National Mortgage News is reporting that the second round of bids for IndyMac’s assets are now under way. NMN spoke with one investment banker familiar with the situation who said, “there’s a decent amount of interest.” The Federal Deposit Insurance Corp has been very quiet about how it plans to unload the $32 billion bank it took over in July.
Analysts will agree that IndyMac’s reverse mortgage division, Financial Freedom is one of the most valuable assets the company has. Jason Arnold, an analyst with RBC Capital Markets Corp was quoted in the Los Angeles Business Journal saying that at one point, Financial Freedom could have garnered the company as much as half-billion dollars had it been sold just a year or two ago.
Today, while the company continues to be a leader in terms of reverse mortgage volume, many of Financial Freedom’s top producers have left the company. So even despite its relatively strong performance, Financial Freedom might not even snag $100 million said Arnold.