Servicing Portfolio For Sale

Hanover Trade to take bids on $193 million portfolio
By COCO SALAZAR
5/27/2005

A servicing portfolio that includes Freddie Gold loans will hit the market next week online.

HanoverTrade Inc. will be taking bids next week on a $193 million servicing portfolio.

The Hanover Capital Mortgage Holdings Inc. subsidiary announced it will auction the servicing rights portfolio on behalf of an undisclosed client June 2.

On average, the loans in the prime portfolio are three and half years old and the weighted average note rate is 5.787%, Hanover executives told MortgageDaily.com.

The portfolio, which has an average servicing fee of 26 basis points, primarily includes Freddie Gold servicing, the executives said.

Bidders will have access to all sale information online at Hanover's Web site, www.HanoverTrade.com, which is where the portfolio will be offered, the New Jersey-based company said.

The "Web-enhanced sales process...satisfies both the seller's desire to optimize price and the buyer's need to more fully understand the product for sale in order to offer a competitive price," said David Steel, managing director of HanoverTrade's Loan Sale Advisory division, in the announcement.

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