other material
confidence high
sentiment positive
materiality 0.75
Velocity Financial sells $133.2M non-performing loans at premium, starts servicing mandate
Velocity Financial, Inc.
- Sold $133.2M UPB of non-performing loans at significant premium to current balance sheet mark.
- First-ever Third Party Servicing mandate to manage those loans for the buyer, creating capital-light fee revenue.
- Transaction expected to close prior to year-end 2025; releases capital for portfolio growth and enhanced ROE.
- Transaction reflects market appreciation for Velocity's origination and asset management capabilities.