providing warehouse lines to a nationwide customer base with

Transcription

Friday, September 22, 2006
Oser Communications Group
Austin
PROVIDING WAREHOUSE LINES
TO A NATIONWIDE CUSTOMER
BASE WITH ACCESS LENDING
HOW TO GROW IN A COOLING
MARKET: ELLIE MAE’S ENCOMPASS
PROGRAM PAVES THE WAY
David Fleig, founder of Access Lending
Corporation, discusses the company’s
incorporation into New Century Financial
Corporation, as well as their approach to
serving customers, large and small.
Scott Everett, President of Dallas,
Texas-based
Supreme
Lending,
explains how using technology can help
mortgage companies grow despite the
cooling market.
MDN: Tell our readers a little about
Access Lending. What’s your main line
of business?
DF: Access Lending is a Texas-based
specialty finance company providing
warehouse lines to a nationwide customer base. Residential mortgage ware-
house lending is
our only business.
We are celebrating
our ninth anniversary this month!
MDN: What do you consider the key
technologies that brokers and bankers
should be deploying to be successful in
our shrinking market?
MDN: What was
the most significant event affecting your company
in the past year?
Continued on Page 14
SE: I’d say that leveraging the latest
loan origination system, voice-over-IP
and scanning technologies are critical in
operating efficiently. Of all technologies my company
leverages today,
probably the most
important is our
loan origination
system, Encompass from Ellie
Mae, which has
helped us to cut
costs significantly. Beyond helping us
FIELD REPRESENTATIVES FROM
BE SURE TO WEIGH A VARIETY OF
INTERBAY MAKE AN OFFER MORTGAGE CONSIDERATIONS, CONCERNS WHEN
PROFESSIONALS CAN’T REFUSE
CHOOSING A WAREHOUSE LENDER
By Matt Cascarino
As a mortgage professional, you probably don’t have a shortage of lenders
dropping by for a visit. Many lender reps
are little more than window dressing
with expensive wristwatches and pouty
“gimme a deal” stares–not to mention
their pens, paperclip holders, Frisbees
and other detritus emblazoned with their
logo and a catchy phrase. However, do
you feel that they actually care about the
success of your business? InterBay does,
which is why they created the Regional
Account Manager
(RAM).
InterBay has
nearly 40 RAM’s
in the U.S. and
Canada.
Unlike
typical lender field
reps, InterBay’s
RAM’s are not on
the ground solely
to “bird dog” deals.
While they are certainly capable of disContinued on Page 14
Courtesy of First Collateral Services,
Inc., a member of Citigroup
According to Secondary Marketing
Executive (June 2006, Vol. 20), there
are about 75 warehouse lenders nationally…that is a lot of competition for
your business! As such, there are many
considerations in determining which
warehouse lender to choose as your
business partner.
Price is a consideration, of course,
but it is only part of the equation. Prices
will vary depending on line size, antici-
pated turnover on the line and the
assessment of risk. Price has many
components—often these prices will
not be apparent in an initial proposal—
so you should always ask. Additional
fees may include legal, wire, overline,
renewal, non-usage, cancellation and
annual commitment fees.
Don’t Gamble
with Your Business.
A SUPREME LENDING BRANCH IS
A SURE BET.
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• Top producing loan officers with management, administration
and operations experience who want more profits.
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• Brokers who want the ease of owning their own business while
having an administrative support system.
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•
•
•
•
•
Paid Weekly
$300 File Fee
100% Commission
FHA/VA Approved
Access to Automated
Underwriting
• Benefits include: Health,
Dental, Life Insurance
& 401K
17290 Preston Road, Suite 300 Dallas, TX 75252
1 -877-350-5225
• Multi State Licensing
• Mortgage Banker! No Need
to Disclose Yield Spread!
• In-House Underwriting,
Closing & Funding Available
• Product Finder
• Corporate Marketing Support
• Monthly Orientation
Training Sessions
www.supremebranch.com
First Collateral has the expertise
to increase your lending power, strengthen your
product offering and develop a partnership
of success.
• As a member of Citigroup, we are the nations
largest leading warehouse lender.
•
• Offering Lines from $2MM to $250MM.
• 20 years of warehouse lending, stability a
partnership deserves.
• Exceeding expectations in every way,
one loan at a time.
• We work hard to make your warehouse
line work for you.
4
RESPONSE MAIL EXPRESS: DIRECT
MARKETING SOLUTIONS FOR THE
MORTGAGE BANKING INDUSTRY
We have noticed a trend out there for the
average mortgage professional. Let’s see
if you fit in the demographic, answer yes
or no to the questions below:
• Has your lead flow started to fall off?
• Have you been asked to reduce your
commission to be “competitive?”
• Are you concerned that you may not
make as much money this year?
• Is your current marketing failing you?
• Is your business not growing as fast as
you think it should for your efforts?
If you answered yes to two or more of
the questions then you need to call
Response Mail Express today to find a
solution that is working for mortgage
brokers nationwide.
Response Mail Express has successfully been in the direct mail business for
more than 24 years and they know the
mortgage business. The company works
with mortgage brokers from around the
country, so they know what works when
generating qualified mortgage leads.
Response Mail’s unique direct mail
TAKE ACTION SO YOU DON’T END
UP GETTING BURNED BY
MORTGAGE FRAUD, SCAMS
By Maury Veedell, Regional Sales
Manager at Taylor, Bean & Whitaker
Mortgage Corp.
Did you know that you could “take the
fall” for a fraudulent loan, even if you
didn’t know the loan was false? Brokers
and loan officers—at the front lines of
defense in verifying—may personally be
subject to fines, legal charges, license
suspension and loss of employment.
Contractually, you or your employer may
be required to reimburse the lender for
the entire dollar amount of the mortgage
involved in the scam.
Just the Facts, Ma’am
Today, mortgage fraud is the fastest
growing white-collar crime in the
United States. According to the FBI,
Mortgage Daily News
packages are designed to stand out, get
attention and get opened. Brokers using
their proven services will see higher
response rates and ultimately close
more loans.
“When you work with us, you know
you’re working with professionals,” the
company states.
Separating yourself from your competition will get your mail opened and
read. With more than 30 pre-designed
and proven marketing packages, and the
ability to customize packages for any
losses are an estimated $3 billion annually. Fraud for Profit committed intentionally by criminals working fraud
scams, accounts for 80 percent of all
fraud and the bulk of financial losses.
Fraud for Property makes up the
remaining 20 percent of fraud crimes
and is generally committed by individuals for personal benefit.
Often, the perpetrators in a fraud
for profit scam are working with one or
more individuals in the loan chain—
buyers, realtors, brokers, loan officers,
appraisers and underwriters. They may
be manipulated and duped, or they
Lee M. Oser
Publisher and Editor-in-Chief
Michael Harris
Senior Associate Publisher
Kim Forrester
Associate Publisher
Nate Searing
Senior Associate Editor
Scott Smith
Associate Editor
Valerie Wilson
Art Director
Marilyn Buck
Graphic Designer
Lorrie Baumann
Business Affairs Manager
Scott Firle
Senior Account Manager
Harold DiCamillo
Richard Mandziak
Account Managers
Enrico Cecchi
European Sales
Mortgage Daily News is published by
Oser Communications Group ©2006. All rights
reserved. Executive and editorial offices at:
1877 N. Kolb Road, Tucson, AZ 85715
520-721-1300/Fax: 520-721-6300/www.oser.com
European offices located at Lungarno Benvenuto
Cellini, 11, 50125 Florence, Italy.
(055) 657-5629, Fax (055) 657-5631
Perseverance
Troy Aikman lost the first 11 games of his professional career. However, his perseverance
over the years made him one of the best quarterbacks of all-time, earning three
championships along the way.
Perseverance can pay off big for you too. When you’re tired of all the headaches and
paper hassles of other lenders, InterBay can help. Common sense underwriting decisions
and a streamlined loan process make small commercial lending fast and easy. And our
dedicated staff of commercial loan experts will hold your hand every step of the way.
Before you know it, you won’t just be closing a loan – you’ll be building a business.
Call 1-866-INTERBAY. Perseverance leads to success.
Visit the InterBay Booth (#707) at TAMB.
SMALL COMMERCIAL LENDING MADE EASY®
1-866-INTERBAY (468-3722) interbay.com
I
Troy Aikman: Hall of Fame quarterback, entrepreneur, spokesperson for InterBay
Funding, LLC 2006. ©2006 InterBay Funding, LLC. All Rights Reserved.
This advertisement is for mortgage professionals only. Loan programs are
subject to change without notice.
6
THE INTERFIRST EDGE: CREATING
REPEAT CUSTOMERS, REFERRALS
JUST GOT A WHOLE LOT EASIER
To succeed in today’s market you need
repeat customers and referrals. In fact,
industry studies show that repeat customers and referrals account for 83 percent of brokers’ business. But getting
there isn’t always easy—you need to
stand out, get noticed and have an edge
over the competition.
InterFirst has made this easier with
The InterFirst Edge.
“The InterFirst Edge puts three
critical components for success right
into the broker’s and correspondent’s
hands, says Fred Freeman, South East
Regional Manager of InterFirst. These
key components are Service, Control
and Opportunity.
