Housing Bubble
ICBA - better access to the secondary mortgage market via Freddie Mac
May 19, 2003
WASHINGTON, May 19 /PRNewswire/ -- The Independent Community Bankers of America (ICBA) and Freddie Mac announce today an agreement that gives ICBA member banks enhanced access to the secondary mortgage market through Freddie Mac and specific products and services designed to help them reach more borrowers in their communities. The ICBA/Freddie Mac alliance is designed to help ICBA members boost mortgage originations and remain competitive in a dynamic marketplace.
The agreement gives ICBA members the tools to easily and profitably sell mortgages to Freddie Mac and leverage incentives, technology, training resources and capital markets expertise to grow their mortgage business. ICBA members can take advantages of these offerings immediately.
"ICBA members need better access to competitive products and services, and more tools to help them reach a wider range of borrowers," said Dave Stevens, senior vice president for Single Family Lending at Freddie Mac. "This alliance provides ICBA members with easier access to the secondary market so they have the funds, mortgage products and technology tools to help meet the residential mortgage lending needs in their communities."
"Mortgage business is good business for our bankers. The more we can do to place people in homes, the stronger our communities are," said ICBA President and CEO Kenneth A. Guenther. "This alliance with Freddie Mac provides significant benefits for our bankers, including enhancements to a rural housing product that I know will be welcomed by our members."
Some specific features of the alliance include:
- Increased access to capital markets and portfolio management experts.
- Affordable mortgage lending products to help bankers serve more low- and moderate-income borrowers and meet Community Reinvestment Act requirements.
- Technology advantages using Freddie Mac's Loan Prospector automated underwriting service, and creation of customized websites for online mortgage lending.
- Customized, instructor led training sessions for numerous Freddie Mac products and services.
- Guaranteed rural housing loan product that helps bankers reach more borrowers in rural communities and features various funding options, no mortgage insurance and no down payment.
Source: Independent Community Bankers of America
