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FHA Broker Approval Delegated to Approved DE Lenders: Will This Squeeze Out Smaller Players?

Over the last eight days, calls from my clients and mortgage associates having been growing on a daily basis concerning the recent announcement by the FHA delegating mortgage broker approval to originate FHA loans to approved DE lenders. Quite frankly, many small lenders and mortgage brokers are concerned the mega-lenders will yield a big stick and force the smaller players out of the FHA playing field.

In this video, I provide an overview of the concerns, share background information and then present my thoughts.

FHA Delegates Broker Approval to DE Lenders

Note: This is my first video, so please excuse any rookie production mistakes.

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  • 4 comments

    4 Comments so far

    1. Robert Worthington September 28th, 2009 9:29 pm

      Tony, the video was great. The small independent brokers are going to be squeezed hard! Big Lenders are going to dominate the FHA world. Must be nice to be a mega lender who is in good position with this news. Big Lenders, Big Government, and Big FHA. Here we go….

    2. Thomas Johnson September 28th, 2009 9:41 pm

      ACORN or Wells Fargo? Choice and competition.

    3. Top 5 real estate posts of the day for 9/29/2009 September 29th, 2009 6:34 am

      [...] FHA broker approval delegated to approved DE Lenders: Will this squeeze out smaller players? – Will new FHA guidelines kill the small lender? It’s not the first time we have heard this in [...]

    4. Dylan Darling September 29th, 2009 7:56 am

      Lets hope the small guys can ralley and still be around to service FHA loans. Customer service is key in the mortgage business, and some of the smaller companies “go the extra mile” for their clients. And I’m not saying the big dogs don’t. But we need competition in the Mortgage Business.