Digital Fuel Mizer Works

Okay,

I did not believe it until I read the datasheet on this product. The Digital Fuel Mizer works at helping any driver increase their gas mileage. Its simple to install and ABC News just covered a story on the Digitial Fuel Mizer and its got their seal of approval. What I could find the product sells for $249.oo but right now you can visit www.mpg-rx.com and buy the product for $82.00 out the door and the news gets better! The Digital Fuel Mizer is backed by a 3 year no questions asked warranty. Check out!

I was let go today by a national bank.................

Great. It happened. I was let go today by a California bank that did not have the balls to tell me in person that I was getting let go. They actually emailed me! Can you believe that. I sent this company so many loans, I averaged about 65 per month, and they never closed anything. I guess in a sense its a sign of the times. There is no loyalty whatsoever. I knew something was coming when my last paycheck was in December. For anyone reading my blog I will tell you that this company advertises in Scottmans Guide with full page ads, so be careful. I guess its a good thing. Stay tuned..................................

First Frankling Goes Bye, Bye!

STUART, FL - Two more mortgage entities are closing doors this week resulting in approximately 700 more job losses for industry professionals.

Approximately 650 workers at First Franklin and its NationPoint division based in Lake Forest, California got pink slips as mortgage operations shut down this week. NationPoint is a division of First Franklin Financial Corporation – who is an operating subsidiary of Merrill Lynch Bank & Trust Co. President & CEO of First Franklin, Andrew Pollock, confirmed the rumors in an email to employees.

No information could be found on the NationPoint website, but it does appear that the “apply now” link is disabled. The First Franklin website states, “Effective March 5 at 2 p.m. PST, 2008 First Franklin Financial Corporation will no longer accept mortgage loan applications. Thank you for considering us as a source for your mortgage originations. We realize that our 26 years of success and accomplishments would not have been possible without the people and businesses in the mortgage industry.”

Unique Mortgage Solutions, a FNMA direct lender out of Paramus, NJ has also layed off approximately 50 employees and closed its doors. The company had branch offices in Tallahassee, FL and Easton, PA and was licensed in 11 states. The main website is still up and there is no notice as of print, but a call to the number listed on the website was answered with a, “This number has been suspended…” recording. The company’s wholesale website has been taken offline.

Has The Demise of Indymac Bank Started?

Dear Valued Customer,

As you are all well aware, the secondary markets are currently very volatile, and, in fact, other than the GSEs and Ginnie Mae, there is virtually no secondary market liquidity at present. While Indymac has very strong capital and liquidity, we need to adapt to current market conditions and be very careful with the loans we are funding.As a result, we, along with most other major mortgage lenders, need to make additional product cutbacks and implement additional price widening in order to ensure we can sell the loans we are funding. While we hope that this current difficult environment will be short-lived, we all need to be realistic and be prepared to work within this tough market for a protracted period. In that respect, we need to quickly move as many borrowers as possible to this more full doc, conforming loan environment so that a greater percentage of our loans can be sold to the GSEs.I also want to reaffirm to you our commitment to the mortgage business and assure you we will stay focused on providing you a stable, reliable business partner you can count on to meet your needs, along with the needs of your customers. Indymac Bank?s financial strength combined with and the stability of our national savings and loan charter will ensure we will be one of the strong survivors from this difficult period. I want to thank you for your business and for your commitment to Indymac Bank. We look forward to building an even stronger relationship going forward.

Best Regards,Walter TharpCEO, Wholesale Lending

Mortgage Tree Lending, Bye, Bye!

Since WJ Bradley Company could not work an acquisition deal, Mortgage Tree Lending has been chopped down.

Columbia Home Loans, LLC is officially gone.

OceanFirst Financial Corp. said it decided to close down its mortgage banking subsidiary as the unit incurred significant operating losses in the last two quarters from subprime mortgage loan originations.
The bank holding company estimates $900,000 in employee severance and lease cancellation charges related to the closure of the unit, Columbia Home Loans LLC, it said in a filing with the U.S. Securities and Exchange Commission.
"The discontinuation of Columbia's operation is expected to be completed within six months," the filing said.
On April 25, OceanFirst had said it was in talks with an interested party on the sale of Columbia Homes and that it would shut down the unit if the talks failed.

Texas Wholesaler Shuts Down!

First Consolidated Mortgage Co. is closing down, a spokeswoman confirmed Thursday. A month ago, the wholesaler told its brokers it would stop accepting subprime business. First Consolidated reportedly started business in Texas during 1994. Unfortunately they are another victim of the subprime meltdown.

Homeland Capital Group Goes Kaput!

Just in..............................

Effective immediately, we will no longer accept Wholesale submissions for approval. It has truly become impossible for us to compete in the current environment with the consistency that we, as well as our brokers, are accustom to and deserve.
Therefore, we will accept any legitimate prior approvals in the form of final packages between now and the 15th of May. Those, and any current files pending, must have stips cleared and close by the 22nd of May.
Regards,
Bob Garrison Executive Vice President First Greensboro Home Equity, Inc.

