Reverse Mortgage Solutions confirmed Friday it plans to move into the forward mortgage business.
The Spring, Texas-based company, launched in 2007 as a reverse mortgage servicer, has since grown several other business channels including correspondent lending, wholesale and retail origination. It also is an active Ginnie Mae HMBS issuer and has moved into the REO arena, which it points to as an area for future growth.
Today, it also operates a new, wholly-owned subsidiary, S-Cubed—S3 for Specialty Servicing Solutions—which handles all FHA forward servicing. That is the basis for its entry into the forward business, Mike Kent, President of the Mortgage Lending Division told RMD.
“It’s very similar to the process we had when we started RMS. We start in one place, then as we develop and grow our expertise, our operations grow.”
The company may look to origination in the future, Kent says, although for now it is building from the S-Cubed subsidiary.
“We’re in the planning stages now and growing from there,” he said. “Eventually we may look at origination side of forward FHA loans.”
RMS this year celebrates its fifth anniversary, and with it, the $10 billion mark for the value of its loan portfolio, expected to surpass 70,000 loans in the second quarter of 2012.
“We’re buying and funding loans, handling REO disposition, managing assets and providing technology solutions for seniors and B2B customers,” said Bob Yeary, Chairman and co-founder. “It’s a growth story here, that’s for sure.”
Written by Elizabeth Ecker