Daily Mortgage Commentary
Jan. 23: LO & AE jobs, new lender products; upcoming events & training; top LOs fund how many loans per month?
January 23, 2018
Now that the government has re-opened and furloughed bison are streaming back into various national parks, let’s turn back to…LO comp? “Rob, are you hearing that some companies are offering loan officers in a single branch multiple rate sheets, so that different LOs have different pricing?” Unfortunately, yes. Given that the goal is to offer the same rate to borrowers regardless of loan officer, it isn’t good. The risk you take by offering borrowers different rates is a Fair Lending risk that increases as HMDA gives us more access to more data.
Employment & promotions
“The results are in and Caliber Home Loans, Inc. has been recognized as a top employer in the mortgage industry again! For the third year in a row, Loan Officers recently voted Caliber #2 on Mortgage Executive magazine’s annual list of 50 Best Companies to Work For, 2017. Caliber is proud to also be included on National Mortgage Professional magazine’s list of Top Mortgage Employers for 2018. Readers of the magazine were polled on a range of criteria including compensation, innovation, technology, marketing support, culture and training resources. Loan Consultants looking to join the ranks of a nationally recognized top employer can email Jeremy DeRosa to learn of opportunities, or visit www.joincalibernow.com.”
“Of all the things we do at Stearns Wholesale Lending, our people is what we are most proud of – our Employee and Broker relationships mean the most! Our ability to carry out the individual and collective purposes of our Team is fueled by continuing to make investments in our people and our technology. Personalized attention, competitive products and a deep respect for our Stearns Wholesale Team, have all contributed to nearly 30 years of success. Over half of our Account Executives have tenure of 5+ years. Not only do we have a long history, we have a bright future. Reach out to our Stearns Wholesale Talent Acquisition Manager, Jesse Vazquez, and be part of our purpose!”
loanDepot is starting 2018 full speed, with CEO Anthony Hsieh being the first ever lending CEO to take the stage at Inman Connect in New York, the nation’s largest real estate industry conference. On Wednesday, Anthony will explain how technology is making not just lending but many other areas of home owner’s journey easier. These large technological shifts are commonly called “disruption” because they disrupt whole industries to better serve consumers. But unlike other industries, this financial and real estate technology trend doesn’t displace local pros giving local advice. It makes it easier and faster for local loan consultants to connect with the people in their communities who need their services most. If you’re attending Inman Connect, loanDepot will be available in its hub lounge experience, where you can connect for refreshments, and learn more about everything in the loanDepot universe. To learn more, check this out or contact Shane Stanton
Products for lenders
“That was fast! Roughly two years ago, Resitrader introduced the first online trading platform and today platforms are the new norm. Resitrader now has both GSEs, all the aggregators, banks, and investors with the number of sellers growing daily. The products traded have also expanded beyond normal agency to CRA and other non-agency products. Even a few hedging advisory firms have joined Resitrader to provide their services seamlessly right through the platform, ‘People have been saying the platforms are coming. It’s clear they are here,’ said John Ardy of Resitrader.”
“4506-Transcripts.com’s mission is to support our clients in closing loans fast! We do this by providing fast turnaround times, data security through our ISO 27001 Certification, and customer service with a human touch from 5 AM – 5 PM PST! We are proud to announce that 4506-T transcripts is now an approved report supplier for the Desktop Underwriter (DU) validation service. Fannie Mae’s Day 1 Certainty gives lenders freedom from representations and warranties, plus greater speed and simplicity, and enables an improved borrower experience. With this integration, 4506-Transcripts.com makes it possible for lenders to request tax transcripts and protects lenders from related buyback risk through Day 1 Certainty. We are also excited to share that we are integrated with Ellie Mae’s Encompass, Black Knight Financial Services, and Ventures+. If you are using any of these platforms, please contact us today at (925) 927-3333 or email us at sales@4506-Transcripts.com to get started!”
Informative Research, a market leader in delivering a range of technology-driven solutions for the mortgage industry, appointed Tim Cox as its new SVP of Operations. Previously, Cox served in several key roles working in administration, strategy, and management of national programs. Utilizing his 19 years of experience, Cox will be responsible for conceptualizing and implementing new methodologies and systems set to improve Informative Research’s service across all products. “Informative Research is not afraid of change, and that’s what really drew me to this opportunity. And while their service is already renowned and excels the industry standard, they’re still determined to improve how they operate, build on their exceptional company culture, and deliver valuable solutions to every client – that’s the kind of company I want to be a part of,” explained Cox. Feel free to connect with Cox via LinkedIn.
