How anxious are residential lenders and servicers about the new levels of regulation and compliance they are being subjected to? The answer is: plenty nervous.
David Kittle, who was the Mortgage Bankers Association's chairman for 2008-2009 and is now senior directory of industry relations for IMARC, the loan data verification specialist, told a National Mortgage News roundtable at MBA's servicing conference “I've started three mortgage firms in my lifetime. I wouldn't open another one today.” The reason? The difficulty of compliance in this new environment.
“Will regulations make us any better?” Kittle asked, pointing to regulations on the books now that are not being enforced.
Attorney Rachel Dollar agreed with Kittle, saying the cost of complying with all the new rules and regulations will be “staggering.”
And Scott Slifer, president of sales and marketing at ISGN Corp., said servicers' systems are “woefully inadequate” for what they will have to do.
