General World News

Warehouse lenders stung by FGMC’s bankruptcy

Recent pleadings filed in the bankruptcy case of First Guaranty Mortgage Corp. (FGMC) show the lender left its warehouse lenders holding the bag for a mound of debt. 

FGMC and its affiliate, Maverick II Holdings LLC, on June 30 filed to reorganize under Chapter 11 bankruptcy protection. Pleadings filed in the case — now pending in U.S. Bankruptcy Court in Delaware — show the lender owes more than $400 million to four warehouse lenders, which include Customers Bank, Flagstar Bank, Texas Capital Bank and J.V.B. Financial Group LLC

“With respect to nonagency loans and non-QM loans, warehouse lenders will finance between 90% details ⇒

BusinessMediaguide.Com portal received this content from this noted web source: HousingWire.Com