Terwin Holdings LLC last week bought Hanover Capital Mortgage Holdings Inc.'s due diligence business for $1.2 million, a move that was reportedly made to complement the company's due diligence service operation located in Denver. The deal closed on Jan. 12. Hanover is no longer in the business of providing due diligence services to the financial services industry and government agencies, the company said last week. Hanover, which operates as a REIT, is expected to receive some $4.7 million in cash from the deal.
Residential Credit Solutions Inc., a Fort Worth start-up, has purchased the Los Angeles servicing platform of Aames Investment Corp. and the servicing rights on $700 million of loans from Accredited Home Lenders Holding Co., which bought Aames last year. Residential Credit Solutions is reportedly planning to invest in and service mortgages with special servicing requirements, such as poor underwriting or limited documentation. The company's chief executive Dennis Stowe was the president and chief operating officer of Saxon Capital Inc. up until 2004. Meanwhile, the company's chief administrative officer Mark Rogers was an executive vice president at Saxon's lending unit, and he also served as its chief financial officer.