InterFirst puts the Service component in your hands by enabling easy
access to an account executive that is an
experienced, responsive problem solver,
quick access to experienced customer
service professionals and an expert technical support team that is committed to
FAST-GROWING SUPREME LENDING
OFFERS MANY OPPORTUNITIES FOR
NEW BRANCH MANAGERS
Supreme Lending is one of the fastest
growing Mortgage Banking Affiliate
Branch operations in the United States.
With over 150 branches, Supreme
Lending prides itself on staying ahead of
the ever changing market by using progressive technology and a personalized
TEAM approach.
Supreme Lending was established
in 1999 by Scott Everett, who has been
in the mortgage brokering and banking
industry since 1993. His vision and goal
when instituting Supreme Lending was
to offer a place where the needs of
every loan officer were met in a timely
and efficient manner. Supreme Lending
is heading in the direction of being one
of the premier branches in the nation.
Currently, they are licensed in 27 states
with offices in each and looking to
expand that number to more than 40
states by year’s end.
Mortgage Daily News
helping get your loans processed and
closed. This commitment helps ensure
your customers are satisfied with their
loan experience, which may mean repeat
customers and referrals for you.
Moreover, you can count on
InterFirst to deliver on customer satisfaction. In 2005, the company, which is
a division of ABN AMRO Mortgage
Group, was lauded by J.D. Power and
Associates for having the “highest in
customer satisfaction in primary mortgage sales.”
InterFirst also provides the Control
component by giving you productivityboosting technology and a continuously
expanding product portfolio. MOAI,
InterFirst’s revolutionary technology, is
one of the easiest systems in the industry
to use when submitting a loan or checking the status of an existing file.
Loan documents and funds are also
available at your fingertips within minutes and can be ordered online anytime,
day or night. Additionally, PRICEFIRSTSM, InterFirst’s easy-to-use,
online pricing engine gives you a complete price quote for all eligible products
in their product portfolio that has been
noticeably expanding.
“Our ever expanding product matrix
has allowed us to become a much larger
piece of our clients overall business
model,” Freeman says.
InterFirst has made significant
changes to their product portfolio
Supreme Lending believes that their
commitment to technology and their progressive thinking will enable them to cut
costs, become more efficient and consequently grow faster and smarter than any
other net branch. The initial technological advancement that Supreme has
implemented is Encompass via the
Internet. This enables all loans officers,
processors and anyone employed at the
company to access all critical data from
anywhere in the world.
The second piece of essential technology that Supreme deploys in their
branches is the use of a VOIP (Voice
Over Internet Protocol) system that
eliminates long distance charges, gives
a fixed cost per phone per month
(which is substantially cheaper than
the typical phone company), and they
even provide an entire phone system
for free to any new branch. It is almost
impossible to believe that any company would be so committed to any new
branch, that they would give them a
phone system.
“Since we installed the phone system [that the company paid for] we have
literally saved 50 percent per month on
our phone bill,” says Kevin Bostad, a
Branch Manager at Supreme Lending.
The company is looking for individuals that have a minimum of three years
of mortgage experience and desires to
Mortgage Daily News
STAFF AT KEN HUGHES & ASSOCIATES,
PC KNOWS THE BROKER, BANKER
BUSINESS FIRST HAND
Ken Hughes & Associates, PC has built a
tradition of excellence spanning more
than 34 years. Fourteen CPA’s and a
trained professional staff provide innovative solutions specifically designed for
each client.
KHA specializes in comprehensive
audit, tax and consulting services for clients
ranging from individual taxpayers through
clients in excess of $50 million in sales.
KHA’s professionals stay ahead of trends to
meet and exceed expectations through their
unique combination of personal service and
expertise. Dedicated to providing a complete financial solution, KHA is more than
just a typical accounting firm—they are a
trusted advisor to their clients.
KHA demands objectivity, competence and due care from its personnel in
the conduct of all of its engagements.
The firm takes steps to ensure that all
personnel assigned to engagements
have the professional and specialized
knowledge required to carry out their
YOUR LOAN ORIGINATION SYSTEM
CAN HELP YOU AVOID HEFTY
FINES AND JAIL TIME
by David Lewis, Senior Vice President of
Marketing at Ellie Mae
The time has come to pay close attention
to today’s stricter compliance laws. The
United States is waging a battle against
fraud, which is now ranked the number
one white-collar crime in America. To do
so, the government is focusing on strictly
enforcing compliance by auditing companies one by one.
The good news is that it’s not that
hard to be compliant if you’re equipped
with the right tools. While antiquated
loan origination systems can leave you
dangerously exposed to a wide range of
compliance issues and mortgage fraud, a
couple of the newer loan origination systems can automate compliance and shield
you and your company from fraud.
Here are six must-have capabilities
that you can now expect from a good
responsibilities. Additionally, established policies and procedures guarantee that professional engagements are
properly planned and executed, and that
decisions are based on the substance of
issues, not on form.
The firm has adopted policies and
procedures that implement the quality
control standards for conducting
accounting and auditing engagements as
established by the American Institute of
Certified Public Accountants. Above all,
KHA seeks to provide the confidence and
comfort of knowing that you have placed
your trust in the right hands.
Ken Hughes & Associates, PC has
experience in the accounting, audit and
day-to-day operations of mortgage brokers and bankers.
KHA works regularly with mortgage broker clients throughout the state
of Texas in providing business planning, quality control plans and compliance, warehouse line accounting and
payroll issues relating to the payment of
loan officers.
loan origination system:
loan files in a non-secure format. These
loan files can be opened using Windows
Notepad, the simple text editor that
comes with Microsoft Windows.
Unencrypted borrower files expose companies to all kinds of security issues. As
such, using a loan origination system that
automatically encrypts all sensitive files
is essential. Not only will it protect companies from hackers, it will also protect
companies in the event of computer theft.
Automated Forms Updates
With so many new forms continually
being produced, how do you make sure
you’re being compliant by using the most
current and accurate form? Today, loan
origination systems can automatically
update forms; much like virus software
automatically downloads the latest virus
updates. Gone are the days of depending
on people to manually download and
install updates.
Encryption
It may seem hard to believe, but one of
the most popular loan origination systems currently used by brokers stores
KHA Knows the Broker and Banker
Business First Hand
The firm has become the referred auditor
of choice by industry experts for providing audited financial statements for initial approval and annual recertification
for the U.S. Department of HUD. KHA
understands HUD requirements and has
experience in dealing with HUD staff to
Protection of Loan Data
Beyond outright computer theft, preventing loan data from falling into the wrong
hands can be difficult, especially when
CHOOSING YOUR AUDIT
FIRM SHOULDN’T BE SUCH
A TAXING PROCESS
Services we Provide to Mortgage Brokers:
Ken Hughes & Associates, PC
is regarded as one of the
top HUD Audit Firms
in the nation
and we are located
right in your backyard.
7
• Audited financial statements as required by HUD for
initial approval and annual recertification
• Quality Control Plans updated with current HUD changes
• Accouting related to your business including
recording of warehouse lending
• Experience in dealing directly with HUD in
resolving Mortgage Broker issues
• Effective Tax Planning
• Certified QuickBooks Advisors
Ken Hughes & Associates, PC
4880 Long Prairie Road, Suite 100, Flower Mound, TX 75028
972-221-2500 or 800-221-2509
www.financialshop.com
Wells Fargo Wholesale Lending
Easy Combination Financing
One call connects you to all the Wells Fargo Wholesale Lending resources
you need to offer your borrowers 100% financing on conforming loans.
Introducing the 80/20 and 90/10 options. By combining a Wells Fargo first mortgage with a
Wells Fargo home equity loan or line of credit,* you can offer your borrowers 100% financing
with no minimum down payment and no multiple-closing headaches.
Wells Fargo and Wells Fargo Home Equity work together to smooth the way to homeownership for your borrowers – and for you.
• New 80/20 and 90/10 combination financing means no minimum down payment.
• For LP loans, just a two-month reserve and a 660 Loan Score requirement applies for DU Approve loans (Fannie Mae restrictions
may apply).
• Innovative secondary financing choices let borrowers use their home's equity as a financial resource.
• Simultaneous closing makes combination financing more convenient.
• 80/20 and 90/10 options are available on a range of first mortgage product
choices including 10-, 20-, or 30-year fixed, 5/1, 7/1 and 10/1 Treasury-indexed, and 5/1 LIBOR-indexed ARMs.
• Available on single-family primary residences.
For more information, contact a member of your Wells Fargo Wholesale Lending sales team and ask about the 80/20 and
90/10 options.
80/20 and 90/10 options combine a first mortgage
with a home equity loan or line of credit to provide
100% financing through Wells Fargo.
• Minimum Upfront Cash. No waiting to
accumulate a big down payment.
• Potentially No MI. 80/20 financing may avoid
mortgage insurance requirements.
• Simultaneous Closings make 100% financing
easy and convenient.
The information contained in this flyer is a summary and is
not complete. Refer to the Wells Fargo Wholesale Broker Guide
for complete guidelines. This information is for use by mortgage
professionals only and should not be distributed to consumers
or other third parties. Information is accurate as of date of printing
and is subject to change without notice. *Home equity financing
may be provided by Wells Fargo Home Equity, a division of
Wells Fargo Bank, N.A., Member FDIC and Equal Housing Lender.
