Impac Mortgage Holdings (IMH) is in talks to acquire the origination business of a mortgage originator to complement its current business model.
The acquisition would fall in line with the lender’s current growth in the market and positions the company to continue to roll out its new ALT Qualified Mortgage loan programs to consumers directly.
At the beginning of the year, Impac broke into the non-QM market, offering four new products: Alt-QM Jumbo, Alt-QM Agency, Alt-QM Income and Alt-QM Investor.
“We believe there is an underserved market for these programs where certain borrowers are finding financing for purchase or refinance is either non-existent or available with stringent and costly parameters,” Bill Ashmore, president of Impac Mortgage, said at the time.
“We are not new to the non-agency space,” Ashmore continued. “We think this market is very similar to what we saw in 1995 when we first created Alt-A loans, and subsequently originated to $90 billion in that product from 1995-2007.”
So far, there have been no definitive agreements, and the company can make no assurances that the company it is looking to acquire will continue to negotiate until favorable terms can be reached, nor is there any assurance that such an agreement can or will ever be achieved.
Assuming the parties enter into a definitive agreement, the consummation of such acquisition will be subject to certain conditions.