#USA #Lewisville #MCS #Stewart Information Services #Mortgage Contracting Services

MCS Enters Agreement to Sell Mortgage Services Business Line to Stewart

In a pivotal move within the industry, MCS, established in 1986 as a premier provider of property services, has declared its agreement to sell its mortgage services business line to the global title and real estate services firm, Stewart Information Services Corp. This transition marks a significant moment not only for MCS but also for the broader mortgage servicing market.

Details of the Agreement

The sale encompasses the entirety of MCS's mortgage services offerings, including its property preservation services, property inspections, and a variety of other asset management and maintenance tasks. Importantly, even after the transaction, MCS will retain its operations related to its other business lines: MCS Commercial, MCS Residential, and MCS Government Services along with their respective sub-brands.

Craig Torrance, CEO of MCS, expressed pride in the legacy and value built through the mortgage and property preservation business. He emphasized the growth trajectory of MCS, which has significantly enhanced its service offering and competitive edge via strategic acquisitions in recent years, including leaders in property preservation like MSI and Five Brothers Asset Management Solutions.

The decision to divest from the mortgage services sector comes as MCS experiences renewed growth in other sectors. With a flourishing property preservation service line and comprehensive maintenance offerings across retail and commercial services, the firm aims to leverage the sale for increased capital and flexibility in future growth endeavors.

Leadership Perspectives

Chad Mosley, President of Mortgage Services at MCS, noted the enduring reputation that MCS has developed over nearly four decades. He underscored that aligning with Stewart, a well-respected name in the industry, will allow them to set new standards for mortgage service delivery. The synergy between the two companies promises to enhance service quality and extend their reach across the property services sector.

Andrew Nolan will maintain his role as President of Residential and Commercial for MCS, affirming confidence in the company’s growth prospect. He anticipates an expansion in both residential and commercial markets, introducing new services and improving technological frameworks.

Fred Eppinger, Stewart's CEO, highlighted that incorporating MCS's mortgage services would significantly broaden their service portfolio, addressing needs in the mortgage lifecycle that Stewart previously did not cover. He views this acquisition as an essential step toward providing an extensive suite of services to lenders and servicers, enriching their customer base.

Expansion and Future Outlook

This transaction stands as a testament to the robust operational framework and innovative direction of MCS. Over the last three years, MCS has significantly expanded its facility maintenance businesses. The commercial division, for instance, broadened its services through strategic acquisitions like Chain Store Maintenance in 2023, which introduced an array of services such as handyman, plumbing, and electrical work to its repertoire.

The Government Services division initiated in 2024, focuses on delivering maintenance services to governmental bodies at all levels and has been recognized for linking up with programs like Elevate Florida to bolster homeowner security against natural disasters. The residential sector has also been revitalized with MCS asserting itself as a key player in Single-Family Rental (SFR) services, with further expansion projects on the horizon.

Overall, MCS remains committed to its foundational principles of quality service, innovative solutions, and community empowerment. As they transition into this new chapter, both MCS and Stewart Information Services are poised for significant advancements in the property service arena, aiming to set benchmarks in customer satisfaction and operational excellence.