US giant Morgan Stanley is rumoured to be looking to buy Advantage Home Loans in a deal to be announced this December.
One source tells Mortgage Strategy that Advantage is looking to be bought by Morgan Stanley, or possibly another lender.
Keith Dearling, founding partner at Advantage, will not comment on the Morgan Stanley rumour but says exciting times are ahead for the company.
He says: “As a company we have a lot happening in the next couple of months, which will be exciting for us as a company and the industry.”
A number of underwriters at Advantage have recently been replaced by processors, which has also prompted industry speculation that it might be a lender who is looking to buy Advantage.
However, Dearling says: “We have recently replaced a lot of our underwriters, but this is because of the way that we are processing our mortgage applications with people like GMAC-RFC and Platform, where we use online decisions.
“More of our cases are done online with less of a need for heavy labour from underwriters.”