Home Loan Consultants, Inc. - Retail - Agency, FHA, Reverse
Founder and (former) President John Butcherine has confirmed with us that Home Loan Consultants, Inc. has officially ceased operation, and the transition of the remaining employees to Golden Empire Mortgage branch is complete. The web site (view cached) now displays the message "Please come back later."
Mr. Butcherine sent us the following statement:
"Our final date of operation was January 15th 2009. We tried everything possible to keep the company open. The high payroll and lack of loans led to a small losses that the warehouse lines were not willing to tolerate and thus did not renew our line. On top of this our other two warehouse lines went out of business--so much for a backup plan. As a matter of fact the warehouse line that did not renew us is now having problems and the closing of our banking business would have been inevitable. The loans we did close were solid "A" paper full doc loans with low LTVs. This has truly been the best learning experience in my life and I wish everyone the best of luck and success."
From the Ailing/Watch List - 2008-01-05: We were contacted by HLC President John Butcherine, who provided us with the following:
Butcherine told us Home Loan Consultants saw a peak of about 150 employees and had 22 net branches at one time (one of which was in Newport Beach, CA). A strategic decision was made to withdraw from the net branching model and bring all originations in-house in mid 2007, he said. While HLC had been exploring different options to achieve a greater economy of scale, Butcherine noted the arrangement with GEM was not yet finalized, and Home Loan Consultants Inc. would be maintaining its licenses and investor relationships.
Original Listing - 2009-01-05: From a recent tip we received, Home Loan Consultants, Inc. of Newport Beach, CA reportedly notified employees on Wednesday, December 31, 2008 that they would no longer be in operation. According to the source, founder and CEO John Butcherine made a decision to shutter the company and "re-emerge as a net branch to GEM mortgage (Golden Empire Mortgage, Inc.)." The office, located at 6815 Flanders Drive, #150 in San Diego, CA now appears on the list of GEM branch locations as "Carlsbad 951." More from the tipster:
"John Butcherine, has decided to take the money and run. With a pending judgment from an Arizona case, Mr. Butcherine chose to stop paying his debts and take the proceeds from the last 3 months of production... said he would be abandoning his current facility at the end of January."
We have not been able to verify these specific allegations, but there were a number of cases filed in San Diego County against Home Loan Consultants, Mr. Butcherine or others throughout 2006 to 2008, including one collection and another for "breach of contract." Public records show at least five more lawsuits naming Home Loan Consultants originated from the news reported on 2008-04-28 by Cnet when Lending Tree announced it was suing Home Loan Consultants and several other mortgage lenders for an alleged security breach, saying "Several former employees of LendingTree are believed to have taken company passwords and given them to a handful of lenders who then accessed LendingTree customer data files."
Our source indicated Home Loan Consultants, Inc. was doing as much as $60 million per month at one time. According to an "Entrepreneur Profile" about John Butcherine on Dun & Bradstreet's AllBusiness.com, the company reported revenues of $15 million in 2006, with 25 employees.
Pending additional verification, we are placing this company on the Ailing/Watch List for the moment. Contact us if you have more details or feel free to leave your comments below.
loangirl09 at 22:51 2009-01-08 said:Georgia you sound like a loan officer posing as a borrower. HLC does not deserve to go down. As a matter of fact we are coming back stronger than ever. You want to talk about who deserves to go down , its these loan mod companies that tell borrowers to skip there mortgage payment and then collect an up front fee of $3,500 and dont do anything that the borrower couldnt do themselves. Its part of the reason that we continue to be in this mess. Permalink
loangirl09 at 22:57 2009-01-08 said:Its very SUNNY out here and probably tough to find a job--We have openings for loan officers if you want to work in the SON. Permalink
loangirl09 at 20:35 2009-02-26 said:I guess everyone that is on this implode meter didnt know what they were doing. Or could it have been because of the worst credit crisis in history that we have this website. There are very few who are still in the business. The owners did everything they could to keep everyone happy and the company going. I know that they went several months not even paying themselves in hopes that the market would turn around and they could begin a growth strategy. Again, worst credit crisis since the depression. Im sure people are upset that they got layed off or lost there job and the posters here are venting. That is OK but I have known the owners for 5 years and they are hard working, honest people that were just trying to get ahead in life. The owners do know how to put toghether a full doc loans and saying that they dont is crap. They used to work for a large institution that all they did was full doc loans. As far as fights with the between the owners I can say that I did experience a few , a few over 5 years is not bad. There is always stress in running a business and people argue all the time. I know that they would wish everyone all the success in the world as they did for me. They went so far as helping me find a new job, create a resume and put them down as a reference. I am greatful for my experience at HLC it has given me a ton of experience and skills that I can carry into ANY lending institution. Permalink
loans4ever at 15:02 2009-03-03 said:Loangirl09 appears to be the co-owner trying to pass herself off as a client and former employee in past comments posted. Permalink
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Important: This company is on our list of lending operations that have "imploded". However, please note that "imploded" is a somewhat subjective and does not necessarily mean operations are ceased permanently: it can mean bankruptcy filing, temporary but open-ended halting of major operations, or "firesale" acquisition. All information here is provisional, and may contain inaccuracies (especially newer information). If you are planning on doing business with this company or any other one listed on this site, you should inquire with them directly on whether they can still meet your needs. Many are still operating in some capacity.