Lenders shutting out mortgage brokers
Mortgage Lenders | (0)
From CNN:
Some big banks have cut back on doing business with mortgage brokers - and if the trend continues, many mortgage brokers could close down.
That may be bad news for consumers because fewer brokers could lead to a less competitive marketplace and more expensive home loans resulting from consumers not being able to easily comparison-shop rates.
"The banks want to get rid of mortgage professionals to reduce competition," said Alan Rosenbaum, founder of GuardHill Financial, a New York City-based brokerage firm. "It's not good for consumers."
A few years ago, according to Rosenbaum, mortgage brokers were responsible for 80% of the mortgage-lending ...
