3% Rebate for a Mortgage Broker?
Is that a normal fee/rebate/yield spread premium for the broker to be paid from the bank on a two family refinance?
Is that a normal fee/rebate/yield spread premium for the broker to be paid from the bank on a two family refinance?
Any type of Y.S.P (Yield Spread Premium)/Rebate is paid to the broker by the bank/investor. The broker will get this Y.S.P based off of what rate he charged you. For example, the higher of a rate a broker charges you the more he gets in his Y.S.P. The lower the rate the lower the Y.S.P paid to broker. It is normal, but in my opinion if he is getting anything over 2% of a Y.S.P is too much.
Any type of Y.S.P (Yield Spread Premium)/Rebate is paid to the broker by the bank/investor. The broker will get this Y.S.P based off of what rate he charged you. For example, the higher of a rate a broker charges you the more he gets in his Y.S.P. The lower the rate the lower the Y.S.P paid to broker. It is normal, but in my opinion if he is getting anything over 2% of a Y.S.P is too much.