Lawmakers Eye 10 Percent ‘Skin in the Game’ Requirement for Selling, Securitizing Mortgages
October 30, 2009
Mortgage loan originators could find themselves required to hold onto as much as 10 percent of the risk associated with each loan they originate and then sell off, while securitizers would face a similar “skin in the game” requirement for every mortgage they touch, under legislation being considered in the House Financial Services Committee. Committee Chairman Barney Frank, D-MA, worked with...