In this note, we assess the hot topics at the Goldman housing conference in the context of pending U.S. regulatory developments to forecast how fintech meets mortgages and where regulatory policy makes a difference. Although there are meaningful opportunities for well-capitalized mortgage players (MIs, PEs), we think the OCC’s approach to special-purpose charters limits their utility. However, the charter does have some meaningful benefits for mortgage players looking to add optionality and cost efficiency by increased product choices. Depth of capital or access to the secondary market will drive success here for mortgage add-ons (e.g., HELOCs) and new products such as unsecured personal loans, but fee-based activities could have a field day with an OCC charter.
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