Aegis - Wholesale, Retail Alt-A, A

Update 2007-08-07

As you likely now know, Aegis closure is official. A Houston Chronicle article details the closure noting that some 1,200 employees *may* be laid off as a result of the closure. Given that 90% of American Home Mortgage's 7,000 employees were laid off last week, this makes for an even tougher time for mortgage professionals.

Update 2007-08-06, Aegis Wholesale closing:

We have received numerous tips this morning regarding Aegis Wholesale closing their doors today. This Broker Outpost thread is detailing the closure as information is coming out. One poster there notes:

I just got off the phone with my rep, today is everyones last day, they are handing in keys and security passes. Not funding anything. They were my main A paper lender. Any suggestions on an A paper lender that will weather this, I have to place some loans quick.

We have received numerous tips this morning regarding Aegis' closure. For example, one informant forwarded the following email from an Aegis rep:

At this time Aegis has suspended all operations. No further information is available at this time. We will forward any information as it becomes available.

We are awaiting official word of the closure. At this time, nothing has been noted on the Aegis Wholesale website (aegiswholesale.com). If you receive official word of the closure, please send it our direction.

Previously (2007-06-20):

We've gotten word that Aegis Lending has ceased accepting new loan applications from retail customers. Aegis Lending was a subsidiary of Aegis Mortgage which is one of the top 30 mortgage lenders in the country (See the cached "About" page here). Official word can be found regarding Aegis Lending's closing on their website:

Please note that effective Wednesday, June 20, 2007, Aegis Lending is no longer accepting new loan applications from retail customers. If you recently obtained a loan from Aegis Lending or submitted a loan application to us and need assistance, please call 800-988-8252. Thank you for your past business.

If you are a broker, please click here to visit the Aegis Wholesale Corporation web site.

We have been watching Aegis for some time. We originally got word of Aegis Lending's struggles on March 24^th:

I have worked for Aegis Lending for the past two years starting as a Loan Originator through Team Leader. As of Tuesday March 20th Aegis Lending, the subsidiary of Aegis Mortgage Corporation closed all but FIVE branches nationwide. Laying off hundreds possible thousands of people nationwide. This was done with no notice and only two weeks of severance pay from the already minimum wage salary. The five branches that were left open are the top producing branches in the company. While Aegis fights going under they are trying to roll out high priced prime product to maximize their revenue before the company closes it's doors. . . . I was not part of the consolidation yet left shortly after to stay away from a crashing company. I hope this will help in your countdown to the meltdown.

Aegis Wholesale is still up and operating.

Update 2007-07-11: Aegis Home Equity Imploded

Aegis Home Equity shut down their Home Equity operations as of June 29^th according to this announcement, posted on their website:

Please note that effective Friday, June 29, 2007, Aegis Home Equity is no longer accepting new loan applications. Approved applications submitted prior to this date must have all conditions submitted by July 18 and be funded no later than July 31. For questions about your loan submissions, please contact us at 888-734-1151. Thank you for your past business.

For prime and Alt-A lending solutions, please click here to visit the Aegis Wholesale Corporation web site.

As noted above, Aegis Wholesale is still operating.