This series of interviews focuses on the people who are shaping the state of housing at the top: policy and regulatory professionals. The FHFA and GSE are essential in shaping today’s housing market and industry trends. To shed light on this area, some of the 2022 HousingWire Vanguard winners shared their insights into what’s happening at the federal level that will affect housing this year and into 2023.
Katie Sweeney, CEO, Association of Independent Mortgage Experts
Housing wire: Looking ahead to 2023, which housing regulation trends are you and your team most focused on?
Katie Sweeney: We look at national and regional trends to identify areas where we can help brokers and homebuyers make the greatest impact within their communities. Representing brokers and taking important issues of our community to the Capitol is at the forefront of our agenda for 2023.
hardware: As a 2022 Vanguard winner, what achievement are you most proud of?
KS: At its peak, independent mortgage brokers accounted for 60% of the mortgage market. But in 2008, despite these impressive numbers, Mortgage His Broker lacked a voice and presence in Washington, DC. Since then, unreasonable and unfavorable regulations have reduced our market share to just 8%. We are committed to never returning to the same position the independent mortgage broker has found since 2008.
This is an ongoing process and we are proud of the progress we have made so far. In June, we launched a very successful grassroots advocacy network, the Broker Action Coalition (BAC). The network has facilitated tens of thousands of actions in less than 90 days since its inception. In July, we also established the Broker Action Coalition Political Action Committee (BACPAC). Independent Mortgage Professionals Associationraised over $300,000 within the first 24 hours.
In addition, we strengthened AIME’s advocacy arm to protect, support and grow the brokerage channel through legislative action, grassroots advocacy and various homeownership boards. These three approaches allow AIME to make a real difference. This will inspire communities and pave the way for future leaders to continue to make a difference when and where it matters most.
hardware: What major changes in federal regulation and legislative policy should people pay more attention to?
KS: More attention should be paid to regulations that create disparities between origination channels, especially if they disadvantage consumers. One of the policies he is actively working to roll back now includes a 15 BPS FHFA TPO Surcharge. This adds a fee of 15 BPS to all Third Party Originator (TPO) mortgages not held by direct lenders or major banks nationwide.
We are also working to extend the success of Maryland House Bill 809. This allows 100% P&T rated disabled veterans to receive property tax exemptions before taking home ownership, impacting purchasing power and closing costs in nearly every state. increase. At the time of this submission, we have met with legislative leaders in more than 28 states, each of which is seeking to introduce identical legislation.
hardware: What are the biggest policy initiatives pursued by AIME in 2023?
KS: AIME’s 2023 Advocacy Plan prioritizes the top 10 topics identified by BACPAC contributors for 2022. All major policy initiatives surround the disagreement between brokers and all other lending channels, rolling back the Dodd-Frank side that created an unfair playing field between brokers I am starting by doing banker. These regulations were enacted on assumptions that have been proven inaccurate over the past decade. Licensing requirements vary widely between brokers and bankers, with TPO channels severely lacking access to his DPA program and simpler options such as his APR intended to provide clarity to consumers. Even things are calculated differently.
APR’s overall goal is to act as a universal number that consumers can quickly refer to and determine which mortgage is cheaper as they shop. Any discrepancy between information intended to help consumers undermines the very purpose of these regulations and results in misinformation. We have solutions and we are working hard to get them presented to the right parties. It’s about addressing the law and ensuring that mortgage originators are educated and compliant, regardless of the channel they choose.
hardware: Why is it important to use AIME as a lobbying tool, and what impact do you expect the policy change to have?
KS: Brokers now represent nearly 25% of the market and were non-existent in Washington DC a year ago. A segment as important as housing in the industry should never sit quietly. It’s clear that we still have work to do, but we can speak up now and do better by giving politicians and regulators a message that comes directly from the American consumer. I am proud to say that I am using it to make a difference.
This is an important message, and it is our duty not only to hear it, but to respect it and act upon it. AIME represents 65,000 independent mortgage brokers and the consumers they serve. Our members are primarily made up of small local businesses and their employees. Our members and leaders are field founders who communicate directly with current and prospective American homeowners every day. As such, we are uniquely positioned to address the many challenges that negatively impact homeowners across the country.
A broker is a local mortgage expert in the community. With a seat at the table, homebuyers and homeowners gain a voice with the cultural competence and awareness to advocate for their community’s unique agenda.
This interview originally appeared in the October/November issue of HousingWire Magazine. Click here to view the full text of the issue.
