Wall Street's deeper involvement in mortgage lending was a boon to acquired lenders who benefited from better access to capital. Now the tide has turned for some, as investment banks increasingly push delinquent loans back to originators -- some of which have found themselves unable to handle the returns.
Clash Management: Wall St. Buyers Integrate Their Mortgage Deals
Wall Street has a long history of ill-fated forays into the mortgage business; nearly two decades ago Salomon Brothers Inc. cashed out of a home lending joint venture with Prudential Insurance Co. after finding the culture of bond trading did not mesh with that of mortgage banking. Processing Content Barclays, Credit Suisse Make Originator Deals
Two investment banks that said last year they were in no rush to buy mortgage originators announced deals to buy such companies Friday. How Prime Product Undid A Subprime Wholesaler
Unlike other subprime lenders that have shut down in recent weeks as funding dried up, Mortgage Lenders Network USA Inc. says the discontinuation of its main business line can be traced to problems with a prime product. Review 2006/Preview 2007: How the Subprime Mortgage Sector May Look Post-Shakeout
With several subprime mortgage lenders already out of business, this year could bring more than just a garden-variety industry shakeout. Ownit Said to Have Sought a Bailout from Merrill Lynch
Merrill Lynch & Co. rebuffed a request by executives at Ownit Holdings LLC for a capital infusion that would have kept the subprime lender afloat, people close to both companies said. Private Equity May Fuel Wall Street's 2007 Lender Buying
Wall Street firms will probably continue buying mortgage lenders next year, observers say, but this time they will need the help of private equity firms to absorb some of the risk. null Ownit Selloff Try Nixed by Buyback Hit
The demise of Ownit Holdings LLC shows that even with Wall Street and private-equity firms hunting for bargains, in today's brutal subprime market some companies are not even salvalgeable as acquisition targets. Deutsche Bank Shopping for Servicer
Deutsche Bank AG, which bought two home-loan originators this year, says it plans to buy a servicer next year as it tries to expand and vertically integrate its mortgage-backed securities business. UBS Wholesale Mortgage Stance Differs from Rivals'
Among the investment banks that have entered wholesale mortgage lending, UBS AG stands out - and not only because it is trying to build a business organically. Warehouse Lending as Sales Tool for Correspondent Loans
In recent years a number of mortgage aggregators, including several Wall Street firms, have entered, reentered, or expanded in the field, with the goal of using warehouse lines to win loans from correspondents. Ownit Head: First Franklin to Remain a Rival After Sale
First Franklin Financial Corp. and Ownit Mortgage Solutions Inc. have much in common: Bill Dallas, who founded First Franklin, now runs Ownit. Merrill Wins Bidding for First Franklin
To catch up to rivals that have been vertically integrating their mortgage desks, Merrill Lynch & Co. Inc. has a deal to buy the nonprime lender First Franklin Financial Corp. and two other National City Corp. units for $1.3 billion. H&R Block Loan Buyback Charge Startles the Street
H&R Block Inc.'s warning last week that it would take a charge for repurchases of mortgages that turned delinquent early underscored how much tougher loan buyers have become about enforcing buyback provisions, observers said. Secondary Pressures in Nonprime
Two painful trends that surfaced in the secondary market for nonprime mortgages late last year are only getting worse, judging from many firms' second-quarter results. What's Behind Wall Street Players' Mortgage Deals
Adding mortgage heft at this point in the cycle seems downright contrarian - except everybody is doing it. Latest Buyer in Mortgages Is Morgan Stanley
Morgan Stanley has joined the growing list of investment banks making major investments in their mortgage securitization businesses by buying originators, servicers, or both. 2Q Earnings: IndyMac Chief Criticizes Wall St. Origination Plans
IndyMac Bancorp Inc.’s chairman and chief executive questioned recent efforts by investment banks to get more directly involved in mortgage originations. MortgageIT CEO Shares Post-Deal Vision
The head of MortgageIT Holdings Inc. says selling it to Deutsche Bank AG will help sustain his company's explosive growth, partly for the same reason it grew after it went public: access to capital. Deutsche to Acquire MortgageIT
In another sign that Wall Street firms' interest in originating the mortgages they trade is only growing, Deutsche Bank AG has agreed to buy MortgageIT Holdings Inc. for $429 million. Origination Play at Goldman
In another sign of Wall Street's heightened interest in acquiring mortgage originators to feed their securitization businesses, Goldman Sachs Group Inc. has taken a minority stake in a wholesale home-lending start-up. | 
