HomeBanc Mortgage Corporation - Wholesale, Retail A

Update 2007-08-08

The AJC has an article out detailing the closure of HomeBanc. The article notes that HomeBanc lent approximately $5 billion in 2006 mainly on Georgia and Florida properties. The company is filing for bankruptcy protection. Further:

HomeBanc is keeping its investment portfolio, which is valued at $4.5 billion. It also is retaining its mortgage servicing rights portfolio, which is worth $8.6 billion. Mortgage servicing rights entitle a company to collect payments and provide other customer service on loans for the life of the loans. Servicing generates fee income.

The article notes that Homebanc has approximately 1,100 employees currently.

Original Post 2007-08-07

News has been released that HomeBanc Mortgage Corporation (homebanc.com) has been unable to continue funding loans, has ceased accepting mortgage applications and will be jettisoning some portion of their business to Countrywide Financial. Per the press release.

The Company at present is unable to borrow on its credit facilities and was unable to fund its mortgage loan funding obligations beginning August 6, 2007. Accordingly, the Company does not anticipate funding any future mortgage loans, and is no longer accepting any mortgage loan applications or funding any mortgage loans previously originated and not yet funded. The Company is seeking the most appropriate course of action to preserve the value of its remaining assets.

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HomeBanc also announced that it has reached agreement with Countrywide Financial Corporation whereby Countrywide will acquire certain assets related to HomeBanc's retail loan origination operations ...

We are working on filling out details of how large HomeBanc Mortgage's operations were. If you have any information regarding their monthly loan volume (peak), loan mix or number of employees, please let us know!