Selene Residential Mortgage Opportunity Fund LP has outbid two other firms to acquire a portfolio of foreclosed homes from the now-defunct Taylor Bean & Whitaker.

A U.S. bankruptcy judge in Jacksonville, Florida approved the sale to the Selene fund last week. According to American Banker, the asset pool includes 1,046 bank-owned residential properties.

Selene is paying approximately $81 million for the portfolio. As DSNews.com reported earlier this month, the portfolio has been appraised at $330 million. The company’s offer beat out competing bids from DLJ Mortgage Capital and William Blake Street LLC.

Selene Residential Mortgage Opportunity Fund was founded in May 2008 by Lewis Ranieri and other finance veterans to invest in distressed residential real estate.

Ranieri is often called one of the fathers of the mortgage-backed securities (MBS) market.

A recent expose by Fortune described the mission of Ranieri’s $825 million Selene fund as simple: to buy delinquent mortgages at a deep discount, work with homeowners to get them paying again, and resell the now stable loans for profit. To get homeowners to do their part, the magazine said, Ranieri is substantially lowering their mortgage balances.