I am a mortgage broker in Canada, and was wondering if some of you could provide me with some info on how the mortgage industry is structured in the USA.
I have been a broker in Canada for a number of years and I am curious as to how the industry functions in the USA - I am very curious by nature, and I am I hoping to find some opportunities that I may implement in my business by understanding how the industry works elsewhere.
1. Are there any regulatory organizations that oversee the mortgage industry?
2. What percentage of your business is with "A" lenders and what is "B" business? About 80 - 90% of mortgages arranged by Canadian mortgage brokers is with "A" lenders (great credit, equity and job history) and the remainder is "B" business.
3. On a recent trip to Idaho, I noticed what seemed to be banks that were not national, but local. In Canada we have several national banking institutions, some credit unions (owned by account holders and regulated by the federal government) and then we have our "B" lenders that are essentially investment pools that are used as mortgage instruments. We call them Mortgage Investment Corporations, or MICs.
Thanks so much for your time, I am wanting to expand my "B" business as it pays more, but it is tougher to find "B" lenders - they seem to be hiding under the rocks at times.
Have a great day,