United Wholesale Mortgage CEO Mat Ishiba this week urged brokers to aim for “jumbo” loans amid high housing prices, claiming that buyer hesitance should be discouraged and that brokers should push for larger mortgage tabs.
Brokers “have a great jumbo opportunity, and jumbo borrowers and cash-out borrowers need your help,” Ishiba said in his monthly address to UWM, according to MPA.
Ishiba in the call suggested that any reticence felt by buyers over high housing prices should be waved away.
“People say, well, rates are low, but housing values are going up and I want to wait for a little while to see if values will come down,” he said. “Well, if rates tick up and housing values slow down, you’re still going to end up paying more for the house.”
“People are still buying houses and it’s all about how much you’re paying for the house today,” he continued.
Commenting on the low housing stock across the country, Ishiba said it “doesn’t worry me at all.”
“Obviously, there’s less houses for sale, which is why the values of houses are going up faster than normal,” he said, “but there’s also a lot of borrowers in forbearance that aren’t making mortgage payments that might sell their house when forbearance ends.”