Mutual of Omaha purchases Keller Mortgage assets
According to a press release, Mutual of Omaha, an insurance company, has bought Keller Mortgage’s assets. This will allow the lending unit of the real-estate firm to continue operating and serving customers of both companies. The financial terms of the transaction are not disclosed. Mutual of Omaha now controls all assets of KM, but Keller Mortgage, which has gone through a series of layoffs in recent years, will remain co-owned by both companies. Both lending units will continue to work alongside one another. Mutual of Omaha Mortgage President Terry Connealy stated in the release that “this transaction brings together two leaders of the mortgage industry, leveraging each to provide outstanding products & services to homebuyers.” “Our KW customers can now access a more comprehensive range of mortgage services from a trusted company,” Gary Keller, Co-Founder and Executive Chairman at Keller Williams, stated in the release. This acquisition shows how pressures in lending are affecting one of many real estate brokerages that have mortgage units. It is also a good example of companies working to consolidate in the wider housing-finance sector. The recent merger agreement between American Portfolio Mortgage Corp. and Town Square requires that the companies involved keep their existing branding. They will become one entity of APMC when the transaction closes in March. APM and Town Square, when combined, will be licensed in 36 states. They will use automation as a shared services. “The merger creates a bigger organization with significant synergies and unique advantages and an increased lending footprint,” Paul Kessel (president of APMC) stated in a press release. Lisa Thomas, CEO at Town Square, also stated that the agreement will expand the loan products available to both firms.