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Capacity constraints in the mortgage origination business should start to ease as banks are...

Capacity constraints in the mortgage origination business should start to ease as banks are adding or transferring thousands of staff to keep up with booming refinance demand. It may mean lower rates for borrowers as previous low capacity allowed lenders to keep the benefits of the Fed's QE to themselves. It's also likely to lead to an even faster rate of prepayments, not what the agency mREITs near to hear.
Comments (1)
  • rcpatrick5443
    , contributor
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    I think that your focus on the loss of profits for lenders when refinancers secure lower rates overlooks the impact that the security of lower rates for home owners could have in influencing renters to become home owners -- inspiring and driving a significant expansion of new and resold home ownership that would lead to greater profits for lenders.
    20 Nov 2012, 11:10 AM Reply Like
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