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v JANUARY 2013
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Mortgage PROFESSIONAL
WA S H I N G T O N
MAGAZINE
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Washington Association of Mortgage Professionals State Office
P.O. Box 2016 v Edmonds, WA 98020-9516
Phone: (866) 425-7250 v Fax: (425) 771-9588
E-mail: [email protected]
Web site: www.MyWAMP.org
2013 Board of Directors
Phone #
E-mail
Frank Percival
President
(425) 250-0381
[email protected]
Lisa Goldsmith
Vice President/
Secretary-Treasurer
(425) 503-4826
[email protected]
Kathy Corey
Treasurer
(253) 376-0008
[email protected]
Nicole Christy
Affiliate Director
(206) 718-6425
[email protected]
Jane Jones
Affiliate Director
(253) 988-4896
[email protected]
Wendi S. Klein
Affiliate Director
(425) 429-0607
[email protected]
Teresa Parco
Communications, PR
& Marketing Director
(425) 317-8000
[email protected]
Marty Lough
Immediate Past President
(253) 383-2024
[email protected]
Nicole Christy
Affiliates & Events
Committee
Committee Chairs
(206) 718-6425
[email protected]
Craig Goebbel
Government Affairs Chair
(253) 874-1111
[email protected]
Wendi S. Klein
Membership Committee
(425) 429-0607
[email protected]
DFI Charges 40 Companies in
Mortgage Foreclosure Rescue Scams
Co-Schemers Sentenced in
Washington Mortgage Fraud Case
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Three Pierce County, Wash. women who played important roles in a mortgage
fraud scheme that crippled the now defunct Pierce Commercial Bank have been
sentenced in U.S. District Court in Tacoma, announced U.S. Attorney Jenny A.
Durkan. All three of the women worked for years with scheme leader Shawn
Portmann, whose fraudulent loans resulted in losses of more than $10 million.
Portmann will be sentenced later this month. U.S. District Judge Benjamin H.
Settle will determine restitution later this year.
Loan Underwriter Jeanette R. Salsi of Bonney Lake, Wash., was sentenced to
seven months in prison, four months of home confinement, and three years of
supervised release for conspiracy. In 2004, Salsi followed Portmann from a different mortgage lender to PC Bank Home Loans (a subsidiary of Pierce Commercial
Bank). Portmann paid Salsi 60 percent more than she made at her previous
employer, and she became the primary underwriter of loans originated by
Portmann. Salsi approved fraudulently generated loan applications despite the
fact that they were filled with fraudulent documents. Salsi knew the files contained false statements and phony documents regarding the applicant’s employment, debts, current residence, and plans to reside in the home. Salsi’s sign-off
meant the loans were approved and sold to other financial institutions and the
FHA. After Portmann was fired at PC Bank Home Loans, Salsi followed him to two
other mortgage companies.
Personal Assistant Alice Lorraine Barney of Graham, Wash., was sentenced to
two months in prison, four months of electronic home confinement, 100 hours of
community service, and three years of supervised release. Barney was Portmann’s
long-time assistant who created and inserted some of the false documents into
loan files. Barney participated in submitting at least 60 fraudulent loan files. After
Portmann was fired from PC Home Loans, Barney followed him to his three next
employers.
Pierce Commercial Vice President and Residential Lending Manager Sonja
Lightfoot of Tacoma, Wash., was sentenced to one month in prison, four months
of home confinement, 60 hours of community service, and three years of supervised release for her role in the conspiracy. Lightfoot joined the bank in 2002,
before Portmann began his scheme. Between 2004 and 2009 it was Lightfoot’s job
to lock the loans and sell them on the secondary market to other larger banks.
Lightfoot knew that some of the loans contained false statements from borrowers
but sold them anyway. When the fraud was discovered, the loans reverted back to
Pierce Commercial Bank. The risk that additional loans would revert back to the
bank ultimately forced the closure of the bank.
