New Residential Snaps Up Caliber Loans: What Investors Need to Know

Matthew Frankel, CFP, The Motley Fool
·3-min read

In the latest M&A news in the real estate industry, mortgage real estate investment trust (mREIT) New Residential Investment (NYSE: NRZ) has agreed to acquire Caliber Home Loans, one of the largest residential mortgage originators and servicers in the U.S., for a purchase price of $1.675 billion in cash. Here's a quick rundown of what each company does and what the acquisition will mean to New Residential's business. The company has a portfolio of about $23.5 billion in assets, which mainly include residential mortgages, mortgage-backed securities, and mortgage servicing rights (MSRs).