Coastal Banking Company’s Wholesale Mortgage Division Passes $1 Billion Loan Production Milestone
BEAUFORT, S.C.,Â — Coastal Banking Company Inc., the holding company of CBC National Bank, which operates divisions including Lowcountry National Bank in Beaufort, S.C., and First National Bank of Nassau County in Fernandina Beach, Fla., announced that in June its wholesale mortgage division reached the $1 billion milestone in loan production.
The division, based in Atlanta, began operations in September 2007 utilizing a conservative, risk-averse business model, originating primarily full-documentation, conforming mortgage loans that are pre-sold into the secondary market to eliminate nearly all interest-rate risk. In addition to the loans sold into the secondary market, more than $38 million in loans originated by this division have been added to CBC National Bank’s portfolio through June 30, 2009, as part of a strategy to shift concentration risk away from commercial real estate loans and increase the relatively less risky one-to-four family residential loans.
“One of the keys to our success was the fact that we entered the wholesale mortgage industry at a time when many mortgage lenders were exiting the business, leaving a gap in service,” said Charles Wagner, senior vice president of CBC National Bank’s wholesale division. “In addition, we were able to create the division with nominal operational costs and free of the risk exposure that was troubling much of the industry due to past liberal lending practices. Our growth to date has far exceeded our expectations, and the division has been a significant contributor to CBC National Bank’s earnings.”
During the first 6 months of 2009, CBC National Bank’s wholesale division has funded over $490 million in one-to-four family residential mortgages, or an average of more than $81 million per month. While the initial surge in lending volume was concentrated more in refinance transactions, loans funded to finance home purchase transactions has steadily increased to represent more than half of all loans funded in June 2009.
In August 2008, the bank obtained regulatory approval to originate loans insured by the Federal Housing Administration (FHA). In less than a year, the number of FHA loans has grown to represent approximately one-third of the total volume of loans funded by the wholesale division.
The bank has been able to support this significant increase in the level of wholesale residential mortgage loan originations in 2009 by leveraging the funding it received in December 2008 from the Treasury Department’s TARP Capital Purchase Program. Residential funding levels at the wholesale division doubled in the six full months following receipt of the TARP proceeds as compared to the prior six month period.
Recently, the bank entered into a software license and support agreement with Avista Solutions Inc., to utilize their web-based mortgage origination software. This new software, which should be operational within the next 90 days, will facilitate the continued growth of the wholesale division in a cost-efficient manner while providing top quality customer service to the bank’s mortgage broker customers.
“We plan to leverage our early success and current favorable wholesale market conditions to grow beyond our initial metro Atlanta market,” said Steve Ralys, senior vice president of the wholesale division. “Our goal is continued expansion in the markets across CBC National Bank’s footprint of North Florida, Georgia and South Carolina. The added functionality and efficiency we expect to achieve with the Avista Solutions software will provide our staff and customers with state of the art tools to submit, process and close their loans efficiently, while offering enhanced pipeline management to support our conservative, low-risk approach to wholesale lending.”
About Coastal Banking Company Inc.
Coastal Banking Company Inc., based in Beaufort, S.C., is the $487.9 million-asset bank holding company of CBC National Bank, which operates as Lowcountry National Bank in Beaufort, S.C., First National Bank of Nassau County in Fernandina Beach, Fla., and The Georgia Bank in Meigs, Ga. CBC National Bank, which is headquartered in Fernandina Beach, provides a full range of consumer and business banking services through full-service banking offices in Beaufort, Fernandina Beach, Meigs, Hilton Head, S.C., and Port Royal, S.C. The company also operates a wholesale lending division based in Atlanta and commercial loan production offices in Jacksonville, Fla., and Savannah, Ga. The company’s common stock is publicly traded on the OTC Bulletin Board under the symbol CBCO. For more information, please visit the company’s Web site, www.coastalbanking.com.
About Avista Solutions
Avista Solutions is a financial services software company that combines years of mortgage industry experience with powerful technology skills to deliver integrated solutions to lenders. Avista’s web-based wholesale, correspondent, retail and consumer direct platforms are designed to streamline the origination process, increase loan production, reduce operating costs and improve customer service. Avista Solutions provides the most innovative technology in the mortgage business.
