“I was at a recent event where the moderator asked me a question about the combination of Rocket and Redfin and Mr. Cooper,” Broeksmit said. “This is really topical, because just today, some, let’s say, left-leaning senators, Elizabeth Warren, Bernie Sanders, others like that, sending a note saying, ‘You’ve got to stop this merger. This is the end of the world, and there’ll be no more competition left in the mortgage business.’”
Broeksmit pushed back, saying that there would still be an overwhelming majority of loans that Rocket would not touch even after the merger.
“If this merger goes through, that combined entity will touch one in six borrowers,” he said. “That leaves five out of six for everyone else. And that concentration, compared to many other industries in this country, is pretty small.”
The letter sent by the senators said the merger would reduce choices in the industry, which would raise prices.
“These deals would combine the second-largest mortgage originator, the largest mortgage servicer, and the third-most-visited real estate brokerage website in the United States,” the senators noted in their letter.”
