When your mortgage is sold, you should get a "goodbye letter" from whoever sold it, and a "hello letter" from whoever bought it. This is so you don't keep sending checks to the old place, and have the new people decide that you aren't paying your mortgage.
replyin principle you should be able to reject the mortgage sale, too. purely hypothetical but: suppose some bank was responsible for killing a family member, you shouldn't be forced to owe that bank money.
replyThis means that any mortgage transfer would come with a 'sweetener deal'. If you don't object to the transfer you get a small reduction in your monthlies, e.g.
I assume the right to sell the mortgage to anyone they want is part of the original mortgage contract.
replyComposition vs inheritance maybe makes a difference here? :thinking_grimace:
replyWhat I mean is parent companies and contracts that might obfuscate who's owed the debt.
However, I don't know anything about debt markets let alone homeownership.
Checks? ;)
replyI don't mean this flippantly, but it's usually whoever you're writing the check to. My first home had the mortgage sold within a week, and someone else started taking the money out of my account.
replyThe servicing company could be different than whoever actually owns the debt.
replyYep.
replySome originators will hold on to servicing of your debt wherever it goes (within certain boundaries, e.x. if you go into a delinquency or reconciled delinquency state).
Those originators use it as a selling point, because many people have gotten bit by servicer flips one way or another.
Oh okay, in that case mine were never sold. As in the sibling reply, my assumption is that the "retail" side of the mortgage (who you make your payments to) is fully detached from who ends up owning the mortgage backed securities that your debt is being financed by.
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