FORWARD-LOOKING STATEMENTS AND ASSOCIATED RISK FACTORS
This release contains forward-looking statements including statements relating to present or future trends or factors generally affecting the banking industry and specifically affecting Coastal’s operations, markets and products. Without limiting the foregoing, the words “believes,” “anticipates,” “intends,” “expects,” or similar expressions are intended to identify forward-looking statements. These forward-looking statements involve risks and uncertainties. Actual results could differ materially from those projected for many reasons, including, without limitation, changing events and trends that have influenced Coastal’s assumptions, but that are beyond Coastal’s control. These trends and events include (i) changes in the interest rate environment which may reduce margins, (ii) not achieving expected growth, (iii) less favorable than anticipated changes in the national and local business environments and securities markets, (iv) adverse changes in the regulatory requirements affecting Coastal, (v) greater competitive pressures among financial institutions in Coastal’s markets, (vi) greater loan losses than historic levels, and (vii) difficulties in expanding our banking operations into a new geographic market. Additional information and other factors that could affect future financial results are included in Coastal’s filings with the Securities and Exchange Commission.
All written or oral forward-looking statements are expressly qualified in their entirety by these cautionary statements. Please also read the additional risks and factors described from time to time in reports and registration statements filed with the Securities and Exchange Commission. Coastal Banking Company, Inc. undertakes no obligation to update these forward-looking statements to reflect events or circumstances that occur after the date on which such statements were made.
Share on Facebook
Fitch Upgrades Green Tree’s Resi Special Servicer Rating
Fitch Ratings has taken rating actions on Green Tree’s U.S. residential servicer rating(s) as follows:
–Primary servicer rating for subprime product affirmed at ‘RPS2-’;
–Primary servicer rating for HLTV product affirmed at ‘RPS2-’;
–Primary-Specialty servicer rating for Second Lien product upgraded to ‘RPS2′ from ‘RPS2-’;
–Primary servicer rating for HELOC product assigned at ‘RPS2′;
–Special servicer rating upgraded to ‘RSS2′ from ‘RSS2-’;
The rating actions are based on Green Tree’s experienced management and staff, effective default management, strong internal controls and robust servicing technology. In addition, the rating actions reflect Green Tree’s focused training and leadership programs and expanding product services.
Fitch does not publicly rate the credit and financial strength of Green Tree. However, Fitch’s financial institutions group reviewed Green Tree’s financial statements to provide an internal assessment, as a company’s financial condition is an important component of Fitch’s servicer rating analysis.
As of June 30, 2009, Green Tree’s servicing portfolio totaled 647,261 loans for $24.2 billion, including 29,028 subprime loans for $11.9 billion; 12,112 HLTV loans for $306,5 million; 5,895 HELOC loans for $288.6 million, 90,372 closed-end second loans for $3.8 billion; and 506,570 manufactured housing loans for $15.2 billion.
On Oct. 17, 2007, Green Tree servicing was acquired by a consortium lead by Centerbridge Partners, L.P. Green Tree’s servicing operations are headquartered in Tempe, AZ with three other servicing centers located in Saint Paul, MN; Rapid City, SD; and Fort Worth, TX. Green Tree also has one origination (refinance) center in Tustin, CA and 31 regional offices throughout the U.S. Green Tree’s senior management is well-seasoned, averaging over 25 years of industry experience and 10 years of company tenure.
Green Tree continues to grow its residential servicing business by expanding its back-up servicing, adding products such as HELOC and deficiency collections, adding new strategic partners and adding a new channel of growth as Trustee. In the last 18 months Green Tree has added $14.2 billion in servicing to its portfolio. Green Tree is currently servicing deficiency collections for 240 securitizations.
Fitch’s review confirmed that Green Tree has the requisite management, training, technology and controls necessary to manage its primary subprime, HLTV, HELOC and closed-end second lien products as well as special servicing. However, Fitch will continue to monitor Green Tree’s residential servicing platform and performance in the current high delinquency environment.
Fitch rates residential mortgage primary, master, and special servicers on a scale of 1 to 5, with 1 being the highest rating. Within some of these rating levels, Fitch further differentiates ratings by plus (+) and minus (-) as well as the flat rating. For more information on Fitch’s residential servicer rating program, please see Fitch’s report ‘Rating U.S. Residential Mortgage Servicers’, dated Nov. 29, 2006, which is available on the Fitch Ratings web site at ‘www.fitchratings.com’.
