Wyndham Capital Mortgage Expands with SoFi Acquisition

Wyndham Capital Mortgage has made a significant move in the mortgage industry by acquiring SoFi Mortgage. This acquisition is a major development for Wyndham Capital Mortgage, marking a significant expansion of its business.

Wyndham Capital Mortgage is a leading mortgage lender that provides a range of mortgage products to its customers. The company has a strong reputation for its customer-centric approach and commitment to providing competitive mortgage rates.

The acquisition of SoFi Mortgage is expected to bring in new business and expertise to Wyndham Capital Mortgage. SoFi Mortgage is a well-established player in the mortgage industry, known for its innovative approach to mortgage lending.

Wyndham Capital Mortgage was founded by Jeff Douglas, who had the idea for the company while working as an account manager at LendingTree from May 2000 to March 2001.

Douglas saw an opportunity to combine industry-leading rates and fees with the level of service expected from a neighborhood lender. This approach proved successful, and the company became one of the Top 20 lenders in LendingTree's network in 2002.

The company started to invest in an automation process in 2004, creating a completely paperless workflow by 2005. This helped to minimize its environmental footprint and create a better efficiency for loan transactions.

In 2008, Wyndham Capital Mortgage changed its business model from a mortgage broker to a fully operational mortgage banking center. This change allowed the company to process, underwrite, close, and fund all of its loans internally.

The company experienced significant growth following the change, with a 429% increase in revenue from $8.4 million in 2009 to $44.4 million in 2012.

SoFi has acquired Wyndham Capital Mortgage in an all-cash transaction.

This acquisition is expected to be accretive within six months and will allow SoFi to broaden its suite of mortgage products available to members.

SoFi will integrate Wyndham Capital's team and technology platform into its Lending business.

Wyndham Capital has helped more than 100,000 borrowers since it launched over two decades ago.

The acquisition will enable savings for current and prospective homeowners in both time and money through transparent rates and a seamless application process.

SoFi's CEO, Anthony Noto, stated that the acquisition will allow the company to scale and keep pace with accelerated growth, while also fostering growth in a way that brings value to its members.

The acquisition is expected to be material to SoFi's 2023 financial outlook, but the company is focused on the long-term benefits of the deal.

Wyndham Capital Mortgage was recognized for Operational Excellence with the ICE Mortgage Technology Innovation Award.

The company was able to almost double the number of loans per full-time production employee as a result of the efficiencies built into its platform.

Wyndham Capital Mortgage leveraged Encompass from ICE Mortgage Technologies and other third-party APIs to automate millions of manual processes.

This contributed to greater automation for team-to-team loan assignments and general borrower communications, including loan requirements, statuses, and updates.

As a result, Wyndham Capital produced 4.1 loans per production FTE for the first three quarters of 2020, compared to the Mortgage Banker Association-reported average of 2.5 in the same period.

Wyndham Capital had a 25% lower cost per loan than the MBA average for the first three quarters.

The company increased total dollars loaned by 140% to $5.4 billion last year.

Wyndham Capital's CEO, Jeff Douglas, stated that the company is on a mission to enhance operational efficiencies to increase value, convenience, and five-star service to borrowers and mortgage consultants.

With their previous setup, Wyndham Capital Mortgage's finance department was spending the majority of their time manipulating and importing loan level data, causing a delay in that data hitting their general ledger.

Loan Visions automation capabilities have significantly reduced their workload, allowing them to complete processes like reconciliations of their accounts in a quarter of the time.

Their finance department is now able to handle increased growth without adding more staff, with only one new person being added to the team.

This efficient use of resources is a testament to the effectiveness of Loan Vision's automation capabilities in supporting Wyndham Capital Mortgage's growth.