Secured Bankers Mortgage Company (SBMC) - Wholesale Alt-A, Jumbo

In a letter dated today, Lance Tendler, (President) issued the following statement:

"To all SBMC Mortgage Customers and Vendors: December 7, 2007

I regret to inform you of the Company's decision to terminate our mortgage originations activities. Effective today, December 7, 2007, the branch offices in Bothell (WA), Fresno, Tustin, Van Nuys, and San Diego will be closed. There will be no further fundings. Staffing levels will be maintained in the Van Nuys location through approximately February 7, 2008 to facilitate the winding down of the operation."

To view the entire message, click here (.doc). If you have information on the number of employees affected, please contact us.

Update from Ailing List - 2007-11-30: According to their web site, SBMC is owned by Kennington Ltd., Inc., a privately-held corporation with diverse business interests that include the apparel industry, luxury hotel ownership and commercial real estate investments throughout the United States. Looks like now they might be making a decision to close this mortgage division.

From a tip:

"Inside source has stated that SBMC in Tustin will have a final email from corporate on Friday letting all of them know if they are going to stay in business or close. They recently consolidated offices and this office is handling all of the processing and underwriting."

Okay... Friday is over, so here's the news: "We heard today they were open through December at this point then its day to day? AT least these folks will have a job for the holidays."

Original Ailing Post - 2007-08-30: We have received tips indicating that Secured Bankers Mortgage Company (SBMC - sbmcmortgage.com) has initiated significant reductions in their operations. From one source:

SBMC Mortgage (www.sbmcmortgage.com) - based in Los Angeles is closing the following regional offices today:

-Concord, CA

-Inland Empire, CA

-Phoenix, AZ

-Modesto, CA

This lender is a Wholesale lender and their ratesheet has dwindled to a half a page this month - just offering Agency Fixed Rate & ARM products. At their peak they were funding $320Million per month in Alt-A & Jumbo A. They are down to about $85Million per month and will have LA, San Diego, Fresno & Seattle office opened ...

Stay tuned ...