Odds stacked against small mortgage brokerages

Re: 'Next HUD boss says RESPA reform workable' (May 27)

Dear Editor:

I can't help to wonder why coming up with a better, simplified process of disclosing to a borrower is so difficult to figure out.

The market has already corrected itself in a major way. The loan programs that should have never been in place are now gone. Lenders, loan officers, title companies, appraisers, etc. that were acting as the bad apples of our industry are now gone.

The time is now to implement the national registry of all loan officers and anybody else who is involved in the mortgage loan application to closing process. If we monitor these people and any complaints or bad behaviors, will be able to keep our industry held in its highest form.

I am currently the owner of a small mortgage brokerage company and I'm not sure why the odds are consistently stacked against us. It would be great to see the playing field leveled in regards to yield spread premium disclosures and access to government lending programs without the requirements that are currently in place that make it very difficult for small companies.

The banking institutions may think it's in their best interest to put the mortgage brokers down, but how many of those same banks have wholesale operations currently in place that run profitably based on the mortgage brokerage business? They seem to want to have it both ways, but in the end the regulations should be the same across the entire industry to really help out the consumer.

Gary Christafano
Lending Consultants LLC
Pittsburgh, Pa.

***

What's your opinion? Leave your comments below or send a letter to the editor.

All rights reserved. This article may not be used or reproduced in any manner whatsoever, in part or in whole, without written permission of Inman News. Use of this article without permission is a violation of federal copyright law.