10 outrageous 2021 predictions for the mortgage industry
If a year ago at this time, everyone looked into their personal crystal balls and predicted mortgage originators would have their best year ever in the midst of a pandemic, odds are that would have been considered too outrageous.
For 2021, National Mortgage News reached out to people in the mortgage and ancillary businesses for their (more or less) outrageous predictions on what could happen. Several of our pundits’ short takes on the market are diametrically opposed!
Pop goes the bubble
Mortgage loans will shift to a digital currency
And social media could affect underwriting as well. “Facebook will use all of your data and serve up preapproved loans for homes. It will suggest based on models and it will build on your posts, photos, submitted info.
Tesla gets into prefab housing, Amazon offers title insurance
Amazon [a company rumored to be interested in getting into mortgage] enters the title insurance market, and undercuts incumbents by 50%.
mortgage rates will go further down — below 2%.
Regulatory scrutiny could get invasive
The end of the QM patch will not lead to more non-QM
Servicing liquidity to increase even with low rates
Taking the app to the wholesale market
Government program becomes competitive with PMI
Depository aggregators will start a price war for correspondent jumbo mortgages. By the fourth quarter, home equity lines of credit will be back in fashion like a runway model.