to the timing of your first mortgage...

Newsletter

Don’t worry, we don’t spam

calculate your monthly mortgage payment

Related Topics

Helpful Links

Daily mortgage rate trends

Best mortgage lenders

First-time homebuyers programs by state

Loan limits by state

Types of mortgages

APR vs interest rate

Understanding PMI