Let’s talk about RMBS due diligence—Residential Mortgage-Backed Securities for the uninitiated. It’s not a flashy topic, but understanding the details here can make or break your returns in the investment world. Think of due diligence as homework before buying a complex financial product. It’s about knowing what you’re getting into, minimizing risks, and making sure […]
Current market conditions continue to make servicing loan portfolios a coin toss. Many originators strive to maintain control of loan servicing, since it reinforces branding and provides a first line of communication to customers for retention and refinancing. With today’s higher interest rates, however, refinancing has decreased and that has slowed down the normal portfolio […]
According to the Mortgage Bankers Association, the average net cost to originate a mortgage (all loan types) in the fourth quarter 2018 was $8,611. Imagine, only six years earlier in 2013, the cost to originate a loan was closer to $5,000. There is no single reason for this astronomical increase, but industry economists cite low […]
