Exchange Financial (Wholesale) - Wholesale/Correspondent

"Effective October 30, 2007, Exchange Financial will be temporarily discontinuing its Wholesale/Correspondent lines of business."

According to an announcement we received today, Exchange Financial, A Mortgage Corporation is closing it's Wholesale/Correspondent operations. In a phonecall today President Dan Grzywacz states this Department accounted for about 5% of their overall business and all employees will be absorbed into their Retail Operations. HUD reports volume of $353 million in 2003 down to $111 million in 2005. Current volume is reported at $90 million for 2006, almost exclusively "A" paper.

Headquartered in Kentwood Michigan, Exchange Financial has 4 offices in Michigan and Indiana. No offices will close.

Per their announcement:

"Effective October 30, 2007, Exchange Financial will be temporarily discontinuing its Wholesale/Correspondent lines of business. This was a difficult decision but as a result of small margins and Warehousing limitations, it was something that Exchange Financial need to do in order to concentrate on its core Retail line of business.

We will no longer be accepting new submissions. Any new loans submitted that was not previously locked will be returned.

Existing submissions/approvals must be locked and have a Clear to Close by November 16th.

All existing loans must Close and Disburse by November 30th.

We apologize for whatever inconveniences this may cause, but in the condition of the Credit Markets of the day we hope you understand."

If you would like to add to this Implode, drop us a line.