Broker, Compliance Products; Ellie/Capsilon Deal; Big Banks Back Into FHA Lending?


Posted To: Pipeline Press

As noted in the commentary very early yesterday, a shade ahead of the actual details, the big news was the HUD/DOJ/False Claims Act announcement. Cutting “to the chase,” it prompted one CEO of a small non-bank lender to write me saying, “Well, with the big banks expected back into the FHA pool, there go the profit margins!” PennyMac, pretty much the top FHA lender in the country via its correspondent and portfolio retention channels, certainly took note given the expected increased participation by banks (in the FHA market) will make things more competitive in their various retail channels. Certainly won’t make things less competitive, right? According the HUD, in 2018 under 15% of FHA originations were done through banks, compared to 45% in 2010. Lots to think…(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

Show Buttons
Hide Buttons