PHH Mortgage Corp., a subsidiary of Ocwen Financial Corp., has entered into an agreement with AmeriHome Mortgage Company LLC to purchase, in bulk, mortgage servicing rights with a total unpaid principal balance of approximately $48 billion.
The bulk MSR portfolio is composed of approximately 178,000 mortgage loans sold to or securitized by Freddie Mac and Fannie Mae. As of March 31, PHH serviced approximately 1.1 million loans, and this transaction is expected to grow its total servicing portfolio by approximately 16%.
“We are excited to announce the MSR purchase agreement with AmeriHome,” says Glen A. Messina, president and CEO of Ocwen. “Overall, we are delivering very strong performance in adding new servicing across our originations channels, and this agreement is a significant milestone in achieving our growth objective of adding up to $150 billion in new servicing in 2021.”
The transaction is expected to close late in the second quarter. The loans underlying the MSR portfolio would then transfer to PHH in September.