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March 12, 2018

KBW Issues Caution on New Freddie MI Pilot; Looks Like USMI Implored FHFA to Kill the Product?

By Paul Muolo

The USMI fears the pilot “marks an unprecedented encroachment of Freddie Mac’s footprint into primary mortgage markets…”

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Who "owns" the mortgage customer that’s brought to a wholesale lender through a loan broker?

The broker. It’s his/her client.
The wholesale/table funder. They’re taking the financial risk.
The broker, but only for the first year. After that, the borrower is fair game.
Hard to answer. It’s a complicated issue.

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