Microsoft Unveils HomeAdvisor

The race for Internet mortgage dominance can now begin in earnest as Microsoft enters the fray with its long-awaited HomeAdvisor site (http://www.homeadvisor.com).The site provides borrowers with access to mortgages from three prominent lenders -- American Finance & Investment, Homeside, and Principal Residential Mortgage. Familiar to borrowers on and off the Internet, these lenders also offer their mortgage products through E-Loan and QuickenMortgage, two online competitors of HomeAdvisor. In addition, HomeAdvisor provides advice on understanding the homebuying process, negotiating for a house, collecting demographic information, and comparing homes online. But the site, unfortunately, cannot answer the questions that have been on the minds of mortgage technologists for months: Does Microsoft, as some observers fear, intend to dominate the online mortgage marketplace, squeezing out long-time lenders? It's a contention the company denies. Or does Microsoft plan to coexist with lenders, many of whom are long-time Microsoft clients? Over the next several months, the answers to these questions will become more apparent.