Without question mortgage rates are a very hot topic..
Interest rates remain very, very low and many have already taken advantage of these incredible rates.
One common question that I am often asked is how I can generally offer a lower rate than the homeowner's current lender/servicer (even though I may have originally closed the original loan for the homeowner with this same servicer)?
As a wholesale broker I receive wholesale rates which are generally .2$% or $2,500 lower in costs than a homeowner's current loan servicer will offer directly as they price rates as "retail" and not "wholesale".
Their hope is that the homeowner does not question the fact the loan servicer is only handling the mortgage payments (most of the time Fannie Mae, Freddie Mac, HUD or VA owns or insured the loan) and a brand new loan has to be originated on any refinance.
Ironically, I work dir…