When I read these types of articles, it leads me to wonder why are these companies lowering our loan signing fees?
“PennyMac reports Q4 profit of $107M as origination growth offsets MSR runoff
Net income for 2025 rose to $501.1 million as production volumes jumped 25% and servicing portfolio expanded” - PennyMac reports Q4 2025 profit of $107M
Newb acceptance of non-profitable fee probably contributes a bit to Lenders growing profits.
I charge more for Penny Mac already because they are usually huge.
PennyMac was founded by the guys who ran Countrywide into the ground. Just before they went under in 2008-2009, I did a little consulting work for them. What a mess! Got paid and got out - FAST. I hope these guys learned their lesson.
It seems like they will write mortgages for people with not great credit who can’t get a mortgage somewhere else and then they charge for private mortgage insurance and I always feel bad signing their loans. Because those buyers need financial counseling before they need another high interest mortgage.
It’s basically the same pro forma they were using in 2005-2008. There’s nothing inherently wrong with being the mortgagor that serves weaker borrowers as long as it’s done ethically. Countrywide departed from that norm and they went under, hard.
I see no risk to a notary handling a deal that comes from PennyMac. Just do the job and move on.
We’re actually on the same page as far as that goes I never feel responsible. I just think some lenders are predatory.
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