The transfer and sale of mortgages is common in the mortgage industry. It fulfills the need of investors and makes funds available for other homebuyers. When loans are originated, capital is typically used from the company’s personal account. After origination, these loans are purchased by government sponsored entity (i.e., FNMA, GNMA, FHLMC) or a private bank to free up capital so the originator can create new loans. The transfer of servicing does not change the original terms of your mortgage loan. Your servicer manages your loan and is responsible for collecting payments, responding to your phone calls, and tracking your balance. This is the company with which you will now interface.
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