A pool of distressed government home loans has been purchased by a unit of Ocwen Financial Corp., and more such deals could be ahead.
The Atlanta-based firm said Friday that the delinquent Federal Housing Administration mortgages were acquired from Ginnie Mae Pools.
Subsidiary Ocwen Loan Servicing LLC, which already serviced the loans, was also the entity that acquired the loans.
The sale involved 1,705 delinquent FHA-insured loans for $253.1 million.
The deal closed on Dec. 1, and the loans were sold on the same day to an unrelated third party. However, Ocwen retained the servicing.
Ocwen noted that it began the Ginnie Mae buyout program in the first-quarter 2014.
“We expect to execute more such purchases in the next few months, as long as market conditions are favorable,” Ocwen Chief Investment Officer John Britti stated in the news release.
