“We consider that combining Seneca with our premier mortgage operations will create nice synergies and ship distinctive outcomes for Freedom’s traders,” mentioned Greg Intermediary, managing director of Freedom, in an announcement.
The transfer comes as mortgage corporations strengthen their servicing companies. Rocket Firms acquired Mr. Cooper Group and Bayview Asset Administration acquired Guild Holding Corp. In the meantime, United Wholesale Mortgage’s guardian struck a deal to amass Two Harbors Funding Corp., and Pennymac not too long ago announced a deal for Cenlar.
Freedom ranked because the sixth-largest major mortgage servicer within the fourth quarter of 2025, with a $642 billion servicing portfolio, up almost 2.7% yr over yr, in accordance with Inside Mortgage Finance.
Freedom founder, president and CEO Stan Intermediary has previously highlighted the sturdy credit score high quality of current mortgage vintages. Talking in 2024, he mentioned loans originated over the earlier 4 to 5 years characterize “the very best credit score that ever existed.”
To assist that view, Intermediary pointed to common loan-to-value ratios of roughly 50%, common debt-to-income ratios within the low 40% vary and credit score scores within the low 700s — an “extraordinary” borrower profile, he mentioned.
Seneca is a completely licensed, GSE-approved mortgage servicer. Between 2013 and 2017, it serviced a $54 billion portfolio of GSE mortgage servicing rights that was later bought to Wells Fargo. The corporate subsequently turned a completely owned subsidiary of EJF Capital, a world various asset supervisor based in 2005 by Manny Friedman and Neal Wilson that reported $5.4 billion in property as of Dec. 31.
Below EJF Capital’s possession, Seneca reentered the MSR market by buying newly originated standard MSRs whereas utilizing a subservicing mannequin to outsource day-to-day servicing operations.
The acquisition is topic to customary closing situations, together with regulatory approvals. Piper Sandler & Co. served as monetary advisor to EJF Capital on the transaction.
