Flagstar Reports Declining Mortgage Margins: A Warning for Mortgage Bankers?

Brent Nyitray, CFA, The Motley Fool
·5 min read
Flagstar Reports Declining Mortgage Margins: A Warning for Mortgage Bankers?

Last year was extraordinary for the mortgage banking sector. In addition, the Fed began large-scale purchases of mortgage-backed securities in order to push down longer-term mortgage rates. While much of the mortgage business is conducted by non-bank lenders, a few banks have a large presence in it.