Founded in 2008 and headquartered in Melville, New York, Reliance is a fully integrated direct-to-consumer mortgage origination platform with 315 employees, including more than 150 loan officers and sales managers, across six call centers.
Reliance originates approximately $1 billion in mortgages each year through government, agency, non-agency/non-QM and second-lien loan products. The company’s service portfolio of more than 16,000 customers and an unpaid principal balance of $3 billion will be moved to the Carrington platform once the transaction closes.
“At Reliance First Capital, we look forward to being part of the Carrington platform,” said Hugh Miller, president and CEO of Reliance First Capital. “Carrington’s broad mix of businesses will help us continue to grow and execute on our mission of helping homeowners and potential homeowners get the right mortgage for their personal financial goals.”
Carrington’s assessment of Reliance included an evaluation of loan origination history and credit performance over various market cycles – specifically Reliance’s proprietary, integrated retail loan origination system with automation and AI capabilities.
Carrington said the company’s infrastructure and direct-to-consumer model position it for growth and mortgage recapture. It added that the financial profile shows low debt, access to credit facilities and stable income.
“Our agreement with Tiptree to bring Reliance First Capital’s employees and capabilities into our family of companies is much more than an acquisition,” Taffet said. “It is an important investment in the future of The Carrington Companies.”
Piper Sandler & Co. acted as exclusive financial advisor to Reliance as part of the acquisition. It was not clear whether layoffs would occur as part of the transaction or when the acquisition would be completed.
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