Wells Fargo & Company has announced that its subsidiary, Wells Fargo Bank, NA, has signed an agreement with Ocwen Loan Servicing LLC for the sale of residential mortgage servicing rights (MSRs) on a portfolio consisting of approximately 184,000 loans with a total principal balance of $39 billion, or approximately two percent of Wells Fargo’s total residential servicing portfolio as of the end of fourth quarter 2013.
The sale will be finalized as servicing is transferred, which the company expects will occur during 2014. The transaction will not be material to the company’s financial results. The loans underlying the residential mortgage servicing rights sold are primarily owned by private investors and were not originated or owned by Wells Fargo. The loans are serviced under the trade name, America’s Servicing Company.