Lenders Direct Capital Corporation
Lake Forest, Calif.-based Lenders Direct Capital Corporation is the lastest subprime operation to shut its doors, sources have confirmed to Housing Wire. CEO Michael McQuiggan cited the lack of investor demand for their loan products and the current state of the U.S. nonprime lending industry as factors in reaching the decision to cease wholesale originations. No word was given regarding loans already in the company’s pipeline. According to the Mortgage Bankers Association, LDCC originated 8,692 loans worth $1.23 billion during 2005, and ranked 197th on a list of the top 300 single-family home purchase loan originators.