Question

Xyz realty was fined after being found guilty of violating antitrust law. which of these activities performed by the firm is the likely violation?

Answer 1

The activities performed by the firm the likely violation is - Requiring a consumer to use a specific mortgage company.

Mortgage companies are financial companies that underwrite and issue (provide) their own mortgages to homebuyers and use their equity capital to make loans.

Mortgage lenders can make money in a number of ways, including origination fees, yield spread premiums, discount points, closing costs, mortgage-backed securities (MBS), and loan services. Closing fees that lenders can use to make money include application, processing, underwriting, loan lockout, and other fees.

Mortgages are exactly the same except they apply to real estate (houses or buildings). Simply put, a mortgage is a type of loans like a car loan or jewelry loan. Specifically, it is a loan that borrows money to buy or refinance a house. that's it.

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