AnnieMac Announced It Has Stopped Accepting Wholesale Loans As Of 5pm On September 27, 2022
American Neighborhood Mortgage Acceptance Co. LLC (AnnieMac) has joined the exodus of mortgage lenders exiting the wholesale mortgage market.
AnnieMac also said all new loan submissions after 5 pm on September 27th would be denied. In addition, the company said all existing loans in the pipeline must fund by October 31st.
New Jersey-based lender announced on its website this week that it will “cease wholesale operations effective Oct. 31, 2022.”
The company blamed, “worsening market conditions.”
AnnieMac says they will honor all existing wholesale policies throughout the course of the transition period. The lender also stated that wholesale associates will remain in place to facilitate the transition and thanked everyone for their business.
National Mortgage Professional says officials at AnnieMac did not respond to requests for comment.
AnnieMac has locations in 28 other states in addition to it’s headquarters in Mount Laurel, New Jersey. According to its website, the company employs more than 200 people overall.
A top executive at one of the nation’s biggest wholesale lenders said that he thinks the suffering will continue. He believes the price war among lenders is what is causing all the suffering. Home Point Financial President of Originations Phil Shoemaker said a price war is forcing some lenders to opt for retail, where cost control is easier, as the economy heads toward a recession and origination slows.
Home Point Financial is the parent of Homepoint, the nation’s third-largest lender overall, which also has been struggling. Homepoint has announced plans to lay off more than 900 employees in November.
Also, Read More About The Imploding Mortgage Lending Industry On Lender Meltdown.