New Century Is Finally Gone For Good!

I just received this email from a former AE from New Century.

Some of you may or may not have heard the news yet. Unfortunately as much as this is a shock to myself and everyone at our company its a sad reality of the state of the sub prime industry today. The abridged article is below.

Subprime mortgage lender New Century Financial Corp., failed to receive any bidsfor its mortgage loan origination business, forcing it to shut down the unit and lay off around 2,000 employees.

The company, which has been preparing to sell off its assets underChapter 11 bankruptcy protection since last month, notified employees during aconference call that they would be laid off effective Friday.

New Century President and Chief Executive Brad A. Morricesaid despite a number of potential buyers for its wholesale and consumer-directoperations, "none of those potential deals have come to pass."

I have been planning on a worse case scenario for some time. As many of you know, I was one of the top Account Executives for New Century so I have had many recruiters and managers interested in bringing me over to work for their perspective company. Although at this time I am finalizing negotiations with a few select companies I have chosen, I have yet to reach a decision as to what company will best suit myself and all of you, my valued clients and friends. I expect that given the recent turn of events my decision will soon be hastened and I will finalize something in the short term.

Some of you may or may not have relationships with these existing lenders. If you do have an existing relationship with the particular lender I go to, it will be up to you to decide who you think will best be able to service your needs. I will be having those conversations with you one on one once my decision and negotiations have been reached with the perspective company.

Effective at the end of today, this email will be shut down and I will only be reachable via cell phone or the alternate email below.

The subprime fallout continues.....................

Dana Capital is Closed For Good!

There has been rumors that Dana Capital was going under. This was confirmed as of Monday.

I personally went in to their office today to pick up a check for a file they´ve been holding funds on since mid Jan. The following text was posted on their door. I´ll be able to get the picture off my cell phone later and post a link:
"Dana Capital has chosen to wind down its activities through dissolution under State Law. Dana Capital will not be filing a bankruptcy -- but rather will orderly liquidate its assets. You should receive notice of such and a status report within the next couple of weeks via email."
Posted on the door of 8002 Irvine Center Drive, Ste. 1200, Irvine, CA the headquarters of Dana Capital Group at least as of 4/30/07.

Nation One Mortgage Shuts Down

Hot off the press..................


Dear Broker;

Effective immediately, Nation One Mortgage Company, Inc. is ceasing the origination of all mortgage loans. No new loan submissions are being accepted at this time. If you have received this message, our records indicate that you do not have any loans that are currently in an approved and locked status. We have appreciated the opportunity to serve you and your customers. Call 1-800-624-6662 to confirm.

First Consolidated Exits Subprime Biz

The fallout continues. Just in....

First Consolidated Mortgage is no longer closing or accepting submissions for wholesale subprime loans.

Crevecor Goes Under

Just in.....

Crevecor mortgage is gone but a rumor has started that the company is renaming itself Heartland Funding/Mortgage. Keep you posted.

Millennium Funding Group Folds

Just in......

Due to the current market conditions in our industry, Millennium Funding Group has elected to discontinue origination of residential mortgage loans. Effective immediately , we will no longer accept new mortgage loan applications, or issue approvals on new loans. However, in order to accomodate our borrowers, and our mortgage broker partners, we will continue to fund loans on which we have sent closing documents out through May 11, 2007.

To best serve your customers, we request that you place loans currently in the pipeline on which we have not sent closing documents to other lenders.

We regret having to take this action at this time and are hopeful we can partner with you again sometime in the near future.

If you have any question please call 360-433-6260.
Thank you for your understanding.

E-Mail to MILA Workers: Business Ends Today

Employees at wholesaler Mortgage Investment Lending Associates Inc. (MILA) got an unpleasant surprise when they opened their e-mail last Friday: "It is with deep regret that due to ongoing negative market conditions MILA is forced to close its doors at the end of business today." Roughly 300 workers lost their jobs.The Mountlake Terrace, Washington-based mortgage wholesaler specialized in the subprime market through its hallmark automated online system that delivered loan commitments within seconds, minutes or hours, rather than the conventional process that could take days.The company’s mortgage lending doubled in 2003, growing from about $550 million in the prior year to well over $1 billion.The rapid growth of the business prompted founder, principal owner and CEO Layne Sapp to purchase an empty office building to house his expanding staff as MILA operations branched into other states.MILA’s growth continued into 2005 as the company made several billions of dollars in loans and brought employment to 700 workers.Foreseeing the eventual downturn in the subprime market, MILA began to pare down its workforce and move into the Alt-A market.Despite such moves, the company was unable to weather the subprime storm as loan buybacks began to haunt MILA.However long Sapp had mulled the closure of the company he began in 1989, the news for staff and brokers working for the company was swift and final.By Monday, the website was already taken down, leaving only a blank white screen.