We often hear in our industry about how stressful many borrowers find the mortgage process. This can obviously have an impact on your borrower experience and ultimately your referral business. The solution that every lending team can own themselves: focusing on communications. I wanted to share an ebook on the topic: “The Mortgage Communication Playbook.” It summarizes why great communication is critical, what great communication looks like, and how to make it happen. By focusing on how you communicate with your borrowers you can relieve their anxiety, increase referrals, open up your time, and make your business grow. No email or registering required for this eBook! Download your free copy here.
LD Holdings Group, LLC, parent company of loanDepot, announced continued expansion through its newly formed venture, mello Home. It “will connect pre-approved homebuyers with verified real estate agents in their local market, and help consumers find and hire home improvement and other pros. mello Home is the first mello-branded business line following the company’s March 2017 launch of mello™, a proprietary financial technology ecosystem supported by 450+ tech team members.”
Congrats to Bill Neville who has been named LoanLogics’ (loan quality management and performance analytics) president and chief operating officer, responsible for overseeing all operational controls, technology and software development.
In the 2017 STRATMOR Originator Census study, STRATMOR found the top 20 percent of originators closed just over nine loans a month on average. Those same top 20 percent tended to have an average tenure of just under five years. Knowledge is power when it comes to building and maintaining a great sales team. What do you know about your team? Is it time to start recruiting because you have a higher than average age group that may be retiring soon? How many of your originators are reaching the average tenure time this year? Find out the answers to these questions and more by participating in the 2018 STRATMOR Originator Census survey, now open for registration for Retail and Consumer Direct channels. Participants receive a customized summary report comparing their company data to industry averages. To participate in the survey, or to learn more about the Originator Census study, visit STRATMOR’s website or email STRATMOR.
Upcoming events & training
Valuation Management Group will be hosting a complimentary appraisal webinar – The Power of Income which will be presented Thursday, January 25, at 11AM EST by Crispin Bennett. The webinar is designed to assist real estate appraisers gain a better understanding of when the income approach is important from the lender and the appraisers’ point of view and cover many key points as it relates to developing the income approach in appraisal assignments. For both residential and commercial appraisers. If you have questions, feel free to contact Natalie Thompson.
What’s the future of the industry – and how will we get there? Total Expert has formally announced its newly formed Innovation Leadership Council. This invite-only event will include leadership from 30 top lenders, and focuses on marketing and innovation trends shaping the future of the industry. The event includes interactive, executive round table sessions where leaders can learn and share industry best practices, and I’ll be sharing my perspective on where the industry has been technologically, and the “buzz” I hear in my travels about where we are headed next. The event will also feature an overview of the Total Expert roadmap as well as several other “best-of-breed” technology companies. If you are in a leadership position at a bank or mortgage company, and have interest in receiving an invitation, request more information here: Total Expert Innovation Leadership Council.
Join BuckleySandler partners on January 30th as they help mortgagees navigate this year’s FHA annual recertification process. Find out details about this webcast and register today.
On January 31st, join the law offices of Peter Brewer for breakfast and a seminar on Easements in California. The presentation will cover important elements of easements, including the process for creating easements, the types of easements, and how to litigate easement disputes. This event is being presented as an in-person presentation and as a live stream — so you can watch the program either in-person or at your desk.
Join Dodd Frank Update for its Consumer Complaints: Meet Expectations webinar 2-3 p.m. Feb. 6th. Compliance attorneys Mike Flynn, Partner at Goodwin and Proctor, and Allyson Baker, Partner at Venable, LLP, will address meeting and staying current on expectations for competing government regulations, how to build and maintain compliant management systems, implementing an effective continuous training program, and more.
Ellie Mae’s AllRegs February courses have posted. Taking the steps to mortgage compliance regulations begins February 1st. This course is designed to provide a basic overview of federal mortgage regulations that apply over the life of a mortgage loan beginning at the point of origination and touching on each stage of the mortgage loan process through servicing. Advanced FHA Underwriting begins February 1st. This course is designed for the underwriter who has a very solid understanding the principles of underwriting FHA loans. Intermediate FHA Underwriting begins February 6th.This course is designed for those who have the fundamental skills of FHA underwriting and who can recognize FHA specific forms and documentation, calculate loan amounts, qualifying ratios and mortgage insurance premiums.
Underwriting VA Loans begins February 7th. This course provides clear instruction for those looking to add the VA program to their existing product mix. The course explains guidelines and provides strong advice from industry experts who have worked with the programs personally. Keeping Ahead of the Smoke: Preparing for a Fire-Related Natural Disaster on February 7th. Expert answers for how to prepare your business, stay compliant, and help your customers when they need it the most.
On February 19th, join OMBA to learn about the benefits of internal audit with Presenters: Brian Mischel, Partner at BKD Cincinnati, OH and Ryan Sailor, Director at BKD New York, NY.
Join the MMLA on March 8th for its 2018 Marketing and Sales Symposium in Howell Michigan. Cost is $79 for MMLA Members, $99 for non-MMLA Members. Groups of 5 are $350.
