Stearns Lending announced recently it will acquire a stake of Certainty Home Loans. The independent mortgage bank has entered into an agreement to acquire an equity interest in Certainty, an independent mortgage lender based in Plano, Texas.
Certainty President Jim Clapp and Executive Vice President, National Production Manager Doug Casbon will continue to lead Certainty, which will retain its name. Certainty’s executive team will maintain their position as the largest stakeholders.
Last year, Certainty originated $1.4 billion in residential loans, including purchase, refinance, reverse mortgage and renovation loans. Formerly Starkey Mortgage, the company rebranded in October 2017.
Stearns Lending offers lending services in wholesale, retail through strategic partnerships in 49 states.
“Certainty has a long track record of success and has a retail profile that is a strong complement to the existing Stearns retail platform,” said Stearns CEO David Schneider. “We believe that combining the retail platform of Certainty with Stearns’ industry-leading technology, direct access to capital markets expertise and operational excellence will produce tremendous synergies that benefit both companies. This structure leverages the experience Stearns has with its current joint venture business model, which currently operates under 10 different brands across the country.”
The specific terms of the deal, which is expected to close at the end of August, were not released.
