Based near Buffalo, N.Y., Seneca currently owns approximately $50 billion in MSRs comprising primarily Fannie Mae and Freddie Mac residential mortgages. Along with the subservicing, Nationstar will expand its presence in the Northeast as the company assumes Seneca’s existing site, including many highly skilled team members involved in the servicing of the existing portfolio.
“Since entering the MSR space in 2014, Seneca’s development into a top non-bank mortgage servicer has been a testament to our Buffalo platform and committed employees who helped us achieve that growth,” says Bharat Bhatt, chairman of the board for Seneca, in a statement. “We are pleased to partner with an experienced and respected subservicer in Nationstar, a company with similar roots and a strong commitment to serving its customers. They are the best partner for Seneca’s existing customers and for our continued growth as we add MSRs to our portfolio through flow and bulk acquisitions.”
Jay Bray, president and CEO of Nationstar Mortgage, adds that, “Subservicing has become a powerful growth vehicle for Nationstar – driven by our focus on the customer and continual investments in technology, process and compliance. Seneca’s highly regarded team will help advance our subservicing growth strategy, and we are excited to welcome them to the Nationstar family.”
The deal is in addition to the previously announced $55 billion private-label subservicing partnership between the two companies.
Nationstar currently anticipates that its total servicing portfolio will consist of more than $100 billion in subserviced portfolios by year-end.
The deal is subject to regulatory approvals and final closing items.