“Mortgage fraud can turn the American Dream of homeownership into a nightmare for our communities. Law enforcement will not sit idly by when greed causes professionals to abandon their integrity and become fraudsters,” said Kenneth
J. Hines, Special Agent in Charge of IRS-Criminal Investigation in the Pacific
Northwest.
From 2004-2008, Shawn Portmann closed almost $1 billion in loans, and he
earned over $1.7 million per year. A review of a sample of conventional and FHA
loans revealed that Portmann and his staff closed over 300 loans with false and
fraudulent information. More than half of these loans have defaulted or otherwise
caused loss to Pierce Commercial Bank, secondary investors, and/or the FHA,
resulting in an estimated loss of $10 million.
The Consumer Services Division of the Washington State Department of Financial
Institutions (DFI) has announced they have filed 40 Statements of Charges against
businesses preying on Washington homeowners facing foreclosure. None of the
companies or individuals charged with offering these so-called mortgage rescue
services are licensed with DFI, a requirement that provides essential consumer
protections. In addition, none of the attorneys charged are licensed with the
Washington State Bar Association (WSBA) to practice law in the state.
“Since 2009, DFI has charged an ever-increasing number of unlicensed businesses with preying upon desperate homeowners who are trying to save their
homes from foreclosure,” DFI Division of Consumer Services Director Deb Bortner
said. “We took action against eight companies in 2009, 29 in 2010, and 45 in 2011.
So far this year we’ve issued 69 more actions. All of them were unlicensed. Based
on our experience, doing business with an unlicensed company or attorney will
not save your home from foreclosure — instead, you will lose whatever you pay
them for help, and very likely, your home, too.”
All of the companies are charged with unfair or deceptive practices, obtaining
property by fraud or misrepresentation, and unlicensed activity. While the charges
are identical, the consumers harmed by the fraud have individual stories of being
repeatedly misled and defrauded by these businesses.
“DFI has received literally hundreds of complaints from Washington homeowners taken advantage of by these ‘rescue’ businesses,” DFI Director Scott Jarvis said.
“Financially distressed homeowners paid advance fees of up to $5,000 and
received nothing in return. Homes that could have been kept out of foreclosure by
legitimate licensed or non-profit businesses were instead foreclosed upon, leaving
families homeless and their homes empty, contributing to the depressed housing
values and slowing the recovery here in Washington.”
In many cases, the companies failed to perform or presented loan modification
offers to lenders that did not significantly improve the homeowners’ mortgage.
Because many of the companies charged refused to comply with DFI subpoenas to
provide records of Washington transactions, the charges provide notice of DFI’s
intent to order the companies to provide a list of all Washington transactions.
DFI has obtained legal service on 21 of the 40 companies charged, including
seven law firms and 14 other businesses.
“This agency rarely conducts enforcement sweeps of this nature,” Director Scott
Jarvis said. “However, the continuing high numbers of complaints involving this
fraud demands a new approach. As a result of these efforts, we hope the number
of unlicensed businesses taking advantage of Washington homeowners will
decrease significantly. Of the 40 businesses we have charged as part of this sweep,
we are seeking in excess of $1.3 million in sanctions, including restitution for more
than 200 consumers.”
Since 2009, DFI has received almost 700 complaints against unlicensed companies offering mortgage rescue services in Washington, and 72 companies were
charged prior to this sweep.
The Mortgage Broker Practices Act authorizes the Director to file charges
against companies and individuals believed to have violated the Act. The charges
are not a finding or order that the respondents have actually violated the Act; all
named respondents have the right to request an administrative hearing on the
charges.
