Comments on: National City Correspondent Lending Done

By: Mike

Mike — Fri, 26 Oct 2007 11:45:42 +0000

Morgan,

You mentioned being a “former correspondent lender”. What is your current business model? Are you now operating strickly as a mortgage broker for the loans you do?

By: Ann

Ann — Fri, 26 Oct 2007 02:49:00 +0000

I hate to say I told you so(regarding BOA announcment) but what the heck..”I TOLD YOU SO!!”

By: Tom Vanderwell

Tom Vanderwell — Fri, 26 Oct 2007 01:14:05 +0000

Hey Morgan,

I think your Dead Man Walking post is right. Check out what I just heard about Bank of America closing out their entire wholesale lending division….

http://money.cnn.com/2007/10/25/news/companies/bofa_mortgage.ap/index.htm?postversion=2007102517

I’m glad I’m on the retail side of a relatively big bank.

Tom

By: Baron Von Chaos

Baron Von Chaos — Thu, 25 Oct 2007 15:59:35 +0000

You’re right, I was being presumptuous. Call it the “leaving the mortgage biz” blues. I apologize for assuming you did anything but provide a solution to a problem. I don’t need or want to know how much you made. Cheers…

By: Morgan Brown

Morgan Brown — Thu, 25 Oct 2007 15:28:06 +0000

Baron – I don’t criticize just subprime lenders – I criticize all lenders. I don’t think subprime lending is inherently bad; I think predatory lending, overcharging for making loans and putting people in bad loans are the problem. If you read through any of the other 600 posts I have written you’ll see that 1) I don’t bash subprime lending as a lending solution – only those that abuse people with it and 2) I freely admit to making subprime loans. On this particular loan I can’t remember the exact details but I do remember it was a 30-year fixed loan and one that the borrower is extremely happy with. They actually volunteered to be a referral for us for other customers.

Using lending options responsibly is not the same thing as taking people behind the woodshed. A hard money loan is not a bad loan – a hard money loan with 15 points and a predatory interest rate it – big difference.

I’m on the road all day today, but I’m sure you’ll hound me until I give you the details of the fees, so I’ll look them up tomorrow and post them here – I’m sure you’ll be waiting.

By: Baron Von Chaos

Baron Von Chaos — Thu, 25 Oct 2007 13:39:19 +0000

New Century? The subprime New Century? So….you’ve been quick to criticize any broker that’s been involved in subprime and yet you freely admit to sending loans to the very company that is the poster child for borrower abuse? How much did you make? 3 points? 5 points?