HOUSTON - United Savings Association of Texas said it has received court approval to purchase the loan-origination operations of Commonwealth Mortgage Co., which filed for protection under Chapter 11 of the U.S. Bankruptcy Code on July 13.
The purchase price will be $1.75 million. United Savings is acquiring 10 origination offices and two satellite offices in New England.
Barry C. Burkholder, United's president and chief executive officer, said the company would use the name Commonwealth-United Mortgage in New England.
Since July 14, United Savings has been funding certain obligations of Commonwealth Mortgage, including mortgages whose applications had been accepted and put into process but had not yet been funded, and other loans that had closed but had not yet been funded.
United Savings has also been funding new mortgage whose applications have been submitted to Commonwealth Mortgage since July 15.