Press
Mortgage Liquidity Solutions Creates Alternative Liquidity Channels
Contact: Judy Sandberg, President
703-391-9089 • judysandberg@gsgllc.com
Denver, Colo. (Jan. 17, 2012) – On December 28, 2011, Mortgage Liquidity Solutions, LLC (“MLS”), a multi-credit union owned CUSO, announced its successful sale of a $140 million portfolio of residential first mortgage loans using a loan participation structure for the $1.5 Billion Affinity Plus Federal Credit Union of St. Paul, Minn.
“We have experienced record growth in our residential mortgage demand from members,” said Brian Volkmann, Affinity Plus, VP of Lending. “We wanted to develop a relationship with a partner that understood our lending philosophy and could provide additional options for the sale of our loans. Mortgage Liquidity Solutions understood our goals and brought the needed experience and contacts. We are looking forward to using MLS for additional sales.”
Affinity Plus President/CEO Kyle Markland agrees. “We see the need for the services provided by MLS,” he said. “In the short term, MLS was able to complete our transaction. But more importantly, they helped provide us with new liquidity options so that we could continue to meet the needs of members. Strategically, we see MLS as an important partner to assist us with the development of alternative outlets for our loans given the uncertainty surrounding the GSEs [government-sponsored enterprises].”
Created in 2011, MLS provides liquidity solutions to credit unions and CUSOs related to their residential mortgage lending programs. The company can assist credit unions with the sale of loan pools and also provide liquidity via warehouse lines of credit to fund the sale of loans to approved take out investors.
Amy Sink, SVP/CFO of Teachers Credit Union in South Bend, Ind., said this type of transaction is exactly what the MLS founders had in mind. Teachers Credit Union is one of the owners of MLS.
“We believe that by working together through MLS to facilitate this type of transaction, we can build the needed competencies to open new and alternative avenues into markets that will reduce our reliance on correspondents,” said Sink. “This will solidify credit unions’ position as a valued lender to members.”
About Mortgage Liquidity Solutions, LLC
Mortgage Liquidity Solutions, LLC (“MLS”) was formed in 2011 by five large credit unions: Affinity Plus FCU, Bellco CU, Public Services CU, San Antonio CU and Teachers CU. It is managed by Gateway Services Group, LLC and The Rochdale Group, Inc., which bring years of experience in both the credit union industry and in facilitating lending transactions. MLS maintains staff in Denver, Colo., Overland Park, Kan., and the Washington D.C. metro area. For more information, please contact Judy Sandberg at 703-391-9089 or judysandberg@gsgllc.com.