News Release:
I don't think the last news released got posted here. Here it is. Any guess to what this alliance will add to Homelife's revenues? About 50K a month.
HomeLife/MaxAmerica and Mortgage Capital Resource Align to Provide Home
Loans; Relationship Creates Potential to Originate 1,000 Loans Per Year to Start
Business Wire - July 23, 1998 09:48
NEWPORT BEACH, Calif.--(BUSINESS WIRE)--July 23, 1998--HomeLife Inc. (OTC/BB:HMLF), a full-service real estate and
mortgage financing services provider, Thursday announced that it has formed a strategic alliance with mortgage lending giant, Mortgage
Capital Resource ("MCR"), contingent upon the obtaining of certain licenses by HomeLife mortgage-lending subsidiary, MaxAmerica, to
provide home loans to HomeLife and its affiliate companies' customers. The company expects to be able to originate 1,000 loans per year
through the combined effort, an element that would significantly add to HomeLife's revenue and earnings stream.
Terms of the five-year agreement were not disclosed, however, the synergistic relationship marries the $200 million funding capability of
MCR, with the vast network of referrals from HomeLife's ever-growing sales force, which now totals nearly 4,000 real estate agents.
Together, the companies are mutually utilizing infrastructure and capabilities that would normally cost millions of dollars and take years to
build.
Andrew Cimerman, chairman and chief executive officer of HomeLife, commented on the alignment, "This is clearly a case where the whole
is greater that the sum of the parts. HomeLife is currently building its infrastructure to provide one-stop shopping for buyers and sellers of
real estate by not only facilitating real estate transactions, but offering the convenience of home loans as well. This alliance positions both
HomeLife and MCR to be more competitive in the loan origination market."
"We are shaping HomeLife to be one of the top mortgage lenders and loan originators in the country, and I have worked for nearly two
years to put a deal together of this type. We now have the pieces in place, and this alliance with MCR is exactly what we needed to
aggressively pursue the development of this company."
Cimerman also noted that more details will be announced in the coming months as growth in its key financial centers dictates.
Kenneth Ketner, chief executive officer of MCR said: "To engage in this type of relationship with a company the size and lead-generation
capability of HomeLife is tremendous. We avoided the substantial time and dollar investment that would normally be required to build the
network of offices and franchises that we are getting through the affiliation with the HomeLife/MaxAmeria group of companies. With over
200 programs, we are confident that we can help HomeLife fulfill its mortgage needs."
With corporate offices in Riverside and Santa Ana, Calif., Mortgage Capital Resource is a nationwide mortgage banker, with over 100
years of combined corporate experience. MCR is approved in most states coast to coast and is continually striving for approval in all states.
MCR has a $200 million loan warehousing line and is looking to add another $100 million in funding through the HomeLife relationship.
MCR offers services through the Internet, video conferencing and traditional loan offices located throughout the United States.
Incorporated in 1995, HomeLife and its affiliates are full-service real estate and mortgage financing services providers. HomeLife is one of
the largest real estate organizations in North America, with over 200 offices and nearly 4,000 licensed agents. Through an advanced
interoffice computer network, proprietary real estate information software and enterprising marketing systems, the company has created an
innovative approach to the real estate process. In a plan to spread its innovation more rapidly in North America and abroad, the company
launched an international franchise campaign. This campaign has exhibited early success by the signing of a master franchise agreement with
an investment group in Germany. The company expects great success from its European sales program, where its brand name and
family-oriented service approach is being well received.
CONTACT: HomeLife Inc.
Andrew Cimerman, 714/660-1919
or
Magnum Financial Group, LLC
Steven Johnson, 213/488-0443 |
