Builders' Mortgage Companies : LUSENET : Fair Lending : One Thread

It seems that the majority of builders either have their own or have a "preferred list" of mortgage companies. I understand their interest in doing so but it seems to be a real unjust or unfair to the uneducated first time home buyer. We are a correspondent lender and not a fly by night mortgage broker. I have written word from builder stating that the customers "only can use" their lender.

My question is, how can a builder "strong arm" a customer in using their finance company with paying 3-4% concessions for buyer but none if they use an outside mortgage company.

-- John E. Williams (, February 20, 2001

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