Don't Wait for HUD Reform, Exec Advises

Speaking to attendees of the Fourth Annual Mortgage EC conference in Las Vegas, ABN Amro's Garth Graham said waiting for HUD to approve mortgage reforms may be unwise because once consumers learn they can get a one-fee mortgage they will demand it no matter how long the HUD reform takes.Mr. Graham said the one-fee mortgage that ABN Amro's Mortgage.com launched in January 2001 has chalked up 70,000 loans funded and "combined customer demand for simplicity with ABN's desire to make it simple." The Guaranteed Mortgage Package proposed by the Department of Housing and Urban Development will simply mandate what borrowers are already flocking to get. Mr. Graham said consumer adoption of the Internet has simply accelerated that process. One effect of that has been expanded use of pricing engines and closing cost engines that will enable consumers to know the all-in price at the point of sale.