Back to top

Image: Bigstock

Regions Financial (RF) Approved as Freddie Mac Multifamily Lender

Read MoreHide Full Article

Regions Financial (RF - Free Report) subsidiary Regions Bank’s Real Estate Capital Markets division has become an approved Freddie Mac (FMCC - Free Report) Multifamily Conventional and Targeted Affordable Housing Optigo lender.

Regions Financial is already a licensed Fannie Mae Delegated Underwriting and Servicing lender, and a Federal Housing Administration (FHA/HUD) lender and servicer.

The latest approval will further enhance the company’s lending suite within its Capital Markets division.

As a full-service agency lender serving clients with conventional multifamily, affordable housing, and senior housing financing, Regions Capital Markets delivers a range of competitive options to meet clients’ evolving needs.

Joel Stephens, the head of Capital Markets for Regions Bank, stated, “Joining the Freddie Mac Multifamily lender network, combined with the insights and experience of our team, positions Regions to offer even more innovative financing solutions to the clients and communities we serve.”

He added, “We have seen tremendous growth in recent years as Regions Capital Markets has connected with more clients across the country, delivering a highly customized approach to real estate lending that supports a healthy, stable and accessible housing market. The addition of Freddie Mac lending will help us not only deepen relationships with existing clients but also attract new clients who are drawn to Regions’ superior service and relationship-based approach to financing essential housing opportunities.”

The senior vice president of Production and Sales at Freddie Mac Multifamily, Rich Martinez, said, “Freddie Mac Multifamily is pleased to welcome Regions Bank to the Optigo lender network. We look forward to working with the seasoned and dedicated team at Regions to provide innovative financing solutions for multifamily borrowers.”

By serving as a Freddie Mac Multifamily Optigo lender for conventional and affordable loans, Regions Capital Markets offers financing for the acquisition, refinancing or rehabilitation of market-rate and affordable multifamily properties.

Our Take

Regions Financial remains committed toward diversifying its revenue streams. It continues to take actions with respect to its Simplify and Grow initiative, including streamlining its structure and refining the branch network, while making investments in new technologies, delivery channels and other growth drivers.

In June 2021, Regions Bank inked a deal to acquire specialized home-improvement lender, EnerBank USA, from its parent, CMS Energy (CMS - Free Report) , for $960 million. The all-cash deal is expected to close in fourth-quarter 2021.

So far this year, shares of Regions Financial have gained 23% compared with 21.5% growth of the industry.
 

Zacks Investment Research
Image Source: Zacks Investment Research

Currently, Regions Financial carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Similar Moves by Peers

In order to boost its payment offerings for healthcare clients, Bank of America (BAC - Free Report) acquired Axia Technologies, Inc. in April this year.

Published in