tag:blogger.com,1999:blog-36723047.post3715705948454150684..comments2023-06-10T06:31:28.448-04:00Comments on thin gray line: American Home Mortgage Investment Inc. No Time WastedFred Adelmanhttp://www.blogger.com/profile/02738489173433421034noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-36723047.post-60275337292373905352007-08-05T16:54:00.000-04:002007-08-05T16:54:00.000-04:00Great post! Like to add some thoughts.This is abou...Great post! Like to add some thoughts.<BR/><BR/>This is about survival of the fittest. AHM is JUST a conduit - NOT a direct lender. A good friend of mine at Wells Fargo, a major buyer of AHM paper told me that this is NOT a spill over into the conventional market, but it is about mitigating risk and reward.<BR/><BR/>AHM underwrites the loans and sells them to 1 of 4 major buyers, At that point, they initially make the VAST majority of the revenue and then pass on the loan.<BR/><BR/>That is what they are a pass thru, just look at the dividends they paid out. Everyone saw how much they made and now its tightening AND now the big 4 better control their risks without sharing in the rewards.Anonymousnoreply@blogger.com