OMG Wholesale Lending - Agency, "A" paper

Their web site, at the moment a blank white page, simply states "Temporarily unavailable. Please try again later." OlympiaWest Mortgage Group LLC owns OMG Wholesale, although when we called, they denied it.

According to our conversation with one of the owners of OMG Wholesale Lending, First Collateral Services (after talks and negotiations last week) abruptly and unexpectedly cut off their warehouse lines.

In an emailed announcement:

Effective 2/20/08: OMG Wholesale has suspended its operations. Because of the current volatile mortgage enviroment, all loan approvals were expressly conditioned as follows:

"LOAN APPROVAL SUBJECT TO ELIGIBILITY AND PRICING REVIEW PRIOR TO FUNDING. LOANS NO LONGER SUPPORTED WILL BE SUBJECT TO CHANGE OF PRICING AND/OR LOAN TERMS"

At present, the company's warehouse provider has provided written notice of its intention to exit the warehouse business and has suspended funding to the company effective February 20, 2008.

Accordingly, all loans are no longer supported and no longer eligible for funding.

Reaction was swift, with Brokers emailing us for answers, looking for solutions:

"One of my loan officers was just informed that OMG mortgage will not be funding a loan we just closed due to loss of warehouse funding. One of the principles, Randy Wilson, told my loan officer "were done"."

OMG wholesale was previously funding upwards of $40 million per month, and hopefully will return to business within a new Bank, or with new funding sources(no word on the future of OlympiaWest). Although the web site appears down, the link to their last rate sheet is still available here. More information should be coming in shortly, and we will keep you updated. If you have info, please email us.