JANUARY 2013 v
v NationalMortgageProfessional.com
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National Mortgage Professional Magazine
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TABLE OF CONTENTS
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January 2013
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MAG
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Volume 5, Number 1
Company
Web Site
Page
E
A Special Look at
“Mortgage Industry Employment”
Changing Market Opportunities By Eddy Perez ................42
Lessons From the Road: How to Hire
Great Salespeople By Chris Sullivan ............................................43
A Framework for Evaluating Recruiters By Steve Rennie ..44
How to Keep Employees Happy By Kerry Elam ................45
Boost Your Employee Performance in the
New Year By Tyler Sherman ................................................46
America’s Choice Home Loans .......................... www.achlonline.com ............................................25
Brokers Compliance Group................................ www.brokerscompliancegroup.com ........................31
Calyx Software ................................................ www.calyxsoftware.com ......................................12
CBC National Bank .......................................... www.cbconnex.com ............................................14
Credit Plus, Inc. .............................................. www.creditplus.com ..............................................9
Data Facts........................................................ www.datafacts.com ..............................................47
Document Systems, Inc./DocMagic .................... www.docmagic.com ............................................29
FindMortgageJobs.com .................................... www.findmortgagejobs.com ..................................48
First Guaranty Mortgage Corp. .......................... www.fgmcwholesale.com ......................................49
What to Do When You’re Hated at Work By Jean Kelley ..48
Guaranteed Home Mortgage Company .............. www.joinGHMC.com ............................................15
2013 Who’s Hiring Report & Featured Listings ............54
HomeBridge .................................................... www.homebridgewholesale.com ..........................11
Hometown Lenders ........................................www.whotookmybacon.com ..................................13
Features
Thinking Outside the Box Can Help Grow
Your Referral Base By Jake Soley ........................................4
The Elite Performer: The 2013 Mortgage
Professional and Real Estate Agent
By Andy W. Harris, CRMS ........................................................4
Three Reasons You Should Join the Professionals
at Direwctly.com By Carolyn Warren ....................................6
NCRA Celebrates 20th Anniversary
at Tampa Conference By Terry W. Clemans ..........................8
Growth Strategies for the New Year:
It’s All About Relationships By Sue Woodard ......................10
Lykken on Leadership By David Lykken ..............................14
For Managers Only: Firing the Wrong People
By Dave Hershman ................................................................18
The Heart of the Profession: Don Fader Recognized
as NAMB’s Mortgage Professional of the Year
By David J. Coster ................................................................23
2013: Wholesale Rising By Al Crisanty................................24
Compliance and Marketing 2013: Safely Growing
Your Business ................................................................26
Throwing a Lifesaver to Underwater Borrowers
By Jonathan Foxx..................................................................28
No Changes to 2013 Conventional Loan Limits
By Melanie A. Feliciano Esq. ....................................................30
Bonded With NAMB: All Bonds Are Not Created Equal
By Mason Grashot, CPA ........................................................32
NMP Mortgage Professional of the Month:
Charles Wagner of CBC National Bank By David J. Coster ..........34
USA Cares Mortgage Heroes: Norman Zolkos
of Menlo Park Funding By Jennifer Robinson ......................35
A New Era for Mortgage Closings?