Fitch Ratings, New York
Margaret Sweeney, +1-212-908-0712
Diane Pendley, +1-212-908-0777
Sandro Scenga, +1-212-908-0278
Share on Facebook
Crye-Leike. Realtors Takes Agent Marketing to New Heights
September 2, 2009â€”Crye-Leike, Realtors announced a major advancement in the way the company and its sales associates are now marketing and promoting real estate listings and sales activity across the MidSouth.
According to the company, the â€œmarketing breakthroughâ€ for Crye-Leike comes with its recently signed agreement with Austin, Texas based QuantumDigital to partner with the nationâ€™s 6th largest real estate firm on its direct mail and on-demand printing. Crye-Leike will be moving the bulk of its direct mail and print marketing collateral from an â€œin-houseâ€ direct fulfillment facility to QuantumDigitalâ€™s Web-to-print online portal for processing, production and mailing.
â€œQuantumDigitalâ€™s technology will provide our agents the ability to go online to order â€˜Just Listedâ€™ and â€˜Just Soldâ€™ cards and other pieces and have them in the mail stream the very next business day,â€ said Keith Sullivan, Crye-Leike, Realtors Senior Marketing Director. â€œWeâ€™re confident that the flexibility to order online 24/7 and have the system integrated with the MLS for agentâ€™s listing data and photos will be a great advantage for all of our agents, putting them a step ahead of competitors.â€
â€œThe technology that has come out within the past three years is making it more difficult for real estate companies to execute direct mail fulfillment internally,â€ explained Gurtej Sodhi, Crye-Leike, Realtors CIO & Corporate Executive Vice President. â€œWeâ€™re in the real estate, mortgage, title and insurance businesses. By turning the mail process over to QuantumDigital, Crye-Leike will be able to focus on our core businesses.â€
For more information, visit www.quantumdigital.com
Share on Facebook
Only Three Homes Remain at Bowen Family Homes’ Alcovy Falls
Only three single family home remain; townhomes move-in ready.
Atlanta, GA, August 26, 2009 –Bowen Family Homes is pleased to announce that it recently lowered prices to as low as $101,900 at its Alcovy Falls community in Lawrenceville. With only three single family homes remaining and move-in ready townhomes priced to sell, it is only a matter of time before these homes are off the market.
â€œIt is hard to find such affordable prices for new homes that include a warranty,â€ said Steve Palmer, Bowen Family Homesâ€™, chief financial officer. â€œThere are a lot of homes available on the market, but not many new homes that offer affordable pricing and all of the benefits that come with purchasing a new home as opposed to a foreclosure or resale. We are pleased that we may offer the opportunity for a first-time homebuyer to get an amazing home in a neighborhood with wonderful amenities and a price theyâ€™re comfortable with.â€
Alcovy Falls offers single-family and townhome options ranging in price from $101,900 to $115,900. Move-in ready townhomes range in size from 1,301 to 1,386 square feet, and offer two bedrooms with two and one-half baths. The communityâ€™s three remaining single-family homes sized from 1,351 square feet to 1,484 square feet offer three bedrooms with either two or two and one-half baths. One ranch plan is also available. All homes offer dramatic vaulted or sloped ceilings (per plan); patios or decks; luxurious ownerâ€™s baths featuring marble vanities and 42-inch tubs; and spacious kitchens with black Whirlpool appliances, double bowl stainless steel sinks and 30-inch cabinets. In addition to front and back yard lawn maintenance, homeowners at Alcovy Falls enjoy a neighborhood pool and cabana, tennis courts, sidewalks and streetlights throughout.
â€œAlcovy Falls is the ideal community for first-time home buyers, especially with the reduced prices and federal and state tax credits,â€ said Maria De Leon, a Bowen Family Homes residential real estate agent â€œLawrenceville offers a close proximity to downtown Atlanta, great schools and lots of parks. It is also convenient to three of Georgiaâ€™s biggest malls, plenty of public libraries and excellent health care facilities.â€
Nearby, Bogan, Collins Hill, Dacula and George Pierce Parks offer plenty of room for kids to run and play, to walk the dog or to relax with a good book and enjoy the outdoors. Children living in Alcovy Falls will attend Alcova Elementary School, Dacula Middle School and Dacula High School.
