Subprime Lender Mandalay Mortgage Latest to Shut Doors
Subprime wholesaler Mandalay Mortgage is the latest in a growing line of lending operations to shut its doors this year, according to information obtained by Housing Wire. A notice on the company's website said the company has exited the non-prime wholesale business effective January 24th, and that loans already in the company's funding pipeline will be processed. No reason for the company's exit was provided, and phone calls were not returned prior to HW's press deadline. Founded in 1999, Mandalay Mortgage was a wholesale mortgage banking operation that specialized in the origination of subprime residential mortgages. The company had boasted during its heyday that management at the company boasted approximately 100 years of non-conventional lending experience. Located in Southern California, with primary operations in the Orange County region, Mandalay was one of the fastest-growing subprime finance companies in the nation, and operated in 29 states at the time of its closure. No information regarding the company's loan production volume was available at press time. Mandalay is the 10th mortgage lending operation to close its doors in early 2007. In addition to well-publicized troubles at Mortgage Lenders Network and Popular Mortgage Servicing, other recent closures have included Equibanc, Wachovia's subprime lending unit; SecuredFunding, a home equity subprime wholesaler; Origen, a manufactured housing specialist; Funcing America, a Houston-based subprime lender; and many more.