Wells Fargo Home Mortgage is a division of Wells Fargo Bank, N.A.
© 2006 Wells Fargo Bank, N.A. All rights reserved. #102157-6/05
Wells Fargo Wholesale Alternative Lending
Looking For Alternatives?
Look No Further Than Our Alternative Lending Division
Wells Fargo Home Mortgage offers the solutions-oriented loan products you need –
with competitive rates and flexible programs.
Traditional NonprimeSM Program Highlights:
• Up to 100% LTV/CLTV
• Purchase, Rate/term, and cash-out transactions
• Up to 95% LTV for cash-out
• Products offered:
- 15 and 30 year fixed
- 30/15 and 40/30 Balloon
- 2/28 and 3/27 ARMS
• SFR, 2-4 Units, PUDs, and Condos
• Loan amounts up to $2,000,000 with Full Documentation
• Loan amounts up to $1,000,000 with Stated Income
• Up to 55% debt-to-income allowed
• Collections over 36 months old are not required to be paid
• Medical collections (not affecting title) allowed to remain open
• Bank statement programs (business and personal)
• 6 month seasoning on appraised value
• Broker’s dual or tri-merged credit reports used (the lower of the
two or the middle of three for the primary wage earner on 1003)
• No borrower paid mortgage insurance
• Chapter 13 Bankruptcy Buyout up to 100% LTV
(Full Doc only)
Expanded Financing AlternativesSM– Alt-A Minus Highlights:
• Products offered:
- 15, 20 and 30 year fixed, 40/30 Balloon
- 2/6, 3/6, 5/6, 7/6, 10/6 ARMs – LIBOR
• Purchase, rate/term, and cash-out transactions
• SFR, condo, condotel, 2-4 unit, and PUD
• Manufactured Home, minimum 680 FICO
• Full Doc, Stated, No Ratio, and No Doc
• Primary residence, second home, and non-owner occupied
• Minimum 620 FICO and above
• Loan amounts up to $4,000,000
• Up to $400,000 cash-out
• Up to 55% debt-to-income allowed
• Up to 100% LTV/CLTV
• No borrower-paid mortgage insurance
• Foreign National borrower eligible
• Interest-Only payment feature1 available
• No sourcing/seasoning required1
• Up to 2x30 mortgage lates in the last 12 months
• Rolling 30's allowed up to 6:1 ratio
• Up to 9% seller concessions
For Complete Details, see the
Wells Fargo Wholesale Alternative Lending
Broker Guide on www.brokersfirst.com
Contact your
Wells Fargo Home Mortgage
Wholesale Alternative Lending Account
Executive Today!
Or call 1-800-340-0465
1
Restrictions Apply
This information is for use by mortgage professionals only and should not
be distributed to or used by consumers or other third-parties. Information
is accurate as of date of printing and is subject to change without notice.
Wells Fargo Home Mortgage is a division of Wells Fargo Bank, N.A. © 2006
Wells Fargo Bank, N.A. All Rights Reserved.
10
ACCESS LENDING HELPS BANKERS
COPE WITH CHANGING FACE OF
WAREHOUSE LENDING
If you are a mortgage banker, chances
are your warehouse lender has changed
names, changed ownership, changed
leadership, changed business plans or
all of the above in the past year or so.
Numerous entities have entered or exited the business during the same period.
Change is not always a bad thing, but if
it has resulted in your loans not being
funded or shipped on time, you are
probably not amused. It’s enough to
cause rational mortgage bankers to
wonder what is going on!
At Access Lending, they are cele-
brating their ninth anniversary this
month. Access is a Texas-based specialty
financing company providing warehouse
lines to a national customer base. They
have experienced change themselves—as
the company became part of New
Century Financial Corporation in
February, 2006.
But despite that change, Access
Lending has maintained substantial
autonomy, operating as a separate division. Yet, having the backing of one of
the nation’s premier finance companies
has helped them become much more
CITIGROUP EXPANDS, COMBINES
FIRST MORTGAGE OPERATIONS
UNDER CITIMORTGAGE NAME
To better meet the needs of customers,
Citigroup recently announced the combining of its two first mortgage businesses, CitiMortgage and CitiFinancial
Mortgage under the CitiMortgage
name.
Before
the
alignment,
CitiMortgage handled prime residential
mortgages through retail, wholesale
and correspondent loan origination
channels. CitiFinancial Mortgage specialized in non-prime residential mortgages through those same distribution
channels. CitiMortgage will now originate both prime and non-prime residential mortgages.
“This customer-focused initiative
provides consumers, brokers and correspondents with a broader range of
products across a wider credit spectrum,” says Carl Levinson, President
and Chief Executive Officer of
Citigroup’s Consumer Lending Group
of which CitiMortgage is a part. “More
simply put, it will be easier and more
convenient for customers to do business with us.”
“This integration makes sense on
several levels,” says Bill Beckmann,
President of CitiMortgage. “It allows us
to present a consistent face to the market, increase our national presence via
greater distribution and offer more
complete solutions to customers. All of
this is critical in the challenging market
we are in today.”
By uniting CitiMortgage and
EQUIFIRST TRIPLES ITS PRESENCE
IN TEXAS: ISN’T IT TIME YOU TOOK
A CLOSER LOOK, TOO?
By Michael Abernethy,
Regional Marketing Analyst
EquiFirst
It’s time to switch to EquiFirst, where
you’ll
receive
Non-Conforming
ResultsSM with every loan you submit.
In today’s market, many of the
lenders are cutting back, downsizing or
even shutting down branches. EquiFirst
is here to stay! In the ever-changing
mortgage industry, EquiFirst has the sta-
bility to keep relationships alive and help
you do the same. While many other
lenders have chosen to downsize, which
in turn affects the quality of their service,
EquiFirst is expanding by tripling our
presence in Texas over the last year.
Our management team in Texas is
there to make sure you are given the best
possible service. We have brought in
some of the top account executives to
ensure our customers are taken care of.
FRAUD-PREVENTION TOOLS
NO LONGER A LUXURY FOR
THOSE IN THE LOAN INDUSTRY
By Julie J. Jordan of Advantage Credit
In a May 2006 survey of Advantage
Credit customers, 80 percent said fraud
prevention was generally or critically
important to their business, but a much
smaller number reported regular use of
electronic fraud-prevention tools. The
industry needs to connect their desire to
prevent mortgage fraud (with losses of
$86 billion in 2004, according to the FBI)
with a commitment to screen every loan.
Mortgage Daily News
competitive on larger deals.
“It is essential that we maintain
our reputation for excellent service, no
matter the loan type or investor,” the
company states.
At the same time, there are some
very compelling value propositions for
warehousing New Century loans,
including automatic approval as a New
Century correspondent, up to 100 percent financing, minimal documentation
and flexibility on leverage. The initial
response from their customers has been
very positive.
Access Lending has earned a reputation over the years as a trusted advisor to
brokers making the transition to banker.
“I believe we are the best in the
business at this and it will continue to
be an important part of what we do,”
says David Fleig, founder of Access
Lending. “Having the financial
strength of New Century behind us
also gives us the opportunity to be very
competitive with larger customers. We
are having a lot of success with $20
million to $75 million deals and we are
very excited about the ability to
expand our market share over the next
several years. Our plan is to become
the premier warehouse lender in the
middle market space.”
If all of the changes in the world
of warehouse lending have left you
concerned about service levels or
reliability, call Access Lending at 281207-7000 or visit their Web site,
www.accesslending.com.
“Our name, leadership, business
plan, and singular focus on providing
consistent, excellent service remains
unchanged,” Fleig says.
CitiFinancial Mortgage into one business, it will allow the company to:
• Move to a common, customer-focused
business model.
• Migrate to integrated computer platforms/infrastructure leading to deployment of unique technologies that
enable improved and more consistent
customer service.
• Capitalize on expanding product sets
and pricing.
• Fully leverage distribution channels
and strengths of both companies.
“This allows us to better serve our customers as well as provide a complete
product line for new customers,”
Levinson adds.
The CitiMortgage headquarters will
remain in St. Louis with originations
operations centers in Dallas; Southfield,
Mich., Brea, Calif., Burbank, Calif.,
Concord, Calif., and Sacramento, Calif.
CitiFinancial Mortgage employees
became employees of CitiMortgage on
July 1 of this year. In Dallas, where
CitiFinancial Mortgage had been headquartered, the number of mortgage
employees is expected to remain the
same as before. Numerous parts of the
mortgage business will continue to be
located in Dallas, including significant
human resources, marketing and originations operations.
In 2005, CitiMortgage, CitiFinancial
Mortgage and Citi Home Equity, an additional line of Citigroup’s real estate lending business, posted over $130 billion in
originations volume.
This integration has no impact on the
CitiFinancial branch network, as the
business will continue to provide a full
suite of services to consumers throughout
its branch distribution network in the
United States and Canada.
For
more
information
on
CitiMortgage’s expanded products,
technology advancement and streamlined operations, visit https://broker
.citimortgage.com.
Customer satisfaction is a top priority
and EquiFirst feels each of our clients
deserve the best. We want to make sure
your questions are answered and your
loans are funded and ready for the closing table. Our operations team has decision-making authority to streamline the
funding process to provide the best service in the industry.
