Mortgage Buying Groups: do they exist?

[Chris Abkarians]

Hi all,

This is a bit unorthodox but curious to hear some thoughts. I reached out to a dozen lenders in Boston to find the best rate for my own mortgage. Many of my friends were looking for mortgages at the same time. So, we asked a few of the lenders if they'd give us a discount if we got 10-20 borrowers to go with the same bank. Surprisingly, 2 of them said yes and now we're bargaining on price.

This didn't seem all that difficult to do, so I'm wondering if this already occurs at a larger scale? Are there any buying groups I could perhaps join to find an even lower rate?

[Chris Abkarians]

Thanks Chris, having a more in depth discussion with someone fairly senior tomorrow and will let you know what comes of it.

Current discussion is around structuring a 25-50 bp discount to borrowers without changing closing cost (which was already quoted at zero). It was already also the best rate I'd found! Closing timeline is an open ended discussion point right now. There is some openness to executing this as long as the borrowers apply and are approved by a certain date.