Fee Collection, MSR Acquisition Tools; Deep Dive into Recent Rate Moves; Capital Markets
Sometimes, someone unexpected comes into your life outta nowhere, makes your heart race, and changes you forever. We call those people cops. (Where did you think that was going?) There are always riddles and surprises out there (find the heart), but one is not originators helping borrowers create wealth through leverage and tax savings. Lenders are, in one sense, in the business of creating wealth. Whether it is helping someone buy a home that will appreciate over the long term, or helping them save money through equity or on taxes. Rates have moved higher, as we knew they would. But there’s still $10 trillion in untapped, much of it tappable equity in the U.S. Housing Market. Some estimates suggest $5 trillion since the pandemic began. Not all this can be converted to cash or used to pay off debt, of course. Credit card debt is back above $1 trillion as stimulus checks have dried up. Delinquencies are down, active foreclosures are down. It is still a great time to be in our business! (Today’s audio version of the commentary is available here brought to you by SimpleNexus, an nCino company and award-winning developer of mobile-first technology for the modern mortgage lender. Today’s includes an interview with Curinos’ John Sayre on recent industry trends in ARMs, jumbo loans, and HELOCs/cash-out refinances.)
Broker and Lender Services and Products
“Northpointe Bank Warehouse Lending is pleased to announce our new integration with ICE Mortgage Technology’sTM Encompass Loan Origination System (LOS). Loan delivery from the Encompass pipeline to Northpointe will allow our clients to fund loans without navigating outside the LOS and automates the receipt of data elements and documents uniformly. Northpointe Bank has always maintained a strong focus on technology, which helps to enhance our partnerships with lenders and stay ahead of the fast-moving improvements to our industry. With this in mind, Northpointe Bank Correspondent Lending is rolling out an Encompass Investor Connect integration in the second quarter. Northpointe’s Warehouse Program was developed to reach all segments of the mortgage industry. We are a true relationship lender focused on assisting clients seeking their first facility, a replacement facility, or just in need of additional capacity. For more information on Northpointe Bank Warehouse Lending, contact Ashley Lockaby, Director of Warehouse Lending.”
When was the last time you reviewed the basics of hedging and risk management to protect your margins and profits? Given the recent market volatility, hedging best practices should be assessed to understand risks and avoid surprises. Join industry experts from Optimal Blue, a division of Black Knight, on Wednesday, Feb. 16, for a discussion on the current state of the market, common hedging challenges, and recommendations for success in any market environment. Save your seat today for this timely and informative webinar.
LOS + CRM = L for LoanMAPS! LoanMAPS checks all the boxes off your forever LOS checklist. So get ready to fall in love with LoanMAPS and ditch your expensive FinTech stack. Cloud-based LoanMAPS, a fully integrated digital processing and underwriting system, will eliminate your need for a POS, a LOS, a CRM, report writer, income calculator, and more. Do you know your costs of your full-time employee? Does your Fintech truly improve their process and reduce your cost to close? LoanMAPS does. With LoanMaps you can have confidence in entry level mortgage bankers closing in no time! “LoanMAPS is not about replacing people, but about using technology to its fullest potential so that your employees can reach theirs.” Take3Tech! Happy Valentine’s Day from LoanMAPS and Take3Tech. Swipe right on LoanMAPS.com to schedule our date today.
The Freedom Mortgage Wholesale Division is heating up! Now offering up to a (0.625) improvement in VA & FHA FICO-based LLPAs. Plus! A (0.375) improvement on Conventional loans from $400-$499k and a (0.500) improvement on $500k+ Conventional. That’s $3,000 on a $600,000 loan! To learn more, check our rate sheet or email Freedom Wholesale to have an Account Executive contact you.
After a few wild weekends of NFL football, including last night’s big game (sorry football lovers, today is still not a holiday!), it’s time to get back to business… Which may be just as wild! But don’t worry, Computershare Loan Services (CLS) has you covered! Meet up with the CLS team at Southern Secondary in Houston (Feb 21 – 22) and at MBA’s Servicing Solutions Conference in Orlando (Feb 22 – 25) to hear the benefits of tapping into CLS’ servicing solutions, origination’s fulfillment services, MSR acquisition program, and mortgage cooperative. And, CLS’ Dave Vida, EVP of Enterprise Sales, will discuss the latest issues in servicing at the Servicing Solutions Conference Super Session on February 25th. If you’re not quite ready to catch him in person, contact Dave and the team at Computershare Loan Services to learn how CLS can help your business succeed in this unpredictable environment.
Upfront fees. Everyone does them the same way and they’re always a disaster. Loan Officers capture credit card numbers on forms and someone in operations then keys them into a card processor and manually updates the LOS. Upfront fee collection is the poster child of inefficiency. How about this instead… The loan officer clicks a button, the borrower gets a text message with a link, and pays the fees on their device. The LOS is automatically updated and the receipt uploaded to the eFolder. No more declines. No more incorrect card numbers. No more PCI compliance issues. It’s called Fee Chaser by LenderLogix, and it’s how the most efficient lenders collect their fees. Check it out here.
“Do you have the compensation to attract and retain top talent? Find out with Richey May’s 2021 Independent Mortgage Lender Compensation Survey. It’s relevant, covering over 150 mortgage banking job titles, so you get data directly related to your specialty. It’s dynamic, displaying the data on an interactive dashboard that lets you drill down into compensation data in local markets, not simply national averages. It’s convenient: Just send us your payroll data files, and we extract what we need. It’s affordable: We cover the full range of compensation data and keep our fees competitive. Sign up on our website today. Looking to gain efficiencies and replace the need for more headcount? Check out RM Analyze, business intelligence designed by and for mortgage industry experts, and RM Automate, powered by Zoral, an end-to-end intelligent automation solution that streamlines your operation from lead generation to post-closing.”
Free new ebook: The Future of Secondary Market Trading for Local Lenders, featuring insight from industry experts with 25+ years of capital markets experience. Today’s competition and changing market trends are daunting—but they’re not insurmountable. For local lenders, the secondary market provides a prime opportunity to pursue better margins, more competitive rates, and increased profitability. And yet for years, technology-driven secondary market solutions haven’t catered to small and midsize lenders. Luckily, that trend is changing, with new offerings now available that enable unprecedented access to the secondary market. Dive into this new ebook from mortgage solutions provider Maxwell to learn how partnering in this area can help you generate world-class results, allowing you to compete with the industry’s largest players. Click here to download Maxwell’s latest ebook, The Future of Secondary Market Trading for Local Lenders.
M&A: 2022 Will be a Big Year
We can expect large lenders and vendors to grow larger this year, much of the growth coming from mergers and…