Flagstar Bank, NA announced on July 22, 2024, the completion of a $5.9 billion sale of mortgage warehouse loans to JPMorgan Chase Bank, NA (JPMC). The transaction was executed at par, and an additional $200 million in mortgage warehouse loans is expected to be finalized upon receiving necessary customer approvals. The company anticipates that this transaction will enhance its Common Equity Tier 1 ratio by approximately 70 basis points, contributing to greater financial stability.
New York Community Bancorp, headquartered in Hicksville, New York, is one of the largest regional banks in the United States, with $112.9 billion in assets as of March 31, 2024. With over 400 branches, Flagstar Bank operates across various regions, with a substantial presence in the northeast, midwest, southeast, and west coast. The sale to JPMC, a leading global financial services firm, not only boosts liquidity but also aligns with the company's strategy to streamline operations and strengthen its position as a diversified regional bank.