With our online submission tool,
iquick, you can submit loans and get
pricing anytime. Our AEs are always
accessible, but iquick will let you have
24-hour-a-day access to our rates and
programs that best fit your needs. With
this tool you can lock credit to ensure
you get the rate and pricing you have
quoted to your customer. This is just
one of the many ways EquiFirst provides great customer service.
We strive to create a strong business relationship so we can help your
business succeed, which is why
EquiFirst stands above all the rest. Our
goal is to develop a relationship with
our customers, and we know what it
takes to build a strong relationship. It’s
not rocket science, it’s simple: provide
excellent customer service, deliver as
promised and provide competitive programs. This is the key to success in our
industry for both brokers and lenders.
Take a minute to give us a call at
800-272-3477, and find out what
EquiFirst can do for your business. It’s
time to switch!
Electronic fraud prevention is the
easiest, most cost-effective step you can
immediately take to prevent fraud and
reduce losses from flipping, straw buying, ID theft, insider activity and more.
Why? The sheer number of loans in
wholesale and correspondent pipelines
makes the market an obvious target. With
over 20 million loans last year, fraud
infested loans could easily slip through
any process that is not comprehensive
and electronically assisted.
Fraudulent loans don’t always clock
to conventional risk profiles; the sophistication of modern perpetrators guarantees that an “eyeball” review or basic
checklist isn’t enough. Hidden fraud can
slip through if 1003 data is not compared
with sources that reveal the histories of
borrowers, properties and participants.
In today’s contracting market, the
effects of fraud are more keenly felt;
repurchases, lawsuits, revenue hits,
loss of lender or wholesaler partners,
Mortgage Daily News
ELLIE MAE LAUNCHES NEW EDITION
OF ACCLAIMED ENCOMPASS LOAN
ORIGINATION SOLUTION
There are some things that are better left
unchanged—and others that just keep
getting better.
When Ellie Mae first launched its
Encompass loan origination system two
years ago, mortgage originators were
introduced to an innovative new technology for the marketing, origination and
processing of loans. Now, two years later,
the Encompass Mortgage Automation
System has established itself as the new
standard for loan origination. Seven of
the top ten brokerages use the technology, as well as over 119,000 mortgage
originators of all sizes nationwide.
So what’s the latest news with Ellie
Mae’s Encompass? They’ve added a new
edition to their repertoire of Encompass
products. Recently, they launched
Encompass Professional Edition, a
deluxe version of Encompass Standard
Edition. It is a multi-user program which
adds substantial marketing and productivity tools beyond those included in
Encompass Standard Edition.
Choices for Every Originator
With this latest addition, Ellie Mae now
offers four editions of its acclaimed
Encompass
solution:
Encompass
Personal Edition for the company of one,
Encompass Standard Edition for multiple
users, Encompass Professional Edition
and Encompass Anywhere for Webbased anywhere access. With the launch
of Encompass Professional Edition,
Encompass Anywhere has been upgraded
to become a Web-based version of
Encompass Professional Edition.
Encompass Professional Edition
Encompass Professional Edition features
an advanced marketing campaign manager, contact synchronization with Outlook®
MORTGAGE LENDING BACKED BY
A CENTURTY OF HERITAGE AT
AMERICAN STERLING BANK
Are you trying to find a mortgage lender
that is backed by nearly 100 years of success? Then look no further than
American Sterling Bank. State chartered
in 1907, American Sterling Bank
launched its Mortgage Lending Division
in 1984 and deems it to be their strongest
asset for future growth.
The industry is taking notice, too.
From corporate offices in Foothill Ranch,
Calif., and a satellite office in Las Vegas,
Nev., American Sterling Bank lends in 42
states offering a full array of loan products. These products include A through
sub prime mortgage programs, a unique
Premier Loan and a HELOC 5 that is
exclusive to American Sterling Bank.
Also offered are standard second mortgages which include lines of credit and
closed-end equity loans. First-time
homebuyer programs are also available,
as well as commercial mortgages.
For the size of its asset base,
American Sterling Bank is quite unique
in the industry. This is due to the incorporation of a large volume mortgage
loan origination division as a key facet
of its banking services. Also, this division operates a high-speed automated
loan processing and tracking system,
11
and ACT®, and a software development
toolkit enabling users to develop custom
applications around Encompass.
The campaign management tool
within Encompass Professional Edition
empowers mortgage originators with the
ability to easily create, manage and execute marketing campaigns. It automates
any number of campaign tasks including
sending emails, printing letters, sending
faxes, scheduling phone calls and getting
reminders on the calendar or task list.
With Encompass Professional
Edition, brokers and loans officers can
define and execute multi-step marketing campaigns. For instance, if a loan
officer wants to send scheduled monthly communications to his clients or
referral partners, he can simply create
one or a series of e-mails, and then
load them into the campaign. Once the
loan officer sets when the emails
should go out, Encompass Professional
Edition will automatically send the
emails at the scheduled time. It is also
ideal for planning and executing lead
follow-up campaigns.
Encompass Professional Edition is
the only Encompass product to include
contact and task list synchronization
with Outlook and ACT. With this capability, mortgage professionals can synchronize their contacts and tasks within
these popular applications, without having to manually update one or the other.
Having the task list automatically synchronized with Outlook or ACT makes
great sense for originators who use
these software programs as part of their
marketing campaigns. As more and
more loan officers are using PDAs and
handheld devices to store their contacts,
this synchronization allows them to
take Outlook or ACT contacts and tasks
with them on the road.
Encompass Professional Edition also
includes Ellie Mae’s software developer
kit, which enables companies to build
custom applications in house. It can be
used for integrations with the user’s Web
site, for sending and receiving data with
other applications, for exchanging
Encompass data with other systems such
as accounting systems and much more.
Encompass Professional Edition is
now available for purchase. For more
information, originators can visit
www.elliemae.com or call 888-955-9100.
dramatically increasing the efficiency
of loan brokers.
Currently, the Mortgage Lending
Division of American Sterling Bank
has account executives in California,
Nevada, Colorado, Georgia, Florida
and North Carolina. Service opportunities for experienced account executives are now available in Arizona,
New Mexico, Missouri and Hawaii, as
well as the currently-serviced areas of
California, Nevada, Georgia, Florida
and North Carolina.
American Sterling Bank strives for
excellent service, therefore operation
centers employ highly-qualified staff
members to assist customers in getting
files closed.
American Sterling Bank is a financial services organization within the privately-held
American
Sterling
Corporation. In addition to American
Sterling Bank and its Mortgage Lending
Division, are American Sterling
Insurance Company, American Sterling
Insurance Services and American
Sterling Productions.
American Sterling is About Opportunity
Employees are positive thinking professionals who value integrity and thrive in
a culture that is highly collaborative
and supportive. As a company,
American Sterling Corporation advocates the strategic acquisition and creation of diversified companies. These
companies are intertwined and can be
leveraged to promote development and
financial success.
For further information about the
Mortgage Lending Division of American
Sterling Bank or to inquire about service
opportunities, call 888-762-7788 or visit
www.americansterling.com.
ARGENT UNIVERSITY HELPS
MORTGAGE BROKERS GAIN
COMPETITIVE ADVANTAGE
DECENTRALIZED BRANCH NETWORK
HELPS MORTGAGEIT WHOLESALE
BETTER SERVE LOCAL COMMUNITIES
Argent University—a groundbreaking
educational resource designed exclusively for Argent-approved brokers,
bankers and loan officers—burst onto
the mortgage scene this summer, drawing widespread industry attention for
its convenient and affordable approach
to professional development. The
online powerhouse is packed with professional courses and information
about the mortgage industry designed
to help busy mortgage professionals
sharpen their skills, build their business and respond quickly to changing
market conditions.
Argent University features multitiered resource materials and industry
reference links at no charge for its
approved mortgage professionals, as
well as online courses at an incredibly
Sharon Bitz, Western Divisional Manager
for MortgageIT Wholesale Lending
Division, explains the company’s rapid
national expansion and the effectiveness of
the PriceIT•LockIT program.
MDN: What would you say makes your
company unique?
SB: We are a publicly traded company,
MHL on the New York Stock
Exchange. Our diverse mortgage origination channels—wholesale, retail and
correspondent—produced more than
$29 billion in fundings in 2005. We
were one of the fastest growing mortgage companies nationally last year,
placing among the top 25 overall and
top 10 for wholesale lenders.
MDN: What was the most significant
event or series of events affecting your
company in the past year?
affordable rate. The free resources
available include:
• Continuing education license requirements listed by state and license level.
• Links to industry data including
Congress and federal agencies, mortgage
market news and data, homebuyer assistance and other mortgage-related sites.
• The Industry Campus–Campus
MBA’s weekly industry electronic
newsletter.
In addition, the Argent University Web
site offers more than 50 online courses
designed and regularly updated by
experts at CampusMBA, the educational arm of the Mortgage Bankers
Association, which powers the site.
MDN: Tell our readers a little about
your company. What’s your main line
of business?
SB: We consider our people to be our
greatest asset. They make doing
business with us easier for our customers. Also, our originations have
consistently increased during periods
of industry contraction.
