The purchase will make HomeBridge one of the largest non-bank mortgage lenders in the US, with about 900 originators in nearly 250 branches. HomeBridge will also continue to operate its two wholesale divisions, bringing its total up to more than 3,000 fulltime employees.
The purchase will also make HomeBridge the nation’s largest renovation lender, with more than double the production of its nearest competitor.
The asset purchase should be completed in January, according to the release.
“In today’s mortgage market, size, capital, liquidity and product diversity are critically important to long-term growth and success,” said HomeBridge CEO Peter Norden. “Specifically, our access to capital will improve, impacting our funding capabilities and our ability to increase our presence in existing and new markets. We will remain an entrepreneurial, flexible and nimble mortgage banker by effectively balancing profitability and volume, while continuing our commitment to operating in compliance with the current mortgage lending regulatory landscape.”
Prospect Chairman and CEO Michael Williams will remain with HomeBridge in an advisory role for the immediate future, according to the release.
“This arrangement creates a true loan production powerhouse that should become the nation’s premier non-bank mortgage company,” Williams said. “I expect a smooth transition because of the similarities in corporate culture at HomeBridge and Prospect, including strong leadership, a talented workforce and a profound commitment to excellence in everything we do.”
HomeBridge Financial Services announced today the signing of an agreement to purchase the operating assets of Prospect Mortgage. The purchase will consist primarily of Prospect’s loan production platform, according to a news release.