ANAHEIM — Carrington Holding Company, a major player in the U.S. residential real estate market, announced that it has entered into an agreement to acquire Reliance First Capital, LLC, from Tiptree Inc.
The acquisition is designed to add a direct-to-consumer retail channel to Carrington’s existing mortgage operations, which the company said will create a more balanced, competitive and resilient platform.
“Together with our existing retail recapture, wholesale and correspondent businesses, our agreement to acquire Reliance First Capital looks to add a direct-to-consumer channel,” said Andrew Taffet, Chief Executive Officer of The Carrington Companies.
Founded in 2008 and based in Melville, N.Y., Reliance is a direct-to-consumer mortgage originator with approximately 315 employees. The company originates about $1 billion in mortgages annually across various loan products. The transaction, expected to close after regulatory approvals, will also bring Reliance’s servicing portfolio of more than 16,000 customers and $3 billion in unpaid principal balance onto Carrington’s platform.
Hugh Miller, President and CEO of Reliance First Capital, said his company looks forward to joining the Carrington platform, noting that Carrington’s “broad mix of businesses will help us to continue to grow.”
Carrington cited Reliance’s proven origination history, proprietary technology, and direct-to-consumer model as key factors in the acquisition. Piper Sandler & Co. served as the exclusive financial advisor to Reliance for the transaction. Financial terms of the deal were not disclosed.