SB: The addition of products like our Pay
Option ARM product line, our
PriceIT•LockIT technology—a pricing,
product eligibility and rate-locking
Artfully
Designed with
You in Mind
When You Choose
Taylor Bean & Whitaker
Mortgage Corp.
llection.
the TB&W art co
Commissioned for
e.
lich
Ca
by
”,
llo
“Casa de Amari
Taylor, Bean & Whitaker Mortgage Corp. recognizes that each mortgage
lender is unique - like a piece of art. That's why we designed a complete online
solution to service your needs; Taylor-Made with you in mind.
• Originate, underwrite, and close loans online at no cost to you
• Online conforming and non-conforming underwriting approvals
• Wide variety of products including conventional, ARMS, ALT-A, Jumbo,
A-Minus, Home Possible, and FHA/VA
TB&W is the largest privately held wholesale lender and is currently
ranked in the top 15.
• We are strictly wholesale, so your customer remains your customer
• Working with Mortgage Originators for 25 years
• Big Technology. Bigger Results
Go Paperless today. Visit us at www.taylorbean.com or call 800.728.1129
Perfecting the Art of Mortgage Lending
Visit us at TAMB, Booth 513
14
Access Lending (Con’t. from p. 1)
DF: Access Lending became part of New
Century Financial Corporation in
February, 2006. We have maintained substantial autonomy, operating as a separate
division. Yet, having the backing of one of
the nation’s premier finance companies
has helped us become much more competitive on larger deals. It is essential that we
maintain our reputation for excellent service, no matter the loan type or investor. At
the same time, there really are some compelling value propositions for warehousing
New Century loans, including automatic
Everett (Con’t. from p. 1)
market, originate and process loans, it
really helps us maintain control over our
business. Possibly the biggest benefit
we get from using Encompass comes
from the fact that it stores all our loan
files in an Internet-accessible repository
which all our branches can access. This
allows us to operate as one unified
organization, rather than as a loose network of 140 branches.
VoIP is another great cost-cutting tool and
scanners are essential, too. We are such
strong believers in working efficiently that
our company doesn’t own a fax machine
anymore. For inbound faxing we have
incoming fax numbers, and everyone gets
their faxes through email by way of an inhouse solution. For outbound documents,
we scan and send. It’s great.
MDN: Compliance is a big issue for
InterBay Funding (Con’t. from p. 1)
cussing active loan files, their primary
objectives are to educate mortgage brokers on the InterBay product and to assist
them with developing and implementing
marketing initiatives. Translation: they
want to help you grow your business.
Education
Product knowledge is always the first
step when cultivating a relationship
with a new lender. The RAM is not only
available to review product and program highlights. In addition, they also
discuss exactly what you want to get
out of small commercial lending. Some
brokers want to close the occasional
deal that comes across their desk, while
others wish to create an entirely new
approval as a New Century correspondent,
up to 100 percent financing, minimal documentation and flexibility on leverage. The
initial response from our customers has
been very positive.
MDN: Describe to our readers your current marketing strategy.
DF: Access Lending has earned a reputation over the years as a trusted advisor to
brokers making the transition to banker. I
believe we are the best in the business at
this and it will continue to be an important
part of what we do. Also, having the finanmortgage companies these days. How
does technology help you in this regard?
SE: Technology can be a savior when it
comes to compliance. It has alleviated us
from having to worry about compliance
so that we can concentrate on growth. As
companies start to branch out, the first
thing they’ll probably notice is the prevalence of state-specific license requirements. Rather than operating in the dark
and risking noncompliance, sophisticated
software programs such as Encompass
address state-specific requirements for
you. For example, Louisiana is state-specific, so each broker has to be licensed. In
Encompass, we address specific requirements by state so we circumvent the
problem before it begins. Therefore,
Encompass keeps us from falling into the
trap and getting fined.
With our Encompass loan origination
system, we are also assured that all our
product line. The RAM is there to listen
to your business goals and couple them
with the appropriate levels of training
to help you achieve them.
Marketing
Prospective commercial borrowers
will not light up your switchboard if
you are not actively marketing for their
business. A RAM’s job is to ask you
about how you currently generate business and help you to increase your revenue with stated small commercial.
They can do this by recommending
modifications to your current marketing initiatives or suggesting additional
ways to drive in leads. Keep in mind
that the RAM is not asking you to
reveal trade secrets so that they can
share them with other brokers. They
QUALITY HOME LOANS TRANSFORMS
HARD MONEDY NICHE INTO
MAINSTREAM SPECIALTY
Before Quality Home Loans, the hard
money lending niche was dominated by a
fragmented group of small local private
investors who lent money at exorbitantly
high interest rates. Under the leadership
of founder and Chief Executive Officer
John T. Gaiser, Quality Home Loans of
Calabasas, Calif., aims to institutionalize
‘hard money’ lending, transforming the
niche into a mainstream specialty.
“Our goal is to be the low-cost
leader and set the industry standard for
hard money equity loans,” says Gaiser,
whose Quality Home Loans recently
completed the first all hard-equity securitization by a single originator in the mortgage lending industry.
“We want to educate the mortgage
brokerage community about our product and competitive pricing so that they
will originate loans to our guidelines.
We are working to make our product
Mortgage Daily News
cial strength of New Century behind us
gives us the opportunity to be very competitive with larger customers. We are having a lot of success with $20 million to $75
million deals and we are very excited
about the ability to expand our market
share over the next several years. Our plan
is to become the premier warehouse lender
in the middle market space.
expect, and deserve, a different approach.
We have created Access Elite which substantially reduces pre-funding documentation requirements. Combined with our
online technology, ease of funding is
maximized. All loan information and
documentation required to fund a loan
can be uploaded electronically from our
customer’s LOS or database software.
DF: Yes. We understand that more creditworthy and sophisticated customers
DF: Call us at 281-207-7000 or visit
www.accesslending.com.
MDN: Do you approach
customers differently?
larger
branches are always using the most current forms, so we don’t have state regulators breathing down our necks for something as simple as not using the latest
form. Encompass literally helps us stay
in business. We hear about big companies
going under because they didn’t have
systems like Encompass. That’s just not
something we have to worry about.
MDN: What differentiates Supreme
Lending from other companies?
SE: At the end of the day, it’s the little
things that differentiate Supreme
Lending from the competition. We’re
very well aware that things like making
the transaction 10 minutes faster for a
loan officer or 15 minutes faster for an
underwriter, make a world of difference. The bottom line is that time
equals money, money equates to rates
and rates equate to better programs and
better savings for borrowers. Time mansimply want to learn more about your
business to help you realize your full
potential in small commercial lending.
Sales
Once you begin driving in small commercial business, the next step is converting those leads into loan applications. RAM’s have an encyclopedic
knowledge of borrower objections,
common appraisal questions and other
challenges often associated with selling
the deal. They will coach you through
the sales process and prepare you for
what many brokers typically face when
speaking with small commercial
prospects. The RAM’s sole purpose is to
help you to become a more successful
mortgage broker. Think of them as
someone who can train your loan offimore and more mainstream, and exceptionally competitive.”
Quality Home Loans specializes in
originating non-prime mortgage loans
through its wholesale broker network. It
underwrites and securitizes its own loans,
with its stated goal to become the industry’s number one originator and purchaser of what are traditionally known as
Hard Money Loans.
The loans that are financed by
Quality Home are secured by first trust
deeds that generally do not conform to
the underwriting guidelines typically
applied by banks and other lending institutions. The company’s typical borrowers
have significant derogatory credit due to
an adverse financial condition, delin-
MDN: How can our readers find out
more about Access Lending?
agement means more loans for our loan
officers. By addressing the little things,
we’re able to create a winning situation
all the way around.
MDN: Many companies are reluctant to
switch loan origination systems. What
piece of advice would you give them?
SE: Honestly, they don’t have a choice.
The industry is moving in that direction
and finally realizing that they cannot
depend on outdated loan origination
systems. Currently, about one third of
brokers use Encompass. Within a year, I
expect that to grow to 80 percent. If
mortgage companies don’t have a system that addresses compliance, growth
and expansion, they won’t be able
achieve them, period! They’ll be dead
in no time. I really believe that.
Encompass addresses all of these issues
like no other loan origination system on
the market.
cers if you don’t have the time; a second
opinion when working on a new marketing strategy; and a sounding board when
honing your sales pitch. For more information on your Regional Account
Manager or InterBay’s loan programs,
call 866-INTERBAY. However, if
you’re looking for a hand-knit stapler
cozy with very little support behind it,
you may want to go with another lender.
About the author
Matt Cascarino, Marketing Manager for
InterBay Funding, LLC, consults with
mortgage brokers in the United States
and Canada on their small commercial
sales and marketing efforts. He also
authors the InterBay Blog at www.inter
bay.com. Contact Cascarino at m
[email protected].
quent or charged-off trade lines, recent
foreclosures, recent bankruptcy filings or
current Notice of Default or Notice of
Sale recorded.
In most states, the maximum LTV is
70 percent. Quality Home’s loan product
generally has a two-year, interest-only
period which is fully amortized over 30
years. In most cases, the minimum loan
amount is $50,000.00. Generally, a maximum debt-to-income ratio (DTI) of 50 percent is allowed, but the company will
review a DTI of up to 55 percent on a caseby-case basis. All of its loans are stated
income stated asset. Quality Home does
not originate or purchase high-cost loans.
