More TRID Problems: Wary Investors Kicking Back More Mortgages
American Banker, Dec. 21, 2015–Berry, Kate
New consumer-disclosure requirements are doing more than delaying the closings of some home loans. Now the mortgage industry is sounding a bigger alarm, claiming some investors are refusing to buy certain loans once they close because of potential compliance failures. The bottleneck is happening when lenders immediately try to sell loans in the secondary market. The fear is that some lenders could get stuck with loans if investors refuse to buy them, causing potential liquidity problems, especially for independent mortgage banks.
