New Residential Investment Reports Strong Numbers on Mortgage Servicing Gains
After experiencing one of the best years in over a decade, mortgage bankers are being treated as suspect by the market. Investors are fretting about rising mortgage rates choking off the refinance market, and increased competition among bankers suppressing margins. In this environment, a mortgage banker with several additional business lines like New Residential Investment (NYSE: NRZ) can be a good way to navigate the current environment.
New Residential is officially a mortgage real estate investment trust (REIT) and holds a $15.9 billion portfolio of mortgage-backed securities and residential whole loans. The company also owns $5.4 billion of mortgage servicing rights (MSRs) and is the largest nonbank owner of mortgage servicing rights.
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Source Fool.com
