Trade group and nonprofit open mortgage brokerage

Association formed by Rent Stabilization Association and Housing Partnership

TRD New York /
May.May 22, 2014 02:45 PM

The Rent Stabilization Association trade group, in conjunction with another nonprofit, is launching a mortgage brokerage aimed at serving the city’s smaller landlords.

Called RSA Mortgage Brokerage, the new entity is a joint venture between the rent stabilization association and the Housing Partnership, a nonprofit that arranges financing for moderate-income affordable-housing projects.

The brokerage should have no shortage of customers. Smaller landlords typically struggle to secure financing and have trouble getting loans from traditional lenders, according to Crain’s.

“The smaller members (of the association) were having difficulty obtaining mortgage financing,” John McCarthy, who will serve as chief executive of the new association, told Crain’s. “He noted that despite landlords’ creditworthiness, lenders and brokerages have largely ignored this market segment in favor of larger landlords, since there is more money to be made.”

The new brokerage will aid in financing purchases, and otherwise serve as the middle-man between banks and owners looking to secure mortgages for capital improvements and maintenance. McCarthy told Crain’s that he could not yet give an estimate on the volume of financing that the startup will arrange. [Crain’s]Julie Strickland


Related Articles

arrow_forward_ios
A rendering of 1998 Second Avenue in Harlem and Peter Fine (Credit: GF55 Architects)

Peter Fine inks $70M construction loan for Harlem resi project

Peter Fine inks $70M construction loan for Harlem resi project
(Credit: iStock)

Loan applications to buy homes rise for fifth week

Loan applications to buy homes rise for fifth week
(Credit: iStock)

TRD INSIGHTS: MBA finds 8% of home loans in forbearance

TRD INSIGHTS: MBA finds 8% of home loans in forbearance
(Credit: iStock)

Applications to buy homes rise for fourth week with New York leading the way

Applications to buy homes rise for fourth week with New York leading the way
(Credit: iStock)

TRD Insights: MBA finds 8% of home loans in forbearance

TRD Insights: MBA finds 8% of home loans in forbearance
Colony Capital CEO Tom Barrack (Photo by Michael Kovac/Getty Images)

Tom Barrack’s Colony Capital defaults on $3.2B in loans

Tom Barrack’s Colony Capital defaults on $3.2B in loans
Mortgage Banker Association’s weekly index shows another increase in purchase applications for home loans during the last week of April 2020. (Credit: iStock)

Home-purchase loan requests rise for third straight week

Home-purchase loan requests rise for third straight week
(Credit: iStock)

TRD Insights: US housing market was better prepared for this recession: Report

TRD Insights: US housing market was better prepared for this recession: Report
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...