By Richard Peter Stevens and Andrew Liput ................................38
How the Global Economy Will Impact U.S. Mortgages
By Barbara Zigah ..................................................................52
Zero for Heroes By Greg Frost Jr. ......................................63
NAPMW .......................................................... www.napmw.org ..................................................16
PB Financial Group Corp. .................................. www.pbfinancialgrp.com ......................................12
Power Training LLC .......................................... www.maccelcoach.com/webinars ..........................27
REMN (Real Estate Mortgage Network)................ www.remnwholesale.com ......................................7
Residential Home Funding Corp. ...................... www.RHFBranch.com ..........................................37
1
Service First Mortgage ...................................... www.servicefirstmtg.com ......................................19
Streetlinks LLC ................................................ www.streetlinks.com ....................Inside Front Cover
TagQuest ........................................................ www.tagquest.com ..............................................39
The Bond Exchange .......................................... www.thebondexchange.com ................................18
Titan List & Mailing Services, Inc. ...................... www.titanlists.com ................................Inside Back
United States Appraisals .................................. www.unitedstatesappraisals.com ............................5
United Wholesale Mortgage .............................. www.uwm.com ........................................Back Cover
v JANUARY 2013
360 Mortgage Group: An Interview With Mark Greco ..50
Menlo Park Funding ........................................ www.menloparkfunding.com ................................19
Applying SWOT to the Mortgage Industry
By Jean LeBlanc ..................................................................26
Meadowbrook Financial Mortgage Bankers Corp. .. www.mortgagesalesjob.com ..................................33
NAMB Perspective..........................................................20
Icon Residential Lenders, LLC ............................ www.iconwholesale.com ......................................17
Volume 5 • Number 1
1220 Wantagh Avenue • Wantagh, NY 11793-2202
Phone: (516) 409-5555 • Fax: (516) 409-4600
Web site: NationalMortgageProfessional.com
STAFF
Eric C. Peck
Editor-in-Chief
(516) 409-5555, ext. 312
[email protected]
Joel M. Berman
Publisher - CEO
(516) 409-5555, ext. 310
[email protected]
David J. Coster
Senior Editor
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Joey Arendt
Art Director
[email protected]
Jon Blake
Advertising Coordinator
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[email protected]
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National Account Executive
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Billing Coordinator
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Statements, articles and opinions in National Mortgage Professional Magazine
are the responsibility of the authors alone and do not imply the opinion or
endorsement of NMP Media Corp., or the officers or members of National
Association of Mortgage Brokers and its State Affiliates (NAMB), National
Association of Professional Mortgage Women (NAPMW), National Credit
Reporting Association (NCRA) and/or other state mortgage trade associations.
Participation in NAMB, NAPMW, NCRA, and/or other state mortgage
trade associations events, activities and/or publications is available on
a non-discriminatory basis and does not reflect the endorsement of the
product and/or services by NMP Media Corp., NAMB, NAPMW, NCRA,
and other state mortgage trade associations.
National Mortgage Professional Magazine, NAMB, NAPMW, NCRA,
and/or other state mortgage trade associations do not make any misrepresentations or warranties concerning the regulatory and/or compliance
aspects of advertisers, products or services and/or the editorial content contained in NMP Media Corp. publications. National Mortgage Professional
Magazine and NMP Media Corp. reserve the right to edit, reject and/or postpone the publication of any articles, information or data.
NATIONAL
SSIONAL
MAG
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is published monthly by NMP Media Corp.
Copyright © 2013 NMP Media Corp.
Views from Vegas
I had the privilege of attending the inaugural NAMB National Conference in early December at the MGM
Grand in Las Vegas. While its has been nearly 20 years since I last originated a loan, I still pride myself in
having my roots grown deep in the industry. Although I have moved on from my role as a mortgage broker, I like to describe myself as magazine publisher who thinks like a mortgage broker. With nearly 1,400
total attendees at NAMB’s inaugural NAMB National Conference, it was quite evident to me that the mortgage broker is back and is growing in strength. With an upbeat report on the state of the industry to kick
off 2013, I would like to reflect on what I saw at NAMB National that gave me a great level of satisfaction
and serves as the foundation for this missive.
According to a 2004 study by Wholesale Access Mortgage Research & Consulting Inc., there are approximately 53,000 mortgage brokerage companies that employ an estimated 418,700 employees and originated 68 percent of all residential loans in the U.S. Over the years, the mortgage broker lost their foothold on
their share and their current market share dipped to around 20 percent of all U.S. residential mortgages.
But, that number is growing daily and is projected to reach in excess of 30 percent in 2013. Attending an
event of this size and magnitude is physical proof to the re-emergence of the mortgage broker in the mortgage marketplace. The education and tips taken from the sessions at NAMB National are things I plan to
implement into my own day-to-day business plan. I would equate the ambiance and vibe of this show to
the NAMB Annual Conventions of the late 1990s-early 2000s. Sure, some things have changed, but a
renewed spirit of market resurgence and industry rebound are the primary characteristics I will take from
this event.
