Jim Linnane, the former head of retail at Stearns Lending, has joined Flagstar Bank as the president of the company’s distributed retail mortgage division.
Linnane, who worked at Wells Fargo for 15 years and also ran national sales at Guaranteed Rate, will head Flagstar’s efforts in strategy, sales, growth, recruitment and operations for the division.
“He’s a results-oriented team-builder with a demonstrated ability to grow people and organizations,” said Lee Smith, president of Mortgage for Flagstar. “We’re excited to have him on board and look for positive developments with Jim at the helm of Flagstar’s distributed retail operation.”
The depository bank originated about $50 billion in mortgage loans in 2021, though origination volume and margins have declined considerably in recent quarters, according to its earnings statements. In the fourth quarter of 2021, Flagstar originated about closed $10.7 billion in mortgage loans, down from $12.5 billion a quarter prior. Its net margin on locked loans fell to 1.02% from 1.50% in the third quarter.
In April 2021, New York Community Bank, one of New York City’s largest multifamily lenders, announced that it planned to acquire Michigan-based retail bank in an all-stock merger valued at $2.6 billion. The deal was supposed to close by the end of 2021, however, it has not yet received regulatory approval.
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Presented by: CIVIC Financial
NYCB had essentially exited the residential mortgage banking business in 2017 after selling its origination and servicing platforms. The new company would have over $87 billion in assets and operate nearly 400 retail branches across nine states, the lenders said in April 2021. The combined company would have 87 loan production offices across a 28-state footprint. Flagstar’s brand will be maintained in the Midwest. Flagstar’s mortgage division would also maintain the Flagstar brand.