Mortgage Daily News
First Collateral (Con’t. from p. 1)
The value of a warehouse line
involves other considerations. Some of
the questions you should ask yourself
when considering a line include:
Has the company been around for a
long time? Does it have the wherewithal
to be there for you in the future? Always
look for a lender with stability.
If pricing and product needs change,
will this fit your business? Make sure you
have flexibility in the products you can
put on the line. Some lines are committed
and require that certain percentage of
Response Mail Express (Con’t. from p. 4)
need, Response Mail Express is in the perfect position to provide uniquely-designed
materials and strategies so that your mailings “make the cut.” Remember, most people take only three to five seconds to
decide what mail to open.
So why is Response Mail Express
the best direct marketing company in
the country for mortgage professionals
like you?
“Because we are continuously
Taylor, Bean & Whitaker (Con’t. from p. 4)
might even be involved.
Protecting Yourself, Protecting Others
According to Everett Ives, Director of the
Texas Association of Mortgage Brokers,
“The best defense is upholding established best practices and following your
gut instincts. If something doesn’t ‘feel’
right to you, pay attention! This is the
core guideline bankers have been using
for thousands of years, and it still serves
us well today.”
Ives recommends that brokers and
loan officers scrutinize every document
and fully investigate irregularities.
“Confirm and re-confirm everything,” Ives
Jordan (Con’t. from p. 10)
and branch closings litter the field.
Business survival necessitates protecting all loans against fraud with appropriate due diligence.
The rise of insider fraud is also a
huge factor. The FBI reports that it
Argent University (Con’t. from p. 11)
Many of the courses qualify for state
CE requirements. Also, mortgage professionals can take courses to earn
loans on the line be delivered to the same
company’s investor conduit. Think about
the long term.
How many investors will the warehouse lender allow you to deliver your
loans to? Are there credit score restrictions? If so, what will you do if you
need to close a loan that falls outside of
those guidelines?
How does the warehouse lender handle your loan? Will every loan be reunderwritten before you can fund? Or
will the loan be acceptable as long as you
meet investor guidelines?
Will the warehouse lender be willing
to contribute resources to help you grow
your business? Does the warehouse line
have the resources to grow with you?
Does the warehouse lender provide
you with the ability to submit files for
funding electronically?
Does the warehouse lender have a
website that assists you in monitoring the
activity on your line and does it have the
capability to run and create specific
reports based on your needs? Is there a
fee to use it or have it maintained?
What will be the warehouse period?
If you are selling loans on a best effort
basis, 45 days should be more than ade-
quate. If you are selling significant size
bulk trades, then you may need a longer
period. What will the warehouse lender
do when loans become “stale”?
Your warehouse line is an integral part
of your business, and it is important that
you choose someone who is willing and
able to stick with you not only when the
market is booming, but when the market
retracts as well. Your warehouse lender is
your business partner, and the lifeblood of
your banking operations. It is a relationship you should choose carefully.
For more information, visit
www.firstcollateral.com.
researching the latest in technology to
improve response rates and your bottom
line,” says Chad Montgomery, Mortgage
Sales Manager. “Our mission is to continuously bring you the latest innovations,
reach the most qualified prospects, and
maximize your lead generation quantity
while at the same time seeking ways to
reduce your cost per lead.”
Response Mail Express offers tested
and proven direct mail lead generation
packages that make your marketing more
effective so you can work smarter, not
harder. “You’ll see higher response rates
and ultimately close more loans,”
Montgomery says.
high
impact
priority
“Our
envelopes, forms and Snap Packs are
designed to catch your prospects attention and consistently generate quality
leads,” Montgomery says. “We only
need four to five business days to get
your mailing out the door.”
What’s more, paying for your marketing just got easier as Response Mail now
offers 90 days same as cash financing.
Prospect Today. Sell Tomorrow.
Pay Later.
With two production facilities in Tampa and
Daytona Beach, Fla., totaling 250,000
square feet and more than 700 employees,
Response Mail Express prides itself on the
ability to execute every direct mail campaign accurately, on time and at a fair price.
“We can say that with confidence
because we’ve done it for more than 24
years,” Montgomery exclaims.
For more information, call 800-2738866 or stop by the booth at the show.
says. Work with people you know and
trust. If you receive an appraisal on a property from an appraiser you don’t personally know, order a second appraisal. If anyone provides you with comparable home
prices in a neighborhood you are not familiar with, double-check those comparables
through another, more trusted source.
Choose wholesale lenders with a
demonstrated commitment to fraud
prevention. They should have fraud prevention mechanisms built into their technology systems, verification redundancies and computer modeling to identify
red flags—all fraud prevention policies
embraced by Taylor, Bean & Whitaker
Mortgage Corp early on.
Suspect Fraud? Take Action!
If you suspect fraud, report your suspicions
immediately to your management, or
report anonymously to your state or the
National Association of Mortgage
Brokers. They will alert the proper authorities. Most often, this will be the FBI,
which recently launched “Operation Quick
Flip,” a comprehensive, multi-agency
effort to combat this growing peril.
To learn more about fraud and how
you can prevent it visit www.namb.org
and download Preventing, Detecting &
Reporting Mortgage Fraud, a free report
Visit
with
useful
information.
www.fbi.gov and search the topic “mortgage fraud” for a wealth of information.
Most important: Be proactive!
Otherwise, you could be left holding
the bag.
accounts for 80 percent of mortgage
fraud activity. Insiders know how your
business works, so they can most easily
short-circuit review methods that rely on
human discernment.
Electronic tools allow for prevention
of fraud prior to funding. This is the most
logical place to intercept and stop for-
profit fraud syndicates. Electronic data
sources allow the detection of anomalies
in the process to be instant. Manual information gathering makes comparison of
disparate data sources impossible, owing
to the staggering volume of data that
must be analyzed.
Advantage Credit and DocuTech are
good examples of an industry partnership
geared towards fraud prevention. The comAdvantage’s
panies
incorporated
LoanShield product into DocuTech’s
ConformX document platform for wider
awareness and use. Steps like these will
help weave a tight safety net around loan
transactions to reduce this serious problem.
industry certificates and designation
levels that will foster career growth,
establish expertise and build credibility among consumers.
The cost of professional courses at
Argent University is only $350 per student for twelve months of unlimited
access to every single course—which is
about what it costs to access just one traditional online course.
Any broker or banker who does
business with Argent can take a selfguided tour of this new online university
by visiting www.argentmortgage.com
and clicking on “Argent University.”
to their long-term financial success.
“Clearly, renters see homeownership
as a key path to financial well-being and
stability,” says Cara Heiden, Wells Fargo
Home Mortgage Division President.
“That’s likely shaped by their exposure to
homeownership, and seeing how family
members or friends have benefited from
owning their own homes.”
To Heiden’s point, six of every ten
renters say the purchase of real estate—
either as a primary residence or as an
investment property—was the best
investment their parents ever made,
compared to only four percent of
renters who said the same thing about a
stock purchase.
While they understand why and how
homeownership is important, not all are
willing to compromise on certain amenities to get into their first home and on the
path to financial well-being.
Among the renters surveyed who say
they want to buy a home, four of every
ten are unwilling to buy a home that is
smaller than they’d like or one needing
significant improvements. Forty-six percent are unwilling to buy at a distance
RENTERS: TOO MANY SEEK
‘DREAM’ FIRST HOME RATHER
THAN SOUND INVESTMENT
Some experts claim the slowdown in
the U.S. real estate market is due to rising home prices and interest rate
increases, but new research indicates
high expectations of homebuyers may
play a role as well.
A national survey by Wells Fargo
Home Mortgage shows few homebuyers
15
are willing to compromise on certain key
characteristics of their first home, which
may prolong the time they spend renting.
According to the research, almost
nine of every ten renters in the U.S.
believe a home is a good financial investment, and almost seven of every ten
believe owning a home is very important
About Taylor, Bean & Whitaker
Privately held Taylor, Bean &
Whitaker Mortgage Corp., is a top15,
fully-integrated national wholesale
lender headquartered in Ocala, Fla.
TB&W is perfecting the art of mortgage lending by providing technology
driven solutions that streamline the
mortgage process from origination and
underwriting to closing and funding.
Big Technology. Bigger Results. For
more information, call 888-678-8542
or visit www.taylorbean.com.
2006
TAMB
Option One helps you
SCORE BIG
with your borrowers.
Get your borrowers over the goal line using Option One.
Make sure to ask your Account Executive for more details on these and other
Texas specific Option One products and programs.
• 95% LTV with a 560 credit score
• Texas Cash Outs – as low as a 500 credit score for stated wage earners
• 80/20 backpack – 100% LTV purchase-money with a 570 credit score
• Score Booster – Increase your borrower’s credit score up to 4 points
• Score Advantage – Use the higher co-borrower credit score to qualify
• Legacy – Up to 95% LTV, full doc with a 500 credit score
• Never pay collections, charge off’s or profit & losses at any LTV
Stop by the
Option One
booth and ask
your Account
Executive or
visit us on
the web.
www.optiononemortgage.com
Option One Mortgage Corporation, 3 Ada, Irvine, CA 92618, is an Arizona Mortgage Banker #BK15204; Loans made or arranged pursuant to a Department of Corporations California Finance Lenders License; Option One Mortgage Corporation
is a Georgia Residential Mortgage Licensee; is an Illinois Residential Mortgage Licensee; is a Massachusetts Mortgage Lender #ML0863; is licensed by the New Hampshire Banking Department; is a licensed Mortgage Banker - NYS Banking
Department; is licensed by the Pennsylvania Department of Banking; is a Rhode Island Lender Licensee; is licensed by the Virginia State Corporation Commission, license number MLB-599. Not all programs available in all areas. Option One
underwriting guidelines apply to all loan programs. Program restrictions apply. Programs subject to change at anytime and without advance notice.
