New federal regulations have increased compliance costs for mortgage lenders and banks. In response, lenders are combining in the hope that more bulk will mean lower costs.
Southeast Mortgage of Georgia Inc. of Lawrenceville in February acquired Citizens Fidelity Mortgage Corp. of Marietta. Southeast Mortgage also expects to close deals to acquire two more metro Atlanta mortgage lenders.
In a separate deal, BankSouth Holding Co., a community bank in Greensboro, Ga., acquired the assets of Loan South Mortgage Inc.
Southeast Mortgage’s acquisition of Citizens Fidelity, plus its upcoming deals, will boost the lender’s office count to 25, CEO Cal Haupt …
So much for the New Regulations reducing the cost to the consumer. The truth starts to come out.
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