Rocket Mortgage and Annaly Capital Management, Inc. today announced the companies have entered into a subservicing agreement. Under the relationship, Rocket will handle all servicing and recapture activities for a portion of Annaly's mortgage servicing rights (MSRs).
“Rocket is committed to the entire homeownership experience from budgeting and credit building, to home search, financing, and servicing. We truly believe in building relationships with our clients that last a lifetime – whether through new mortgages or servicing loans,” said Bill Banfield, chief business officer of Rocket Companies. “We are honored to be working with Annaly and look forward to providing their serviced clients the same exceptional experience that has made Rocket a perennial recipient of J.D. Power’s servicing award.”
Rocket Mortgage has ranked highest in J.D. Power’s 2024 mortgage servicer study for 10 years, placing first in all measured categories. Per Rocket's press release, clients consistently return to Rocket for future loans at three times the industry average, with the company managing 2.6 million serviced loans worth $534.6 billion as of June 30, 2024.
The Detroit-based company says that a key driver of customer satisfaction is its use of advanced technology and AI tools such as Rocket Logic – Synopsis, which uses machine learning to transcribe client calls, track sentiment, and identify patterns, streamlining issue resolution and saving over 45,000 work hours annually.
Rocket Mortgage is expected to begin servicing loans for Annaly as early as December 2024.
“Annaly is pleased to enhance its mortgage servicing rights platform with our new relationship with Rocket,” remarked Steve Campbell, president & COO of Annaly. “We are proud to have constructed one of the most durable and high-quality portfolios of MSR in the market and this partnership will allow us to benefit from Rocket’s industry-leading servicing capabilities and retention rates. We are excited to have access to the best-in-class experience that Rocket is known for, which continues to improve given their ongoing investments in technology.”
Annaly has $75 billion in assets invested across its Agency MBS, Residential Credit and MSR strategies. The company has built a fully-scaled MSR platform that holds servicing for approximately 608,000 loans, totaling $192 billion in unpaid principal balance and $2.8 billion in market value as of June 30, 2024. The company’s MSR portfolio is made up of high-quality conventional loans with a weighted average FICO of 757 at origination.