NAMB keeps the information coming as in less that two months, the association will descend upon
Washington, D.C. for the NAMB 2013 Annual Legislative & Regulatory Conference. You have heard the term
“must-attend” event thrown around promoting things, but with all of the changes that the CFPB threw at
the mortgage industry to start the new year, what better place to get yourself up to date with all of these
changes than with your peers in our Nation’s Capitol. Also as part of the event, you will have the unique
opportunity to lobby on Capitol Hill and meet with your elected officials. Learn the inner-workings of the
legislative arena and march with your peers in face-to-face meetings with your senators and representatives and let them know how you feel about the government’s policies and regulations. Take advantage of
the opportunity to educate your D.C. decision-makers on just what you do for their constituents and how
their votes in the hallowed halls of Congress can and will impact you as well as their voters.
This month’s focus …
This month, we take a closer look at mortgage industry employment. Are you happy with your current situation? Do you feel there is more for you to advance in the mortgage profession? Our six contributors have
assembled a guide to tips for you, whether you are looking to better your current employment situation,
to seeking new options. Also included is our annual “Who’s Hiring Report,” featuring some of the industry’s
biggest and brightest firms looking to fill their employment needs.
Also this month, we take honor two individuals for their tremendous dedication and service to the
industry. On page 34, we recognize our January NMP Mortgage Professional of the Month, Charles Wagner,
senior vice president of the lending division of CBC National Bank by David J. Coster. On page 23, longtime
active NAMB member Don Fader from Kinston, N.C. is recognized in another piece by Mr. Coster. Don was
honored at the recent NAMB National event for his service and dedication to the industry as NAMB
Mortgage Professional of the Year and this month, we feature an in-depth look at Don and recount his service and accomplishments in the industry.
There is still much more that I have yet to touch upon with this issue, but don’t let me hold you up. Dig
right into the January 2013 issue and start the year off the right way with an issue chock-full of insight and
information geared to kick-start your business in the new year.
Sincerely,
Joel M. Berman, Publisher-CEO
NMP Media Corp.
[email protected]
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CFPB starting 2013 off with a bang
As the dust begins to settle on 2012 and we enter a new year, the Consumer Fiancial
Protection Bureau (CFPB) has started the year off with a bang … throwing a boatload
of new rules and regulations at the mortgage industry. Over the course of one week, the
CFPB submitted proposed rules on everything from qualified mortgages (QMs), to ability-to-repay, loan originator (LO) compensation requirements, to appraisals … all under
the terms and conditions of the Dodd-Frank Act in order to simplify the homebuying
process for the consumer and streamline the housing finance industry. Have no fear as
your industry trade associations are hard at work scouring over the pages of all these
new regulations and getting the word out about any ill effects they may have to your business. I urge you
to stay tuned to NationalMortgageProfessional.com as your daily update and guide to tracking the progress
of the CFPB’s measures and how you must alter your business practices in order to remain in compliance
with this ever-changing mortgage landscape.
FE
GAGE PR
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From The Publisher’s Desk
NATIONAL
January 2013
MAG
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O F F I C E R S
The Association of
Mortgage Professionals
National Association of Professional
Mortgage Women
2701 West 15th Street, Suite 536 v Plano, TX 75075
Phone #: (703) 342-5900 v Fax #: (530) 484-2906
Web site: www.namb.org
P.O. Box 451718 v Garland, TX 75042
Phone #: (800) 827-3034 v Fax #: (469) 524-5121
Web site: www.napmw.org
NAMB 2012-2013 Board of Directors
National Board of Directors 2012-2013
Donald J. Frommeyer, CRMS—President
Amtrust Mortgage Funding Inc.
