It used to be simple: When you wrote a check for your mortgage, it went to the bank that gave you the loan. But now that check most likely makes a journey of a thousand miles, according to this MSNBC article. Because of changes in the banking and mortgage industries, thousands of investors around the world get a piece of your monthly mortgage check. The article explains how this change happened and how the market for ‘mortgage-backed securities’ has grown to $6.8 trillion. It’s a good read if you have an interest in knowing who owns your mortgage.
Credit: MSNBC article