©2006, Option One Mortgage Corporation. All rights reserved.
Kellner Mortgage
Investments
For more information please visit our
booth at TAMB 06
or visit our web site:
www.kellnermortgage.com
18
cent down payment, that’s $10,000
out-of-pocket at the settlement table
(and this does not include standard
closing fees). Rehab Funding requires
no down payment. Also, no bank or
lending institution that would possibly
do this type of loan would fund 100
percent of the acquisition cost and 100
percent of the repair costs—but if a
property is bought for the right price,
Rehab Funding will.
Rehab Funding really helps real
estate investors to maximize their cash
flow. The 100 percent financing previously mentioned is great, but is only
the beginning. We also offer deferred
pay plans to approved borrowers. Our
“Half Pay” and “Six Month–No Pay”
plans will allow borrowers to defer
half or all of their interest-only payments to the end of the loan, allowing
them to pay out of profits (after selling
or refinancing the property) instead of
out-of-pocket each month. Investors
who have worked on properties know
how difficult cash flow can be to manage. These plans alleviate this problem, and only a company like Rehab
Funding, who deals with real estate
investors day in and day out, would
provide such a great program.
Another huge advantage of using
Rehab Funding is a quick loan turnaround. If your client is bidding on a
foreclosure property, an estate sale or any
property from a motivated seller, your
ability to move fast will often determine
their ability to “steal” a property. Banks
will normally take 30–60 days to close.
This will rob you and them of a competitive edge. Rehab Funding can close
within two weeks—now that’s a hammer
to use to get the price down when bidding
on a property!
Finally, another reason your
clients will want to deal with us is that
we never charge prepayment penalties.
Real estate investors should never deal
with a loan that includes such a penalty. The faster they work, the more their
investment will pay off. Real estate
investors must be aware that each day,
they will be paying interest, taxes,
insurance, utilities and contractors.
This comes right off their bottom line,
so all of their incentive should be to
to better reach its broker audience.
The jumbo wholesaler is poised to
grow despite a shrinking marketplace
and layoffs across the industry. “At No
Red Tape, we strive to continually
maintain our focus of exceptional service for our brokers with a prepared
staff and sales infrastructure,” says
Blake Scheifele, President and
Founder of No Red Tape Mortgage.
“Our expansion plans are ongoing, as
we recognize that it’s crucial we continuously and consistently build upon
our relationships, and adding to our
already stellar sales team will enable
us to do just that.”
In March 2006, No Red Tape experienced a more than 35 percent increase in
funding volume, over the previous
month. In 2005, the company funded a
record $3 billion in loans, an increase of
nearly 60 percent from 2004.
For more information write to 15301
Ventura Blvd, Suite D310, Sherman
Oaks, CA 91403, call 866-2-U-CLOSE
or visit www.noredtape.com.
Florida, Maryland, Texas, New York, and
Virginia, among others.
“Quality Home Loans is looking to
build and develop strong broker relationships, including expanding its correspondent lending division, so we can buy
closed loans at a competitive price from
mortgage originators who may not be
able to sell their loans to a traditional
investor,” Gaiser says. “Quality also
intends to roll out a private label warehouse line, which will allow smaller originators in its niche to fund their own
loans and choose to sell them to Quality
Home or any other investor.”
Quality Home will do all of the due
diligence, including appraisal review,
compliance audits and other pre-funding
checks. Currently, the company employs
approximately 160 account executives,
operations staff, review appraisers, compliance auditors, administrative staff and
technical specialists.
For more information, write to
27001 Agoura Rd., Suite 325 Agoura
Hills, CA 91301, call 818- 206-6600 or
visit www.qualityhomeloans.com.
REHAB FUNDING OFFERS
‘REHABBER-FRIENDLY’ TERMS
THAT MAXIMIZE CASH FLOW
By Bob Beckman of Rehab Funding
Do you work with real estate investors
that need a source that can finance 100
percent of acquisition *and* repair costs?
How about two-week closings? Could
they use deferred interest plans and
“proof of funds” letters?
Rehab Funding can do this and more
for your clients. Every day, I talk to different brokers across the country looking
for funding for their real estate investor
clients. They are surprised when I tell
them about our programs and how we
can help them close more deals.
We protect all our licensed brokers,
and they are paid on every deal they
refer, including all repeat deals the
investor does. As the broker, all you do is
submit the investors file—we do the rest.
You become the broker of record on
every deal they do, and your payment
will be reflected on the HUD1.
Rehab Funding also offers marketing materials for the broker to use in
order to solicit more business from local
investors. All the marketing collateral
can be customized to have your information on it. We can also provide Web site
content you can use on your own site.
For those of you who work with
real estate investors, you need a highly
specialized source, one who thinks
outside the box. Let’s take a look at
some examples.
Most banks and lending institutions don’t want to touch rehab projects. In stark contrast, this is our specialty (100 percent of the acquisition
and repair money for rehab projects).
Even if you have a bank willing to do
a deal, they will usually require a down
payment. If you are buying a property
for $50,000, and they require a 20 per-
NO RED TAPE MORTGAGE PLANS
MAJOR NATIONWIDE EXPANSION,
DOUBLES SALES STAFF
No Red Tape Mortgage™, one of the
nation’s premier jumbo wholesale
lenders, is doubling its sales staff and
rolling out plans for nationwide coverage
Quality Home Loans (Con’t. from p. 14)
In 2005, Quality Home originated
$385 million of these mortgage loans in
California. The company is currently
expanding its reach, with operations in
Arizona, Colorado, Idaho, Nevada,
Oregon, Utah and Washington. In the
near future, Quality plans to move into
Mortgage Daily News
Mortgage Daily News
TAMB SCHEDULE
AT A GLANCE
Please note that TAMB education sessions and social activities will be held at
the Hilton Austin Hotel. The TAMB
Marketplace will take place at the Austin
Convention Center.
FRIDAY, SEPTEMBER 22, 2006
7:30 a.m. – 6:00 p.m.
Convention Registration
7:45 a.m. – 5:30 p.m.
Education Sessions
8:00 a.m. – 9:00 p.m.
Exhibit Set-Up/Move-In
12:00 noon – 1:30 p.m.
Welcome Lunch, TA.M.B Business
Meeting & Installation
6:45 p.m. – 7:15 p.m.
President’s Reception
Supreme Lending (Con’t. from p. 6)
work with a company that is 110 percent
committed to your success. If you meet
that criteria or already have a branch
established, Supreme will put an underwriter in your branch at their cost.
Lewis (Con’t. from p. 7)
many loan origination systems provide
users access to all loan data, and even let
users save loan data on a CD-ROM to
take away with them. But this need not
be the case. Today’s great loan origination systems provide selective access to
employees depending on their role and
access level. Even better, they store all
loan data in a secure centralized repository which cannot be downloaded onto a
CD-ROM without authorized access,
thereby limiting the chances that a fraud-
7:15 p.m. – 9:45 p.m.
President’s Dinner & Entertainment by
Billy Riggs
SATURDAY, SEPTEMBER 23, 2006
19
LOGIC C@LL’S TELEMARKETED
LEADS YIELD AN ASTOUNDING
12–14 PERCENT CLOSE RATIO
by David Lewis, Vice President of
Operations for Logic C@ll, Inc.
tion, the company prides itself in an
80–85 percent client retention and
renewal rate and steadily increasing
profitable growth.
4:00 p.m. – 10:00 p.m.
Exhibit Dismantling/Move-Out
As you are no doubt aware, there are
several lead-generation venues in the
industry—everything from TV and
radio ads to Internet engines to newspapers and magazines to e-mail blasts
to, yes, telemarketed leads. Each of
these venues has potential to make you
money. But who knows what will work
best for your company?
Logic C@ll is recognized as a
leader in lead generation and one of
the fastest-growing call centers in the
nation providing telemarketed leads to
the mortgage industry. The company’s
clientele includes Fortune 500 companies and small to medium-sized firms
that experience a 12–14 percent close
ratio and one of the lowest costs per
funded deals in the industry. In addi-
“When we joined Supreme, they saw
our volume at 4 million a month and
determined that we would be a great candidate to have an underwriter in our
office,” says Luc Larose, a Branch
Manager at Supreme Lending. “As soon
as they did, we nearly doubled our pro-
duction without any additional costs! It
was incredible. I wish I would have
found them sooner!”
Supreme Lending also has a company Bulldog named Booda, Everett says.
“He runs around the office every day and
keeps everyone in great spirits. Come
and visit us for one of our orientations
and you can meet the little guy!”
For more information about
Supreme Lending, call 214-340-5225,
email [email protected]
or stop by their booth so they can tell you
about these and many other benefits.
ster or disgruntled employee can cause
irreparable damage.