200 Medical Drive, Suite D v Carmel, IN 46032
(317) 575-4355 v [email protected]
President
Candace M. Smith, CME
(512) 306-6354
[email protected]
Vice President—Northwestern Region
Debbie Tofte, GML
(425) 483-3359
[email protected]
John Councilman, CMC, CRMS—Vice President
AMC Mortgage Corporation
11920 Fairway Lakes Drive, Suite 2 v Fort Myers, FL 33913
President-Elect
Jill Kinsman
(206) 344-7827
[email protected]
Vice President—Western Region
Lyman King III, CMI, CME
(916) 967-4653
[email protected]
Fred Arnold, CMC—Treasurer
American Family Funding
24961 The Old Road, Suite #101 v Stevenson Ranch, CA 91381
Senior Vice President
Christine Pollard
(607) 226-1046
[email protected]
Secretary
Sara Vasura
(703) 255-7460
[email protected]
Kay A. Cleland, CMC, CRMS—Secretary
KC Mortgage LLC
200 South Wilcox Street #224 v Castle Rock, CO 80104
Vice President—Central Region
Kelly Hendricks
(314) 398-6840
[email protected]
Treasurer
Jeanne Evans, CME
(918) 431-0155
[email protected]
Jim Pair, CMC—Immediate Past President
Mortgage America Corpus Christi Inc.
22800 Bulverde Road, Apt. 1402 v San Antonio, TX 78261
(361) 774-7314 v E-mail: [email protected]
Vice President—Eastern Region
Katrica J. Driscoll, MML, CME, CMI
(919) 877-5683
[email protected]
Parliamentarian
Hulene Works
(972) 494-2788
[email protected]
Rocke Andrews, CMC, CRMS—Director
Lending Arizona LLC
1996 North Kolb v Tucson, AZ 85715
National Consumer Reporting Association
Rick Bettencourt—Director
Mortgage Network
300 Rosewood Drive v Danvers, MA 01923
Olga Kucerak, CRMS—Director
Crown Lending
328 West Mistletoe v San Antonio, TX 78212
Linda McCoy—Director
Mortgage Team 1 Inc.
6336 Piccadilly Square Drive v Mobile, AL 36609
Dick Morin—Director
Consumers First Mortgage
P.O. Box 918 v Kennebunk, ME 04043
207-985-2895 v [email protected]
Valerie Saunders—Director
RE Financial Services
13033 West Lindburgh Avenue v Tampa, FL 33626
Daphne Large
President
(901) 259-5105
[email protected]
Maureen Devine
Vice President
(413) 736-4511
[email protected]
Donald J. Unger
Ex-Officio
(303) 670-7993, ext. 222
[email protected]
Mike Brown
Treasurer
(800) 925-6691, ext. 4350
[email protected]
Nancy Fedich
Director–Chair
Legal Committee
(908) 813-8555, ext. 3010
[email protected]
William Bower
Director–Chair
Tenant Screening Committee
(800) 288-4757
[email protected]
Tom Conwell
Director–Liaison
Legislative Committee
(800) 445-4922, ext. 1010
[email protected]
Judy Ryan
Director–Chair
Strategic Alliance Partnership
Committee
(800) 929-3400, ext. 201
[email protected]
Renee Erickson
Director–Chair
New Membership Committee
(866) 932-2715
[email protected]
Sharon Bieszk
Director
(262) 542-1700
[email protected]
Mary Campbell
Director
(701) 239-9977
[email protected]
Terry Clemans
Executive Director
(630) 539-1525
[email protected]
Jan Gerber
Office Manager/Member
Services
(630) 539-1525
[email protected]
v JANUARY 2013
John Stevens—Director
Bank of England d/b/a ENG Lending
11650 South State Street, Ste. 350 v Draper UT 84020
2013 Board of Directors & Staff
D I R E C T O R S
Andy W. Harris, CRMS—Director
Vantage Mortgage Group Inc
15962 SW Boones Ferry Road, Ste. 100 v Lake Oswego, OR 97035
(503) 496-0431, ext. 302 v [email protected]
3
Donald E. Fader, CRMS—Director
SMC Home Finance
PO Box 1376 v Kinston, NC 28503-1376
701 East Irving Park Road, Suite 306 v Roselle, IL 60172
Phone #: (630) 539-1525 v Fax #: (630) 539-1526
Web site: www.ncrainc.org
Thinking Outside the Box
Can Help Grow
Your Referral Base
By Jake Soley
JANUARY 2013 v
4
A referral base is mandatory in order to survive the mortgage business cycle. Without a referral base, your business
could be in jeopardy when refinances dry up. Most loan
originators think of networking with real estate agents,
financial advisors and their community when building a
referral network. While those are great ways to acquire
new referrals, direct mail may be the most effective way to quickly build a
referral base on a grand scale. For over six years, I have specialized in targeted marketing, with many of my personal clients relying on direct mail
campaigns as a tool to drive new referrals into their business.
