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SOURCE Quicken Loans Inc.
- The company's rapidly expanding servicing portfolio to exceed $125 billion -
DETROIT, March 21, 2013 /PRNewswire/ -- Detroit-based Quicken Loans Inc. today announced the purchase of approximately $34 billion in mortgage servicing rights from Ally Bank. The servicing pool is comprised of non-delinquent Freddie Mac and Fannie Mae-backed mortgages that currently have higher-than-market interest rates which could substantially benefit from refinancing.
The acquisition, expected to close in the second quarter following approvals from Fannie Mae and Freddie Mac, will dramatically increase Quicken Loans' servicing footprint. In the last year, the company has aggressively built a $90 billion mortgage servicing portfolio, making it the nation's 17th largest servicer. With the addition of the $34 billion in servicing from Ally Bank, the company is expected to grow to be a top-10 servicer by mid-year.
"We have not been bashful in making the market aware of our interest in acquiring servicing rights," said Bill Emerson, Chief Executive Officer of Quicken Loans. "This transaction with Ally Bank allows us to purchase a well performing pool of loans, and will help grow our servicing footprint. This servicing pool will also create a large opportunity for Quicken Loans to refinance a substantial amount of these clients into significantly lower monthly payments."
The company also announced that it will continue to pursue servicing pools, while also growing its servicing portfolio organically through its mortgage origination business. In 2012, Quicken Loans originated a company record $70 billion in residential home mortgages, making it the nation's third largest mortgage lender.
About Quicken Loans Inc.
Detroit-based Quicken Loans Inc. is the nation's largest online home lender and the country's third largest retail home mortgage lender. The company closed a record $70 billion of volume across all 50 states in 2012. Quicken Loans generates loan production from web centers located in Detroit, Cleveland and Scottsdale, Arizona. The company also operates a centralized loan processing facility in Detroit, as well as its San Diego-based One Reverse Mortgage unit. Quicken Loans ranked #1 in customer satisfaction among all home mortgage lenders in the United States by J.D. Power and Associates in 2010, 2011 and 2012.
Quicken Loans also ranked among the top-30 companies on FORTUNE Magazine's annual "100 Best Companies to Work For" list for the last 10 consecutive years. It ranked in the top-15 of Computerworld magazine's "100 Best Places to Work In Technology" for the past eight years, ranking in the top-5 in 2012. The company recently moved its headquarters and more than 7,000 of its nearly 10,000 team members to downtown Detroit. For more information about Quicken Loans, please visit quickenloans.com, on Twitter at @QLnews, and on Facebook at facebook.com/QuickenLoans.
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