There are still mortgage lenders out there that are dedicated to the wholesale production channel and thriving in it. At the Mortgage Bankers Association annual convention in Chicago, I spoke with Mark Greco of 360 Mortgage.
Many of his meetings at the show were with entities such as warehouse lenders as part of the company’s effort to grow its business.
And, he said, it is a firm that is 100% dedicated to the wholesale channel. It is also a company which has seen success in the Home Affordable Refinance Program. Greco noted that 360 Mortgage is one of the few wholesalers supporting HARP. But it makes up a significant portion of its overall volume.
The program, he said, is working as intended. It is taking underwater borrowers (Greco has seen loan-to-values in the area of 300%) and keeping them in their homes in a loan they are able to afford. He reports 360 Mortgage has not had any delinquencies from HARP loans.
That is because of the attitude shift in consumers. A home is a place where they live; it is no longer seen as an investment, Greco declared.