Typically, referrals are generated from someone you have done business
with or have closed a loan for. You build a good rapport with the borrower
and due to the trust and confidence they have placed in you, they will refer
their friends when they express a need for your services. Now think of direct
mail leads as “pre-qualified referrals.” With a targeted direct mail campaign,
you not only build a pipeline of deals, you also open the door for every lead
that responds to become an ambassador for your business. Take, for example, a direct mail campaign of 5,000 pieces. On average, this will generate 50
in-bound leads and close at least 10 loans. So with only 10 of the 50 closed,
what happens with the other 40 that didn’t convert? Are they worthless?
These consumers expressed an interest in your company, so this is your
chance to make a lasting impression that could double your inbound leads.
By simply incorporating a request to refer two friends, those 40 inquiries
could easily double to 80 new prospects. Consumers typically keep company of the same demographic, so if you’re using pre-screened data on your
mailing campaigns, the likelihood of the new referrals being similar to the
original borrower is considerably high. With this simple application, your
mail campaign that generated 50 inbound calls now has the potential to be
as high as 150 new prospects! Think of the possibilities with more direct mail
pieces in circulation. The numbers are exponential.
A common shortfall when building a referral base is in customer retention. It’s common for originators to forget about the borrower once their
loan has closed. As time goes on and the loan is sold off to other servicers,
many borrowers forget about their original loan officer when their need to
refinance or purchase reoccurs. This holds true when it comes to referral
business as well … if the borrower doesn’t remember you, who are they
going to recommend their friends to? Instead, they turn to the current company that sends their monthly mortgage statement. To offset this potential
loss of business, mailing your customers at a minimum of a bi-monthly cycle
will keep you fresh in their minds. Simple letters of new company advancements, milestones or events will keep you in the forefront of their minds so
that when their needs or the needs of their friends and colleagues arise, they
immediately think of you. To maximize the effort, request referrals and offer
incentives for referring friends in each newsletter. Remember: Closed loans
require asset management. These borrowers can be as valuable to you after
they closed their loan as they were the day you first spoke.
Relying on a real estate agent to refer your business shouldn’t be your only
option to generate more referral business. Putting a plan in place now with
some simple strategies will build momentum and create a thriving referral
business. In the ever-changing mortgage industry, having multiple options to
build your business is a necessity and will keep you ahead of your competition.
Jake Soley, an asset at Titan List and Mailing Services, has specialized in mortgage-specific marketing since 2006. Jake’s commitment to educating his customers on the proper steps to take when launching direct mail programs has
catapulted him as a leader in mortgage direct mail. He may be reached by
phone at (800) 544-8060, ext. 209 or e-mail [email protected].
Sponsored Editorial
The 2013 Mortgage Professional
and Real Estate Agent
he topic regarding lender/real
estate agent gridlock that I hear
from mortgage colleagues across
the nation has been lingering on for
years and I cannot help but write
about it this month. It’s not an everyday occurrence, but worth discussing.
