Portfolio Purchases and Sales
Sales: We act as your consultant or representative, assisting with the entire process of portfolio data creation, bid request, price negotiation, sale contract execution, servicing transfer, and confirmation of receipt of purchase price.
Purchases: We act as your consultant or representative, assisting with the entire process of bidding, diligence, purchase contract execution, servicing transfer, and payment collection and administration, as well as manage the special servicing aspects of loan workouts, modifications, foreclosures, and disposition.
On your behalf, we will solicit and receive portfolio purchase opportunities from our numerous contacts on Wall Street, banking institutions and the portfolio brokerage community. Pools will be screened to determine if they meet your criteria for investment (e.g., pool size, location of property, fixed vs. adjustable, loan performance, and the availability of clear and concise servicing records from a reputable servicing entity).
Once screened and approved for potential purchase, the pool and individual loan characteristics will be reviewed utilizing our vast experience and expertise and an initial price for each individual loan will be determined.
The individual prices will be summed and a total purchase price will be provided to the seller.
The seller will have a limited amount of time to accept the bid or negotiate the price via counter-offer. (In certain circumstances, if agreed to upfront, we may provide an individual price for each loan and allow the seller to choose which loans it wants to sell based on those individual prices.)
If accepted, our legal team will provide you with our contract for purchase and sale with the goal of ensuring that we are able to obtain the appropriate representations, warranties and buyback provisions prior to expending additional time, effort and funds on the due diligence process.
Typically, once the initial bid is accepted, the loans will no longer be presented for sale to other parties. We would then perform our detailed review of the portfolio and, based on the initial bid, make a final determination if the expected value of the pool meets your return thresholds given the new information obtained in due diligence.
The final stages in the purchase process involve funding the transaction, transferring the ownership of the loans to your company and transferring the servicing of the loans to your chosen servicer. We have a long-standing relationship with various servicers and can assist you in choosing the right one for your needs.