Resource Center

Mortgage Lenders Shut Down; Corporate Mortgage Activity from

Mortgage Daily

Published On: April 3, 2006

Mortgage Lenders Shut Down; Corporate Mortgage Activity from

DALLAS, April 3 /PRNewswire/ — Two mortgage companies have gone out of business amid a industry slowdown, according to, a dominant online news source for the mortgage industry.

The parent of Capital Alliance Funding Corp. announced Friday that the nonprime wholesale lender would close its doors and sell off or transfer all mortgages in its inventory. The move was approved unanimously by the San Francisco-based company’s board of directors. Inc., a 300-branch operation, abrubtly stopped doing business over a week ago, two of the company’s managers told An e-mail sent to employees “just said you guys were done,” one of the managers said in an interview.

The national net branch company, which claimed more than $1 billion in originations annually, did say in the e-mail it had begun the process of closing the operations because the “constant changing of the industry proved to be too great in the end.”

The real estate finance sector has struggled to maintain production amidst rising rates. In addition, an inverted yield curve and the pace of rate increases left many companies with sagging earnings during the fourth quarter.

But not all the news was bad, as Goldman Sachs Group was ranked as the best performing mortgage-related company by BusinessWeek. The mortgage-backed securities player was commended for its “killer combination” of businesses.

An affiliate of Warren Buffet’s Berkshire Hathaway has agreed to acquire Huff Realty, a full-service residential real estate brokerage, mortgage and title firm. Berkshire’s other mortgage holdings include Vanderbilt Mortgage and Finance Inc. and 21st Mortgage Corp.

Capital One Financial Corp. will become a mortgage player with its upcoming acquisition of North Fork Bancorp Inc. Greenpoint Mortgage Funding Inc., a North Fork subsidiary, reportedly originated $42.3 billion in mortgages last year.

Subprime lender Centex Home Equity Corp. will reportedly be acquired by an affiliate of Fortress Investment Group LLC. That deal is expected to close within four months.

Read complete corporate mortgage coverage at

Founded in 1998, is a dominant online news source for the mortgage industry. Around one million mortgage business news pages are viewed monthly at and its affiliate publications.

Carmen Garcia
3811 Turtle Creek Blvd.
Suite 700
Dallas, TX 75219


Tools for Your Next Big Decision.

Amortization Calculator

Affordability Calculator

Mortgage Calculator

Refinance Calculator

FHA Mortgage Calculator

VA Mortgage Calculator

Real Estate Calculator


Pre-Approval Resources!

Making well educated decions in a matter of minutes and stay up to date on the latest news Mortgage Daily has to offer. Read our latest articles to stay up to date on what’s going on…

Resource Center

Since 1998, Mortgage Daily has helped millions of people such as yourself navigate the complicated hurdles of the mortgage industry. See our popular topics below, search our website. With over 300,000 articles, we are guaranteed to have something for you.

Your mortgages approval starts here.

Add 1-2 sentence here. Add 1-2 sentence here. Add 1-2 sentence here. Add 1-2 sentence here. Add 1-2 sentence here.

Stay Up To Date with Today’s Latest Rates


Today’s rates starting at


5/1 ARM
$200,000 LOAN

Home Refinance

Today’s rates starting at


$200,000 LOAN

Home Equity

Today’s rates starting at


$200,000 LOAN


Today’s rates starting at


$200,000 LOAN