A couple months ago I talked about this thing coming with mortgage brokers and actually think it is a great idea. In my original article I wrote of a mortgage broker that told my clients to lie on their application and if I should ask, lie to me so they could get the loan. In the process they ended up losing their home because they really couldn't afford the home they were buying.
The idea of regulating and licensing mortgage brokers was not just because of that situation. I think mortgage brokers have access to a lot more sensitive information than real estate agents who require background checks, finger printing and a whole lot of education over our career.
You see my thought was that, yes I had access to houses pretty much 24 hours a day, but a mortgage broker has access to every persons SS#, DOB, and every bit of information that could be used in an identity theft of someone with great credit.
I'm sure the feds' reason has to do more with mortgage fraud and sub-prime loans, but I personally think this has been needed for a very long time. I would love to hear your feedback on if you think this is a good idea or not.
Todd Clark - broker
Kastings & Associates