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Already making a bundle on the refinancing boom, Wells Fargo (WFC) hasn't yet scratched the...

Already making a bundle on the refinancing boom, Wells Fargo (WFC) hasn't yet scratched the surface, says Mike Heid - the head of the bank's home lending unit. More than 40% of customers in Wells' $1.9T servicing portfolio have interest rates higher than 4%, equity in their homes, and strong credit. Ongoing discussion in mREIT conference calls points to lack of origination capacity as a key factor holding back refinancing.
Comments (1)
  • smarton
    , contributor
    Comments (51) | Send Message
     
    Pity that. They should "originate" all of them at rock bottom rates, and see what their position will look like as soon as rates inevitably tick up from historic lows.

     

    Sounds like another sweet bailout in the making. Mark my words.

     

    Or explain interest rate risk to me.
    1 Nov 2012, 12:19 PM Reply Like
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