License Checks
Making sure that a loan officer is
licensed in the state in which he’s about
to originate a loan can be tricky, especially when companies have several branches nationwide, but doing so can save
thousands in fines. That’s why it’s essential that companies use loan origination
systems that have the checks in place to
prevent a loan officer from originating a
loan in a state in which he is not licensed.
originators to electronically send and
receive loan files securely to intended
recipients without using e-mail. SDD
also prevents the possibility of borrower
data being intercepted over the Internet.
7:30 a.m. – 4:00 p.m.
Convention Registration
8:00 a.m. – 9:00 a.m.
Broker Roundtables
9:00 a.m. – 10:00 a.m.
Town Hall Meeting
9:30 a.m. – 4:00 p.m.
Exhibit Staffing Hours
10:00 a.m. – 4:00 p.m.
TA.M.B 2006 Marketplace
Centralized Quality Control
Meeting regulatory requirements depends
on strict quality control. Yet, many origination systems don’t enable management to
monitor the quality of company loans since
loan files are stored locally on the desktops
of many different computers. In contrast,
loan origination systems that use a centralized database to store all of a company’s
loan files enable mortgage companies to
monitor all loans in the pipeline.
Secure Document Delivery (SDD)
Most originators are unaware that email
is not a secure way to transfer data from
one source to another. Not only is it not
secure, it can also be illegal to transfer
unencrypted loan data through email
since it compromises the privacy of the
borrower. To avoid this, the best option is
to use secure document delivery, which is
included in some of today’s loan origination systems. This technology empowers
InterFirst (Con’t. from p. 6)
including Stated programs, Jumbo,
Interest-Only, HELOC, CES and
Correspondent CES.
Opportunity is another component
that InterFirst puts in your hands by providing you with cutting-edge marketing
tools like: BoomerangSM, eCards and
Ken Hughes (Con’t. from p. 7)
resolve issues. Ken Hughes has been a
speaker at TAMB and various continuing
education events, as well as an annual
speaker at the Lender Conference for a
national CPA organization.
Win ’Em by Price, Lose ’Em by Price
In business, we all push our vendors
for the lowest cost and the highestquality products and services. Logic
C@ll is no exception. This is not a
problem until price becomes the major
factor in purchasing leads.
We have all heard it before: “You
get what you pay for.” When purchasing leads, it is important to understand
what you are truly getting for the price.
Are your leads branded for your company? Are they exclusive? Are they generated real-time? Are they generated in
the U.S.?
Unless you think you’re immune to fraud
and compliance checks, it’s time to give
your loan origination system a second
look. Are you protected?
About the Author
David Lewis is Senior Vice President of
Marketing at Ellie Mae, makers of the
Encompass® Mortgage Automation
System. Used by seven of the nation’s 10
largest brokerages, as well as thousands
of small brokerages nationwide, this
award-winning loan origination system
has the fastest-growing adoption of any
LOS on the market.
For more information, email david
[email protected] or at 925-227-7000.
SuccessFirst. These tools can help you
maximize your market presence, capture
more business, convert your leads into
loans and build relationships with customers and business professionals like
builders, financial planners and real
estate agents.
For more information, visit
www.interfirst.com or stop by booth 412.
Ken Hughes & Associates, PC can
provide solutions for all of your tax,
audit, accounting and business planning questions. For more information,
call 800-221-2509, or take the time to
stop by their booth at the TAMB
Convention Marketplace.
Mortgage Daily News
LogicC@ll (Con’t. from p. 19)
Logic C@ll is an American company that operates as an extension of
your company and brands each lead
with your company’s name. Paper
leads sent by fax or e-mail are provided within 24 to 48 hours of generation
and are triple-verified to ensure each
person wants to speak with you and is
qualified according to set parameters.
Renters (Con’t. from p. 15)
farther from work than they would like;
and 70 percent are unwilling to move to a
less-desirable neighborhood than they
would ideally like.
For financial coach and bestselling
author David Bach, the research results
verify observations he has made during
the past few years while speaking to
thousands of people across the United
States on how to live and finish rich.
Bach says these findings reinforce what
he calls the “dream home trap.”
“Many renters today have a list of
‘must-haves’ for their first home,” says
Rehab Funding (Con’t. from p. 18)
flip the property, or finish and refinance it as soon as possible. Why
would they ever take a loan that penalizes them for finishing quickly? Rehab
Funding has never and will never
charge a prepayment penalty or have
Through DirectLink by Logic C@ll,
you can have an interested party transferred directly to your loan officers—
it’s as “real-time” as it gets!
Quantity and Quality
The key to keeping your loan officers
busy closing deals is consistency in both
quality and quantity of leads provided.
While radio, TV, Internet, and print campaigns cast the proverbial net over large
Bach. “It’s got to have a kitchen with a
dishwasher, a two-car garage, and a master suite with a full-bath and walk-in closets. You can have those things eventually,
but it’s unlikely that someone who’s renting and has no equity can afford that
mortgage right out of the gate. Renters
need to be told that their first home should
not be their dream home, but a stepping
stone to their dream home.”
Bach believes renters may need to
take a step backward when buying their
first home. “It’s almost always better to
cut the renting cycle as soon as you can
and to continue to upgrade from there,”
he says. “Buy what you can afford now,
any seasoning issues.
Remember, Rehab Funding’s programs are tailored to fit the needs of
real estate investors, and as their broker, you can offer these services and
become invaluable to your clients. For
more information, visit www.rehab
funding.com.
populations, customers must either wait
for prospects to swim their way or wade
through respondents that are not qualified or ready to do business.
Return on Investment
Many lead-generation engines pride themselves on close ratios of 1–5 percent. Logic
C@ll’s telemarketed leads help our clients
close 12–14 percent of their campaigns,
and in most cases have a cost per funded
build equity, and move closer to that
dream home.”Other key findings from
the survey include:
• Ninety-seven percent of first-time homebuyers would never go back to renting.
• Seventy-seven percent of first-time
homebuyers believe buying their home is
the best investment they ever made.
21
deal under $1,000! This ratio is much higher with our hot transfer program.
To partner up for success as so many
small, medium and Fortune 500 companies have, visit www.servicedriven.com.
About the Author
David Lewis is Vice President of
Operations for Logic C@ll, Inc. He can
be reached at 888-740-1900.
believe that it is generally true that people cannot obtain mortgages without perfect credit, and 52 percent of renters
believe that they personally can’t get a
mortgage because of credit issues. But 46
percent of the first-time homebuyers surveyed didn’t believe their credit was
“excellent” or even “very good.”
• Nearly 75 percent of first-time home
buyers believe that the value of their
home will go up in 2006.
• Fifty-six percent of renters believe that
a down payment of 15 percent or more is
required when buying a home, and 55 percent believe that size of a down payment is
a personal barrier for them. However, 74
percent of first-time homebuyers reported
they put less than 15 percent down.
MortgageIT (Con’t. from p. 11)
expands our product line and offers
greater flexibility.
• Seventy-eight percent of renters
engine—and longer amortization-term
products, like our 40-year ARM, to further empower our business partners have
all been very significant.
MDN: Did your marketing strategy in
the past year provide you with the overall
position you had projected?
SB: Yes, the addition of new products,
PriceIT•LockIT, and our decentralized
branch platform were helpful. In addition, we were able to more deeply penetrate markets by the addition of wholesale account executives and new
branches in markets such as San Jose,
which gives us a total of seven branches in California alone. Another major
change in our marketing strategy was
my promotion to Divisional Manager of
the Western Region and the addition of
three Regional Vice Presidents, including Rouvaun Walker for Northern
California and Jay Talbert for Southern
California. These moves were made to
provide more branch focus to better
meet customer needs.
MDN: Describe to our readers your current marketing strategy.
MDN: Where is your company’s current
product emphasis?
SB: While we continue to have a balance
between A products and Alt A, our primary focus is on POA, Alt A and piggyback junior-lien loans, including
HELOCs and fixed-rate seconds.
MDN: What products do you see as
being hottest this year?
SB: POAs, HELOCs/fixed-rate seconds,
interest-only and 40-year ARMs.
MDN: What would you say differentiates you from the competition?
SB: Our decentralized branch operations
allow us to better serve local communities.
MDN: What is the nature of your company’s distribution?
SB: We are a national player, with 34
decentralized wholesale branches
across the country, and we service all
50 states. But we are also seeking to
grow deeper in these markets where
the population dictates.
SB: We are continuing the same strategy
mentioned previously while expanding
our participation in national, state and
local broker events. We are also partnering with industry speakers in many metropolitan areas nationally to help educate
and motivate local brokers. In addition to
those marketing initiatives, the insertion
of an additional layer of sales management helped us tremendously.
SB: We have a decentralized sales staff
that is in the field, interacting with our
business partners every day. In my opinion, these account executives are the best
there are, and have the ability to be in the
field because they are supported by
equally strong branch operations staff.
SB: We continually work with our product development department to ensure
we have the range of products that most
brokers need to be successful. We
recently released a new second, which
SB: We attribute it to People &
Opportunity. We hire the right people
that have and develop long-term relationships with loan officers, and then
empower them.
MDN: Have you introduced any new
products this year?
MDN: How do you handle sales?
MDN: To what do you attribute your
company’s success?

providing warehouse lines to a nationwide customer base with

Transcription

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