To visit Alcovy Falls, take I-85 North to Hwy 316 East. Turn Right on Cedars Road. Cedars Road becomes Rock House Road. Continue straight at 4-way stop on E. Rockhouse Road. Alcovy Falls will be on the left. OR Highway 124 North/East to Right on Highway 29. Turn Right on Cedars Road. Cedars Road becomes Rockhouse Road. Continue straight at 4-way stop on E. Rockhouse Road. Alcovy Falls will be on the left.
Since 1969 the Bowen name has stood for excellence in new home construction and community development. Recognized as the 25th largest privately owned builder in the country by Builder Magazine for 2005, Bowen Family Homes is a dynamic homebuilder with operations in Georgia, Florida and Texas. The Atlanta Business Chronicle ranked Bowen Family Homes 5th among metro Atlanta builders in 2007 and 40th among Atlantaâ€™s Top 100 Private Companies for 2007. Additionally, Bowen Family Homes was named the Georgia Family Business of the Year for medium sized companies by Georgia Trend and the Cox Family Enterprise Center at Kennesaw State University in 2006. Bowen Family Homes was ranked 83rd on the 2007 Professional Builder Giant 400 largest homebuilders in the United States list. These successes have been achieved by simply offering the best new home value in all price ranges. Earlier this year Bowen Family Homes launched their social media marketing plan with a new company blog, www.bowenfamilyhomesblog.com and presence on several social media outlets such as Twitter, twitter.com/bowenfamilyhome, Facebook, www.facebook.com/bowenfamilyhomes and YouTube. For more information about Bowen Family Homes, please call their Atlanta region headquarters at 678-325-4554 or 1-877- MY BOWEN or visit online at www.bowenfamilyhomes.com.
Share on Facebook
Current Mortgage Ratesâ€¦via Twitter?
Hartford – Nationally recognized mortgage lender and broker now providing real-time updates on mortgage industry news and trends.
Tweet! Tweet! Twitter subscribers can now receive instant updates regarding the lowest current mortgage rates for fixed-rate mortgages, jumbo mortgages, FHA mortgage and adjustable-rate mortgages. As an industry-leading direct mortgage lender and mortgage broker, Total Mortgage Services is able to offer unparalleled industry-leading pricing as well as a diverse product mix that is able to meet the needs of any type of borrower. The creation of a Twitter account represents another step forward for Total Mortgageâ€™s web marketing initiative.
â€œIn the past two years, weâ€™ve made a concentrated effort to increase awareness of the Total Mortgage brand through web marketing techniques such as search engine optimization and social networking,â€ says John Walsh, founder and president of Total Mortgage. Twitter provides us an innovative channel for providing real-time mortgage rates and broadcasting other developments in mortgage industry.â€ says Mr. Walsh.
Although the Total Mortgage Twitter account has only been in existence for a few months, the company has already amassed hundreds of followers. Instant updates or â€œtweetsâ€ made by Total Mortgage include topics such as current mortgage rates, opportunities for mortgage refinancing, and mortgage â€œFrequently Asked Questions,â€ to name a few.Â
Links to Total Mortgageâ€™s blog â€œMortgage Rates and Trendsâ€ on Twitter have also kept subscribers abreast of the most recent developments in the mortgage industry. These content-rich mortgage blog articles cover a wide array of topics, ranging from open market operations performed by the Federal Reserve to developments surrounding the FHA Mortgage Loan Modification Program.
â€œGetting a mortgage loan is a major financial commitment,â€ says Mr. Walsh. From the standpoint of the borrower, having the most relevant mortgage rates and industry analysis is absolutely crucial to making the most well-informed decision when purchasing a home or refinancing. Through Twitter, Total Mortgage can continue maintaining its commitment to offering exceptional customer service by empowering our borrowers with insightful, invaluable information.â€
Readers can follow Total Mortgage on Twitter at http://www.twitter.com/totalmortgage or on the companyâ€™s blog, â€œMortgage Rates and Trendsâ€ at http://www.totalmortgage.com/blog.Â
Total Mortgage Services, LLC, provider of some of the nationâ€™s lowest current mortgage rates, is an industry leading direct mortgage lender and mortgage broker, having funded over $4 billion in mortgage loans since 1997. Licensed in over twenty states, Total Mortgage offers a variety of products and programs including fixed-rate loans, adjustable-rate loans (ARMs), jumbo loans, FHA mortgages and more. Visit the http://www.totalmortgage.com for todayâ€™s current mortgage rates.
Public Relations Manager
326 West Main Street
Milford, CT 06460
Share on Facebook