Walter Investment Management [stock WAC"> finalized the acquisition of Reverse Mortgage Solutions [stock RMS"> today, positioning Walter as a full service leader in the $140 billion reverse mortgage-servicing sector.
Walter announced in September that it was interested in acquiring Reverse Mortgage Solutions.
Currently servicing approximately $12.4 billion in UPB of reverse mortgages, RMS enforced an estimated $1.8 billion of reverse mortgage-backed GNMA securities. This number makes RMS this year’s fourth largest revenue mortgage servicer, and largest issuer of HMBS in the sector.
"RMS is an industry leader in all facets of the reverse mortgage space and continues to deliver strong financial and operational performance," said Mark O'Brien, CEO of Walter Investment. "Importantly, we look forward to combining the deeply experienced RMS team with the existing Walter Investment team to leverage the combined talents of both organizations."
Acquiring RMS will provide Walter Investments with sustainable growth opportunities in the servicing business.
"We believe the reverse mortgage product has significant potential for future growth, and RMS is well positioned to capitalize on the coming opportunities. We anticipate RMS will continue to be highly successful and will drive increased value for our shareholders," said O’Brien.