RPM Mortgage denied recent rumors swirling around the industry that say some major acquisitions could be about to take place.
Industry sources say that RPM Mortgage, an independently owned and operated residential mortgage lender, is rumored to be buying American Financial Network, a mortgage banking firm serving the lending needs of real estate professionals, builders, and individual homebuyers.
RPM could be looking to expand its success after Standard & Poor's placed its U.S. residential mortgage originator ranking at "Above Average" for the third straight year after it reviewed the company’s origination process for prime residential mortgages, including conventional, government agency and jumbo loans.
It wouldn’t be the company’s first acquisition. Back in 2014, it acquired Regency Mortgage, a 14-branch private mortgage lender with operations in New Hampshire, Maine, Massachusetts, Vermont and Florida.
However, RPM denied the alleged acquisition. "RPM Mortgage is not in a deal with AFN Corp," said Julian Hebron, RPM executive vice president of sales and marketing in an email to HousingWire.
AFN also later denied the claims.
“We are not being acquired by RPM,” said Jonathan Gwin, AFN chief operating officer and attorney, in an email to Housingwire. “We talk to a lot of companies and wall street firms about joint ventures or raising capital. We always listen.”
But that’s not the only acquisition buzz right now. Industry sources also report that Finance of America, a national, full service mortgage banker, is finalizing two purchases of national lenders. Sources say they will announce the acquisition in the beginning of September.
Finance of America, a Blackstone portfolio company, also has a history of making large acquisitions, and in 2015 revealed that it snatched up several major lenders.
The list of its significant acquisitions included Gateway Funding Diversified Mortgage Services, Pinnacle Capital Mortgage and certain assets and operations of PMAC Lending Services. Finance of America Holdings also owns Urban Financial of America.
Finance of America did not comment on the rumors.