WaMu Originations Down as Earnings Drop 20%

Loan production fell once more at Washington Mutual Inc. as quarterly earnings dropped 20% on subprime troubles, prompting the company to refinance up to $2 billion of their high-risk mortgages at fixed-interest rates below-market. Washington Mutual, the largest savings and loan in the nation, reported a net income of $784 million for the first quarter, down from $985 million in the same period a year ago. Revenue for the quarter was $3.62 billion, up from $3.59 billion one year earlier. The company’s mortgage division posted a first-quarter loss of $113 million compared with a $52 million profit during the year-ago period. Sales of subprime mortgages accounted for a quarterly loss of $164 million, overshadowing a “solid” performance in home loans to borrowers with better credit. "The decline in home loan volume from the fourth quarter was the result of the proactive steps the company has taken to reduce its subprime exposure through this point in the cycle," said Chairman and CEO Kerry Killinger.WaMu said it has scaled back its subprime portfolio and has set aside $234 million for the quarter to cover future loan losses from just $82 million in first quarter 2006. At the end of March, Washington Mutual had $20.4 billion of subprime loans, representing 9% of its $217 billion loan portfolio.The Seattle-based company reported that 71% of total volume was adjustable-rate mortgages and approximately $21.9 billion of the total was refinances.Home equity loans represented $8.3 billion of the total quarterly volume, down from $8.5 billion during the fourth quarter.Of the $37.6 in fundings for the quarter, WaMu said that about $22.7 billion came from the correspondent channel, while retail fundings represented $13.0 billion and wholesale volume accounted for $6.2 billion.Washinton Mutual said its mortgage servicing portfolio was $709.2 billion at the end of March, down from $794.8 billion one year earlier.The company indicated that it would refinance up to $2 billion of its own subprime mortgages at fixed interest rates discounted by 0.50%. WaMu has created a team of specialists to guide borrowers who are not yet delinquent but expect an ARM payment increase in the near future. Another group in the company will work with delinquent borrowers on creating financial solutions for their home loans.

Opteum Stops Taking Applications For Wholesale Channel

Real Estate Investment Trust (REIT) Opteum Inc. has announced that it has stopped accepting new applications through the conduit and wholesale mortgage origination channels at its subsidiary, Opteum Financial Services LLC, effectively shutting down those businesses.Opteum suggested that the actions are mostly the result of both deterioration in the secondary market for closed mortgage loans and a long-term weakening of consumer demand for mortgage products and services. "In the last month or so…the secondary market for mortgage loans has experienced significant distress and substantially increased volatility that was initially precipitated by lax underwriting standards, early payment defaults and high delinquency rates involving subprime mortgages and concerns over the general state of the U.S. housing market," said Jeffrey J. Zimmer, Chairman, President and CEO of Opteum Inc. "Recently, some secondary market investors in closed mortgage loans have changed their terms and have delayed settling whole loan trades involving certain Alt-A mortgage products. This has forced (Opteum) to re-market loans in respect of which it believed it had already obtained purchasing commitments, and has resulted in an estimated $22 million pre-tax loss associated with mortgage loans originated by (Opteum),” Zimmer continued.“Because we believe that the current adverse market environment may continue in coming quarters, we intend to exit the Conduit and Wholesale mortgage origination businesses." The Florida-based REIT also said the action will not affect the continued origination of loans through its network of 230 retail loan professionals in 24 offices across Georgia, Florida, Illinois, New Jersey and Massachusetts.

WMC Mortgage Cuts 50% of Staff, ResCap Cuts 1,000

WMC Mortgage, the subprime unit of General Electric Co., announced it would eliminate more than 50% of its staff as Residential Capital, the mortgage unit of GMAC LLC said it was terminating about 1,000 positions in addition to a previous round of 1,000 layoffs from January.Burbank, California-based WMC Mortgage currently employs about 1,470 workers, but plans on slashing that number down to 700.In March, the lender disclosed that it had eliminated 460 positions.The latest round of layoffs follows news that company originations plummeted to $3.4 billion in the first quarter from $9 billion during the previous three months.In addition to the workforce reductions, offices will close in Costa Mesa and San Ramon, California, as well as Addison, Texas.WMC has recently replaced some of the company’s top executives, including the chief executive officer and chief finance officer.GE acquired WMC in 2004, but the subprime unit is estimated to represent just a fraction of a percent of profit at GE in 2006. Meanwhile, Minneapolis-based ResCap said between 600 and 700 workers would lose their jobs by midyear, and a minimum of 300 vacant positions won't be filled. The GMAC unit announced in January it would layoff 800 employees through October and would leave another 200 open job positions vacant.Following the reductions, ResCap will have about 12,000 employees.In the past weeks, the company has also seen the exit of its chief executive officer, chief financial officer and treasurer.

The List Continues To Grow

MILA goes under

As of 4/20/2007 rumor has it that Mortgage Investment Lending Associates (MILA) is going under. At 4:30 CST the web site was down with the home page listing a thank you page to all the brokers that conducted business with MILA over the years. It read
"MILA would like to thank all of the mortgage brokers we've done business with over the years. Due to current market conditions, we do not have the resources available to continue lending. It is with great regret that we announce we are ceasing operations effective April 20th, 2007."
As of 9:00pm CST the website homepage is back on but you can't access the back office.