PLANO – Finance of America Reverse LLC, a leading provider of home equity retirement solutions, said on Tuesday it has agreed to buy the reverse mortgage servicing portfolio and related assets from PHH Mortgage Corporation, a subsidiary of Onity Group Inc., in an all-cash deal.
The transaction, aimed at expanding Finance of America’s footprint in the reverse mortgage market, includes PHH’s pipeline of Home Equity Conversion Mortgage (HECM) loans and will see the company bring on select members of PHH’s origination team.
In a move to ensure operational continuity, the companies have also entered into a subservicing agreement. Finance of America stated the acquisition is expected to be immediately accretive to its earnings, adjusted earnings per share, and cash flow.
Beyond the immediate asset purchase, the deal establishes a long-term partnership. The companies plan to make Finance of America’s proprietary “HomeSafe Second” loan product available to tens of thousands of eligible customers in PHH’s existing forward mortgage portfolio, creating a significant new distribution channel.
“Today’s announcement represents a major step forward in our growth strategy,” said Graham Fleming, Chief Executive Officer of Finance of America. “Making our one-of-a-kind HomeSafe Second loan available to eligible borrowers in PHH’s forward mortgage servicing portfolio will position us to serve thousands more older homeowners.”
The acquisition, approved by both companies’ boards, is anticipated to close in the first quarter of 2026, pending regulatory approvals and customary closing conditions. The purchase price will be funded primarily by warehouse and asset-level financing, along with available liquidity.