Mortgage Affiliates May Help Overcome Tough Lending Obstacles
April 8, 2013
Many real estate companies have their own mortgage affiliate, but they’ve become even more valuable for real estate agents in today’s tough lending environment, Don Cummins, the director of legal services and professional standards for the Hudson Gateway Association of REALTORS® told The New York Times.
“The need to have a broker who gave a preapproval that actually worked became so important to real estate brokers that those relationships became golden,” Cummins said.
In-house mortgage officers can benefit home buyers by providing easier access to the loan officer or mortgage broker and may even waive certain fees, Cummin says.
“Many companies are going to a one-stop shopping experience because it is something that the consumer wants,” says Stephen Adamo, president of Weichert Financial Services. Weichert REALTORS® offers mortgage and insurance through an on-site affiliate in their real estate offices.
However, buyers can choose to work with any lender they want. Real estate professionals cannot steer clients to use a certain mortgage company or lender or accept payment for referrals, according to federal laws.
Source: “Mortgages: Opting for In-House Loan Service,” The New York Times (April 4, 2013)
Updated: June 22, 2018