Mortgage Broker / Mortgage Banker and the Future

For the first three years, Corby Mortgage started out as a Mortgage Brokerage, and then became a Mortgage Bank due to long and arduous purchase closings. We did not see better pricing and we wanted to handle all the closings in-house, so we became a Mortgage Banker and we are to this day, brokering 98% of our loans. We have the ability to go back to Banking at anytime if it gives our Loan Officers a competitive edge.

Okay, crystal ball time, we don’t know what will happen but we have read Barney Franks proposed law (H.R. 3129) and it really would not affect us with the exception of yet more disclosers. Before Mr. Frank sponsored H.R. 3126 I obtained commitments from investors to purchase a small depository bank so if it hit the fan we would acquire a depository bank. In late 2008 and early 2009 we felt this was the only way at the time. We think most of you saw what happened when Mortgage Originators merged with Depository banks. We have not heard of one success story. That is way we are poised to purchase a depository bank if we have to, and there are plenty out there. We do think we are passed that and the entire financial system cannot operate without independent Mortgage Originators.