Clean Up Real Estate.org

... mechanisms all too often prove ineffective in preventing consumer abuse. In particular, the information that is needed to engage in informed shopping is often not provided in a timely manner, nor in a manner which consumers can incorporate readily into their shopping behavior.

... the lending agent (mortgage broker or loan officer) is rewarded differentially depending on the nature of the loan can create problems, particularly when the interests of the borrower are not aligned with those of the mortgage broker or loan officer.

... to push specific products, mortgage product advertisers, mortgage brokers and loan officers alike often use their considerable knowledge about consumer behavior to enhance their own business and gain additional commissions. Poor price awareness makes consumers vulnerable to these efforts, especially in situations where it is difficult for a consumer to determine which mortgage price represents the best deal.

... theory assumes that consumers shop for the best available price and terms, even the most sophisticated borrowers often find it difficult to effectively shop for mortgages.

the bewildering array of mortgage products available, even the most sophisticated borrower will find it difficult to effectively shop for mortgages.

... or time to gather information, consumers often rely on a broker or loan officer to gather the needed information and present the best choices. Reliance on third parties best serves the interests of the consumer when their interests are aligned.