ResCap Sale?

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MORTGAGE EXPERT
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GMAC Inc. has reportedly hired an investment banker to help it unload Residential Capital LLC. But the majority of GMAC’s residential originations would not be impacted from a sale of the struggling mortgage unit.

Goldman Sachs has been hired by GMAC to help it sell ResCap, the New York Post reported today.

When asked about engaging Goldman, a spokeswoman told MortgageDaily.com, “GMAC declines to comment.”

ResCap includes GMAC’s mortgage servicing operations, the spokeswoman explained. It also includes its direct-to-consumer business, Ditech. In addition, GMAC originates directly to the consumer under the GMAC Mortgage brand.

But the majority of GMAC’s originations are generated through its correspondent lending channel — which operates out of Ally Bank.

Losses before taxes from GMAC’s mortgage business were around $8 billion last year and $5 billion in 2008.

Among rumored suitors for ResCap is Berkshire Hathaway, which three months ago acquired Capmark Financial Group Inc. — the third biggest U.S. commercial mortgage servicer according to a Dec. 31, 2009, ranking by the Mortgage Bankers Association. In 2006, Berkshire acquired Vanderbilt Mortgage and Finance Inc., a manufactured home financing firm.

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Mortgage Daily Staff

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