PennyMac Mortgage Investment Trust (PMT) reports that it recently closed the purchases of mortgage whole loans valued at $50 million. The real estate investment trust also recently completed a previously announced transaction involving the purchase of mortgage whole loans valued at $56 million.
Together with its previously closed transactions, PMT has purchased mortgage whole loans valued at $132 million and securities valued at $93 million and, as a result, has deployed in mortgage or mortgage-related investments – approximately 70% of the proceeds of its initial public offering.
PMT has additionally entered into agreements to purchase additional mortgage whole loans valued at $42 million. While the transactions are subject to ordinary closing conditions, PMT expects these purchases to be settled next month.
"Market activity continues to accelerate with considerable sales of distressed nonperforming assets by large financial institutions," says Stan Kurland, chairman and CEO of PMT. "We are also seeing a re-emergence of the securitization market, and we may consider entering into securitizations or other means to provide financing for our portfolio."
The company's manager continues to develop a conduit for new prime mortgages and expects the first small-scale bulk transaction to occur early in the second quarter.