Rising Loan Repurchase Requests. Preparing for Potential Losses
Posted To: The Garrett Watts Report
Anticipating the future impact of a current decision is an art and skill. Wayne Gretzky said it best: “A good hockey player plays where the puck is. A great hockey player plays where the puck is going to be.” Owning and operating a mortgage bank is no difference. To be highly successful in a fast moving and changing environment, one must anticipate the impact of current regulatory, investor and interest rate changes. How will these changes impact how we do business in the future? What steps today should we take in anticipation of the results we expect from these changes? In November, MND alerted the mortgage masses that the GSEs were strictly enforcing lender repurchase agreements. Over the weekend, an article in the Wall Street Journal drew more attention to the issue. The essence…(read more)