The residential mortgage-backed securities division of PNC Financial Services Group is being included in the possible sale of its residential mortgage unit, PNC Mortgage, the company announced last week.
PNC is one of the industry's largest servicers of residential mortgages, with an $85 million servicing portfolio. After announcing the sale of its mortgage division, PNC hired Salomon Smith Barney to help find the division possible buyers.
As of March 31, the latest figures PNC Mortgage had available, PNC Mortgage had $6.3 billion in assets, made up of $2.1 billion in Residential mortgages held for sale - mortgages in the pipeline that have not been securitized yet. Securities available for sale totaled $1.9 billion, and mortgage servicing rights and other assets totaling $2.3 billion.
According to Jeep Bryant, a spokesman for PNC Mortgage, its commercial mortgage division, Midland Loan Services, is not included in the sale of PNC Mortgage.
Bryant expects the process to take several months. "The process of identifying a buyer will probably take several months, and at this point do not have an anticipated closing date yet," he said. A likely closing date would be after the first of the year.