Ellie Mae has announced new speakers for its upcoming Ellie Mae Experience 2018, March 19-21 in Las Vegas, and will feature several keynotes and presentations from notable figures in the mortgage industry as well as famed athletes and government officials.
Join Valuation Expo March 18th to the 21st in Charleston, SC. Stay up to date on industry regulations, meet potential clients and grow your business all at Valuation Expo.
The National Association of Minority Mortgage Bankers of America announced that the Mortgage Bankers Association, United Wholesale Mortgage, and XINNIX will be title sponsors of NAMMBA’s Connect conference in Atlanta this spring. All three groups will be on full display at NAMMBA’s CONNECT 2018 conference April 12-14 when real estate finance professionals gather to hear from leaders about the state of the industry. The conference will spotlight experts discussing a wide array of topics, from offering an economic outlook for 2018 to giving tips on conquering the builder market.
Congrats to our Congress for kicking the can down the road to February 8th. Things were extended, but not before everyone heard from Freddie Mac, FHA (operating with limited services – Contingency Plan for Possible Lapse in Appropriations, and Ginnie Mae.
There were no major economic headlines on Monday as the Treasury market meandered through the day leaving the 10-year note yielding 2.66% while the government & press was focused on temporarily resolving the shut down. So we’re set-up for the next round of negotiations over the next two weeks.
Today, there will be a FedTrade operation which will see the desk purchase $755 million 30-year conventional 3% and 3.5%, continuing to help the demand side of the supply/demand equation. Before the trading day got started stateside, the Bank of Japan announced its latest policy decision. (The BOJ left policy unchanged (as was widely expected) and expressed a slightly more upbeat view on the state of Japanese inflation.) The US calendar kicks off with the Philadelphia Fed Nonmanufacturing Business Outlook Survey, Redbook same-store sales, and the Richmond Fed’s manufacturing and services indices. Rates are lower versus Monday’s close with the 10-year at 2.63% and agency MBS prices better nearly .250.
(Please excuse any delays in communication this week, as I am doing volunteer work in an orphanage with a group led by Ken Perry of The Knowledge Coop.)
Do NOT accept a friend request from Hormel Foods.
It might be SPAM.
Visit www.robchrisman.com for more information on our industry partners, access archived commentaries, or to subscribe to the Daily Mortgage News and Commentary. If you’re interested, visit my periodic blog at the STRATMOR Group web site. The current blog is, “Servicing: All It’s Cracked Up to Be?” If you have both the time and inclination, make a comment on what I have written, or on other comments so that folks can learn what’s going on out there from the other readers.
(Market data provided in partnership with MBS Live. For free job postings and to view candidate resumes visit LenderNews. Currently there are over 300 mortgage professionals looking for operations, secondary and management roles. For up-to-date mortgage news visit Mortgage News Daily. For archived commentaries, or to subscribe, go to www.robchrisman.com. Copyright 2018 Chrisman LLC. All rights reserved. Occasional paid job listings do appear. This report or any portion hereof may not be reprinted, sold or redistributed without the written consent of Rob Chrisman.)
Jan. 22: LO jobs, reverse training, note on culture; disaster updates; jumbo trends; reverse mtg. securitization
January 22, 2018
If you want to read up on the latest Fannie lawsuit, here’s one dealing with a stripper hired into Fannie’s IT group but with unusual manager expectations. If you want to live in affordable beach town, stay away from California. Per this list, there aren’t any. In fact, looking at the West Coast, in the top 25 there is only one in Oregon (Coos Bay) and only one in Washington (Port Angeles) – most of the others are in Florida. And if you want the latest on Equifax, it is battling 334 separate consumer complaints. No surprise there, huh? Employment, products, and training Despite housing prices stabilizing nationally, FHA-insured mortgages are still in high demand due to their relaxed credit and down-payment requirements. To optimally manage the pipeline of CWCOT-eligible properties, servicers need to implement solutions that address unknown
Jan. 20: Tiny home underwriting, blockchain & MBS, cryptocurrency volatility, digital mortgages, the govt’s shutdown & lending
January 20, 2018
What do tiny homes, bitcoins, eNotes, a government shutdown, and tax jokes have in common? They’re all in today’s commentary! What if the government shuts down and no one noticed? The mainstream press is certainly focused on it. The last shut down was in 2013, and there were many before that. Contractors may see a delay in payments. Social security checks still go out. The bond markets will continue to trade. Freddie & Fannie will still buy loans and are functioning, as are Ginnie Mae, FHA (with no manual intervention), and the VA. The IRS can’t do Social Security number or income verifications, or offer transcripts, however, which means a delay for applications, and things don’t look great at the USDA. This is the time for LOs & brokers to add value – let your borrowers know what