Guild Mortgage is set to take over its competitor, Academy Mortgage Corporation, potentially adding over 600 loan officers nationwide, the company confirmed Tuesday.
The addition of Academy Mortgage will extend Guild’s market share across its national footprint. Academy’s loan volume represents an approximate 25% increase in annual origination volume for Guild, based on results from both organizations through the third quarter of 2023. The combined company would be the eighth largest non-bank retail lender in the country.
Guild is currently the 10th largest non-bank retail lender.
“Guild and Academy share a commitment to the purchase mortgage market and believe in local sales and fulfillment that builds on our customers for life strategy. Our aligned core values attract employees dedicated to serving their communities and delivering on the promise of homeownership,” said Guild Chief Executive Terry Schmidt. “This transaction represents two like-minded organizations joining forces to continue to grow stronger together. Each acquisition we’ve completed has brought new talent to Guild, making us a better company. We’re excited to extend a warm welcome to our new Academy teammates and build on their talent with the support of Guild behind them.”
Guild Mortgage, a California-based lender, has been on a roll both when it comes to profits and acquiring companies.
In 2022 and 2023 alone it broadened its Midwestern presence by acquiring Wisconsin-based Inlanta Mortgage Inc. and First Centennial Mortgage, continuing its expansion strategy by integrating Cherry Creek Mortgage and Legacy Mortgage, while expanding its branches in California. The acquisition of Academy’s retail lending assets, according to a press release, illustrates the successful execution of Guild’s strategy to position itself as the preferred platform for local, retail mortgage originators seeking long-term growth and stability.
Academy will be the sixth lender to join forces with Guild via acquisition since 2021 and will increase Guild’s number of licensed originators to more than 2,100.
Founded in 1960, Guild Mortgage is now a wholly owned subsidiary of Guild Holdings Co. after going public in 2020.
Guild’s acquisition focus has traditionally been on smaller companies.
“And when they come to Guild, it’s a win-win for both organizations. We add a lot more value related to the value and the size, and they can still continue to operate their business and grow in our platform,” Schmidt told NMP last year.
Academy Mortgage Chief Executive Adam Kessler will join Guild’s senior leadership team through the transition and newly combined organization. Academy branches will operate as a division within Guild and transition to the Guild brand.
“Academy has always led the industry in its commitment to Inspiring Hope, Delivering Dreams, and Building Prosperity – for our homeowners, partners, and employees. Joining forces with Guild Mortgage will allow us to accelerate our collective desire to preserve and promote that vision as we work together to become the nation’s best independent mortgage lender,” said Kessler. “I’ve known Terry and the Guild team for a long time, and our common mission, vision, and values made it clear joining forces would be a win-win for both companies.
Academy's sales team and management are poised to receive job offers to join Guild as a distinct division. Other operational staff are expected to receive termination notices, but will likely be employed until the deal closes on April 15.
Academy reported $5 billion in mortgage loans for the year ending in January, according to Modex. Significant loan volumes were recorded in Washington, Utah, and Idaho.
Guild reported a total loan volume of $12.85 billion during the same period, with a focus on conventional and purchase loans, primarily originating from California, Texas, and Washington.
Additionally, Guild is recognized as one of the nation's leading servicers, holding $84 billion in mortgage servicing rights (MSRs) in the first quarter of 2024.
