Advertisement
  New DS HitList DS Connect Home About Us Contact Us Magazine Subscribe
Advertisement
Welcome to DSNews.com—delivering stories, ideas, links, companies, people, events, and videos impacting the mortgage default servicing industry. Wed Mar 10, 2010
Investors Lenders & Servicers Service Providers Attorneys & Title Companies Agents & Brokers

ResCap's Ditech Operations Relocating to Pennsylvania

GMAC Financial Services has announced plans to relocate its Ditech business, which is part of the company’s mortgage subsidiary Residential Capital, LLC (ResCap), to the corporate center in Fort Washington, Pennsylvania.

As DSNews.com previously reported, GMAC said it will be shuttering ResCap’s mortgage operations in Charlotte, North Carolina, and significantly downsizing the ResCap office in Costa Mesa, California, where Ditech was housed.

According to a statement from GMAC, Ditech “was not performing up to expectation in its previous configuration.” The company says it is taking steps to leverage the capability and capacity in its Fort Washington mortgage facility to improve the performance of its Ditech business.

The move is expected to enable improved operational efficiencies in the consumer lending channel by sharing common infrastructure between both the Ditech and GMAC Mortgage activities, the company said.

As GMAC’s online mortgage lender, Ditech offers borrowers direct access to home loan financing and bypasses broker intermediaries, according to the business unit’s Web site. Ditech offers funding for conventional mortgages, loans insured by the Federal Housing Administration (FHA), and jumbo home loans, as well as mortgage refinancing.

GMAC said it remains committed to the Ditech brand and its lending activities, and pledged that service to Ditech customers would continue uninterrupted.

The reorganization is the latest in the company’s efforts to shore up its ResCap business. When GMAC accepted a third bailout from the federal government last month, the company acknowledged the majority of the additional funding was needed for its mortgage subsidiary.

Of the $3.79 billion more shelled out by the Treasury, $2.7 billion went to ResCap. GMAC said at the time that the funding would allow it to sell off some $2 billion of ResCap’s troubled mortgage-related assets while it explored “strategic alternatives for the business.”


Author: Carrie Bay Date: 02/08/2010 Tags: Company News Users: Agents & Brokers, Investors, Lenders & Servicers

Friend's Name


Friend's Email*


Your Name


Your Email*


Security Code


Enter security code*

Message



Recent News
Advertisement

Sign up for daily e-mail updates.


Do you have a news tip, story idea, or suggestion for DSNews.com or DS News magazine?

Simply e-mail editor@dsnews.com.

Whether you choose to tell us a little about yourself or prefer anonymity, we appreciate your contribution!



About Us

Since its launch, DS News magazine has positioned itself at the forefront of an evolving industry. Always current with the most up-to-date default servicing news, DSNews.com keeps you informed through daily Web casts, community forums, and a wide range of industry resources.

Home About Us Contact Us Magazine Subscribe