A huge sale of nonperforming first mortgages at Flagstar Bancorp Inc. reduced the company’s nonperforming first liens by 70 percent.
News of the deal came Monday.
According to the Troy, Mich.-based firm, approximately $474 million of non-insured, non-performing, residential first mortgages were sold.
“Had the sale been completed on September 30, 2010, the level of residential first mortgage non-performing loans would have declined by approximately 70 percent,” the statement said.
Flagstar reported that its first mortgages held for investment as of Sept. 30 were $4.5 billion.
