Amazon could seize opportunity in fractured mortgage market

E-commerce giant might be considering a move into lending, a huge departure from its business model that would require working through a lot of red tape

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At Inman Connect New York, Compass COO Maëlle Gavet told the audience that she believes "what Amazon has done to retail, someone is going to do to real estate." Is it possible that Amazon itself could be that someone, starting with mortgages? Last week the news broke that Amazon is talking to big banks about potentially offering its customers simple banking services such as checking accounts, according to a report by the Wall Street Journal. Soon after, HousingWire reported that the online shopping platform is rumored to be looking into mortgage lending, going so far as to reportedly looking to hire a head for its new lending division. "Amazon is in talks with JP Morgan to start providing checking account services," Brent Nyitray, director of capital markets at iServe Residential Lending, told HousingWire in an email. "Amazon mortgages cannot be far behind." In the U.S., mortgage lending is an enormous industry — total mortgage debt topped $9.33 trillion in the last qua...