Tag Archive for: mortgage bank

Everyone Wants To Jump In The Mortgage Pool! Come On In – The Water’s Boiling

/in ,
Interest rates fell this week more than most analysts expected, and the 10 Year Treasury Yield is down to 4.67% - surprising everyone, given that we heard so many predictions about the 10-Year staying above 5%. Here are a few reasons why: (1) The Fed announced yesterday that they are not raising rates (and many analysts think they are done raising); (2) More and more prominent analysts and hedge fund managers are predicting a recession and lower rates soon; (3) There are clear cracks in the labor market; and (4) Consumer and manufacturing surveys are yielding surprisingly negative results.Read More

A Crashing Mortgage Industry, Led By Better Mortgage; Uh Oh…

/in ,
Better Mortgage dominated the refi market for years all the way through COVID by pretty much giving away loans in order to capture market share – like so many tech firms do. And … it didn’t work. At all. Investors like SoftBank and Goldman Sachs originally fell for Better’s story (tech and model made it the “Ferrari” of mortgage lending) investing $1.5 billion. But, Better lost well over $1 billion in 2021 and 2022 (when times were still good) and almost $90 million in Q1 of this year. And … it didn’t work. At all.Read More

Mortgage Banks (Like JVM) Can Broker Loans Too!

/in ,
A Few Quick Reminders: FHA Rates Are 1% Lower – in some cases: This is a quick reminder that FHA’s interest rates can be as much as 1% lower than […]Read More

Why Would a Mortgage Bank BROKER Loans?

/in ,
There Are Three Primary Channels In Which Consumers Can Garner Mortgage Loans Commercials banks and credit unions (they do commercial loans, offer checking & savings accounts, and do mortgage loans) […]Read More

Chaos In The Mortgage Broker Channel (UWM Sues Its Customers); Fascinating Observations

/in ,
I have blogged about the three channels for mortgage banking several times. The channels include (1) banks and credit unions that offer mortgages along with checking, savings and commercial lending; (2) mortgage banks that only underwrite and fund mortgages (JVM’s channel); and (3) mortgage brokers who only originate loans but package and submit them to other “wholesale lenders” that underwrite and fund them.Read More

Jumbo Lending Explained – How We Target Jumbo “Investors” For Every Borrower

/in ,
We had an appraisal come in low last week, and the agents seemed to believe that our choice of “jumbo investor” (PenFed) had something to do with the low appraisal […]Read More

JVM Is A “Direct Lender” – Does It Matter?

/in ,
A few weeks ago, we had an appraisal come in under contract price for the usual reason – the total absence of bracketing comparable sales in a very hot market. […]Read More

JVM’s Relationship With Its Mortgage Bank

/in ,
We were getting recruited last fall by America’s third-largest mortgage bank. B/c of our size and unique model, the CEO showed up to review our entire tech stack, our Salesforce […]Read More

Big Lender vs. Small Lender – Which Is Better?

/in ,
In July, we aligned with a new, much larger mortgage bank that has the resources to hire a lot more operations staff (underwriters, doc drawers, funders) – and our turn-times […]Read More

HUGE News In The Mortgage World! Nobody Outside Of Mortgages Noticed… Why?

/in ,
This was a front-page story in the WSJ yesterday: United Wholesale Mortgage Goes Public. United Wholesale’s (UWM’s) valuation was $16 billion and they will get a cash infusion of over […]Read More

JVM Aligns With New Mortgage Bank; The Need For Speed & Jumbo!

/in ,
We recently aligned with a new mortgage bank for three reasons: (1) to drastically shorten our closing periods; (2) to offer even lower rates; and (3) to access much better […]Read More

Mortgage Banks vs. Commercial Banks; What’s the Difference? What’s Better?

/in ,
The Wall Street Journal featured an article recently that stressed that buyers in a competitive market need a lender with a stellar reputation, an ability to close quickly, great communication […]Read More

Mortgage Bank vs. Commercial Bank; What’s the Difference?

/in
Mortgage Banks Mortgage banks only underwrite, fund, and sometimes service loans. They do nothing else. They hold no deposits, and they fund all of their loans with large warehouse lines […]Read More

Our Rates Are Lower; How & Why? Rate Surveys & Lending Channels

/in ,
INTEREST RATES AT JVM We want to address interest rates again b/c we sometimes get compared to some of the large banks offering promotions. LOWERED OUR RATES First and foremost, […]Read More