Archive for Editorials

Whisperings of Mortgage Professionals – Mortgage Lead News

Home mortgage rates dropped to record lows last week, but many mortgage brokers and lenders were not cheering. With banks offering more affordable home loan rates than ever before, you would think the professionals selling interest rates and finance opportunities would be more excited. First of all mortgage rates have been ridiculously low for several years. Second, the mortgage guidelines have tightened to the point that not that many loan applicants qualify. Mortgage leads have increased slightly over the last few weeks, but most applicants simply do not qualify.

The new finance reform bill comes down hard on loan professionals for misconduct and fraud. Sure some of the requirements for mortgage lending need to change, but fairness seems to be disappearing from the reform bill. Privately many mortgage brokers are concerned that our government is trying to cap their income. Most of us believe that in America, the land and the free that you should not have your government limiting your income. According to BofA mortgage executive, Jeff Moran, “There seems to be two sets of rules —-One for the conventional mortgages and another set of rules for the government backed home loans.” Moran continued, “With our economy and housing sector in such a fragil state, it is imperative that we make industry changes that protect consumers yet do not hinder genuine home financing opportunities that will help people in our economy get back on their feet.

Is it fair that the government that was involved in pushing risky loans to unqualified borrowers should be dictating how much money we should make? The competitive nature of the mortgage business has been the driving force for new lending products and finance opportunities that have helped this great country expand. The notion that our government is implementing restrictions on our industry yet the government mortgage products are exempt from disciplinary repercussions is maddening.

What can you do? Be vocal and get involved with groups like the Mortgage Bankers Association and local groups like California Association of Mortgage Brokers. There are local mortgage associations in every state, so get involved. Partner with mortgage marketing companies like the Lead Planet who will support you with industry news and internet mortgage leads that will help increase your cash flow. Call 619-600-5720 to get more information on new mortgage lending opportunities and online mortgage lead promotions.

Share