How are Current Market Circumstances Expected to Impact the Industry?

Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
2,111
182
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San Diego, California
www.loansreduced.com
As we enter into a situation that is largely unknown of what happens day by day. I've been getting asked often what's happening on the lending side and below are a few bullet points of what is happening as we speak.
  • Warehouse lines limiting/restricting funding
  • Hedge challenges (pricing in anticipated losses)
  • Investors temporarily exiting the market (Caliber, Redwood, Angel Oak, Sprout, DeepHaven...etc.)
Due to the market uncertainty many lenders have "paused" any activity and are halting the funding of any loans whether they are approved in underwriting, in closing or just about any stage in the process. Once we understand how Covid-19 will impact us you'll start to see investors come back into the marketplace.