" suggests that more experienced mortgage brokers might actually be more likely than novices to make loans that end up in foreclosure.
Mr. Garmaise analyzed nearly 23,000 mortgages processed by 2,905 brokers from 2004 to 2008. When the brokers were starting out with their lenders, he said, the loans they made were less likely to result in foreclosure. (By his own calculations, the fifth loan was 8 percent less likely to result in foreclosure than the 10th loan.)
One reason for the increased failure rate, Mr. Garmaise said, could be the pace at which loans are underwritten. The more the brokers did, the less time they spent on each of them, he said.
Wednesday, July 22, 2009
When it comes to using business finance, mortgage and real estate professionals using experienced people may not assist you as the consumer.
I read that twice. Since when does experience not matter. We have seen the same situations over the years or over decades in my case.
Here's the quote;