what are the benefits of warehouse lenders 
for a small bank cash flow can be an issue borrowing from a warehouse lender allows smaller banks to do a higher volume of mortgage lending without depleting their cash reserves since they quickly sell the loans after closing it also means they don t have to service the loans for their term length the bottom lineas a borrower you might assume that your mortgage is borrowed from the bank where you apply however warehouse lending means that although you interact with your local bank your mortgage can be funded by a larger entity this helps keep the smaller institution liquid and allows them to originate loans and sell them quickly to earn profits 