Summit Mortgage Company - Wholesale, Retail Alt-A, Conforming

It has become public knowledge that Boston-based Summit Mortgage Company (summitmortgage.com) has declared that they will be winding up operations, having now laid off some 140 employees. Per an article in the Boston Herald:

Boston's Summit Mortgage Co. laid off most of its 140 employees yesterday and disclosed plans to halt operations at month's end, becoming the latest casualty of the mortgage market's meltdown.

"This heartbreaking decision was made only after we considered all possible alternatives," Summit CEO Richard Fedele said. "The current mortgage environment proved to be insurmountable."

The article goes on to note that Fedele expects a few employees to remain to wind up existing mortgages and we assume wind down remaining operations. Fedele does not expect Summit to enter into bankruptcy.

Summit's website had this to say about their closure:

BOSTON, Mass., October 11, 2007 --- Summit Mortgage announced today that it will no longer accept new loan applications and will wind down operations. The company expects that all loans currently in process will be funded.

The Company has been bombarded by a rapidly deteriorating mortgage environment and despite recurring capital infusions is unable to continue operations.

Finally, regarding the size of Summit's operations, thetruthaboutmortgage had the following to say:

According to their website, Summit Mortgage Co. was founded in 1996, licensed in 15 states, and closed more than $1.2 billion in mortgage loans annually.

Note that this is a separate Summit Mortgage than number nineteen on the "Imploded" list.