Our MSR Finance & Securitization Team has extensive experience structuring investment in mortgage servicing rights (MSRs) and excess servicing spread (ESS) across a wide spectrum, including purchase and sale transactions, warehouse financing, and securitization transactions. Our clients include bank and nonbank lenders, underwriters, investors, nondepository mortgage servicers, issuers, and borrowers.
We have been involved in some of the mortgage industry’s most noteworthy and innovative servicing transfers and financings and have helped to create a variety of novel structures. When our client came to us looking for a master trust securitization platform for financing Ginnie Mae MSRs, our team dove in and created a first-of-its-kind structure, revolutionizing the business of financing Ginnie Mae servicing and servicing fees for Ginnie Mae issuers. Since that deal, agents, purchasers, underwriters, and issuers have come to us in numerous deals involving the issuances of variable funding notes and private placements of term notes backed by ESS and Ginnie Mae MSRs.
Together with our Consumer Regulatory Compliance Team, we assist mortgage servicers with obtaining state licenses and the qualifications necessary to facilitate a structured finance or securitization transaction. We also assist seasoned issuers with required filings under the securities laws and compliance with transaction requirements.
Our Structured & Warehouse Finance platform draws from the firm’s experience in securities, bankruptcy, tax, UCC, ERISA, CFPB, the Investment Company Act, and derivatives, enabling us to address the full array of legal issues that arise in MSR and ESS transactions. We also routinely advise our clients on Regulation AB II compliance matters and the securitization-related aspects of the Dodd–Frank Act, including Regulation RR.