Mortgage servicer BSI Financial Services reports that it has partnered with two institutional investors to raise $140 million in capital that the company will use to purchase mortgage servicing rights (MSRs).
BSI Financial will source, perform due diligence and service MSR assets acquired in partnership with these investors.
“With our new MSR acquisition capability we offer our existing subservicing clients as well as other lenders interested in selling servicing rights the value of convenience and liquidity,” says Gagan Sharma, president and CEO of BSI Financial, in a release. “We now provide a connection to the capital markets in addition to our subservicing and other a la carte services.”
Lenders that partner with BSI Financial for servicing and subservicing can now elect to either subservice or sell MSRs on either a bulk or flow basis, the company reports.
By virtue of BSI Financial’s capital market relationships, lenders can enjoy accelerated cash flow and reduced operating risk that can arise when dealing with aggregators.
Loans will be boarded on BSI Financial’s ASSET360 platform, which uses exception-based processing to identify data anomalies during loan boarding and over the life of the loan, reducing errors that may create compliance risk.
In addition, ASSET360 offers lenders real-time visibility into loan status and performance through a secure lender portal.
As part of its servicing capability, BSI Financial is also offering investors a loan recapture origination service for their loans.
This capability is backed by an AI-driven engine that provides the BSI Financial loan origination team predictive analytics.
BSI Financial will soon be adding this analytics capability to its subservicing offering.