JP Morgan Chase (JPM), Bank of America (BAC), and Ocwen Financial Corporation (OCN) are the only mortgage servicers to increase cure and cash flow rates in the second quarter, according to Moody’s Investors Service.
Chase improved across all mortgage types, while BofA improved its jumbo cures.
Ocwen saw improvements mainly in its subprime portfolio. Further, the recent expansion-through-acquisition strategy does not appear to be harming operations.
Recently Ocwen purchased Homeward Residential from WL Ross & Co.
“Ocwen has proven itself able to handle its rapid portfolio growth, in light of efficiency gains in both its own longstanding portfolio and its recently acquired portfolios,” states the latest servicer dashboard. “The servicer efficiency metric for its longstanding portfolio improved to 0.37 from 0.33.”
“The servicing efficiency of Saxon’s portfolio, which Ocwen started acquiring in increments beginning in November 2011, also improved during the second quarter. The servicing efficiency of Litton’s portfolio, which Ocwen had acquired in September 2011 about two quarters prior to acquiring Saxon’s, also improved.”
jgaffney@housingwire