In prior years and primarily during
the housing boom, I feel that the
mortgage industry painted a bad picture regarding who we are and what
it is we do. During that time, there
were unqualified, and at times,
unethical people, in the industry
which most are aware of from the
sub-prime
meltdown,
etc.
Unfortunately these individuals commoditized the mortgage process in
the eyes of others and shielded them
from realizing the significance and
importance of our role during the
home purchase and sale process.
Times have changed and it is important that we all adapt and work
together for the sake of our clients as
housing professionals.
Real estate agents provide a great
service to consumers when buying or
selling a home. There has never been
a more important time to have a
quality real estate professional supporting the goals of the consumer,
especially after the changes in the
housing and mortgage markets. With
so many changes in the mortgage climate over the last few years, the primary concern we tend to hear is how
many real estate agents are actually
informed and have adapted? The
mortgage process is the most important and most misunderstood process
of the transaction. Financing is vital
for both the buyer and seller when
dealing with a non-cash purchase or
sale. How the real estate community
has adjusted will determine the
expectations they set with their
clients, resulting in a positive or neg-
T
“Coming together is a beginning.
Keeping together is progress.
Working together is success.”
—Henry Ford
ative outcome to consumers.
To improve the future of our new
industry, lenders and real estate professionals must successfully work
together. They must be able to do so
without special interests and with the
ability to adapt to any situation or
personality for a successful closing.
Adaptation allows everyone to avoid
delays and better prepare for “blanket” requirements on agency-backed
loans which all carry similar underwriting criteria. This is a fast-paced
and high demand industry, but we
can improve the experience our
clients have and find more enjoyment
in working together through communication and education. Both sides
need to be accountable, but the following traits are what seem to be
common in superstar mortgage originators and real estate professionals in
today’s housing market.
Superstar habits
n They have mentally adapted to
accepting the changes we all face in
the mortgage process.
n They tend to have more volume or
more recent transactions that allow
them to adapt to these changes
more quickly, or they have self-education in place of recent activity to
help adapt.
n They conduct themselves professionally, putting their client’s interests
before their own.
n They set realistic and accurate expectations for their clients.
continued on page 41
5
v JANUARY 2013
Three Reasons You Should
Join the Professionals at
Directly.com Now
By Carolyn Warren
Directly.com is the new online community where borrowers
can meet mortgage professionals as they receive answers to
their questions. Savvy originators are joining early to build
their reputations and earn rewards. I’ll show you how to do
this in a moment; but first, I’ll explain why I think communities like Directly are important and three reasons you should
consider becoming a part of it.
Five years into the crash, borrowers are still reeling. Homebuyers are frustrated with the mound of paperwork, and they’re baffled by underwriting conditions. Homeowners looking to refinance are being blocked by poor
appraisals and stiffer credit requirements. People seeking loan mods complain
of being stonewalled or misled with double-talk. All of these folks need
answers—and that presents an opportunity.
Institutions and regulations are ever-changing—purportedly in an effort to
help borrowers—but the reality has been higher costs, slower processing, and
continued confusion. Surprisingly, while the Internet is revolutionizing industry after industry, its impact on any aspect of mortgage outside of origination
has been minimal.
But things are changing. Online real estate communities are springing up
around popular real estate websites like Trulia and Zillow, allowing consumers
to speak quickly and openly with a broad set of professionals. Many of the
extraordinary dynamics of these sites, and social networks like Facebook and
LinkedIn, promise to bring a new level of trust and transparency to the area of
mortgages. Consumers are sick and tired of feeling like they are in the dark.
Directly.com is the first community designed to help borrowers with specific questions about their mortgages via answers that come from a narrow set
of experienced mortgage professionals that provides rewards to the professionals. Here are three specific reasons I think you’ll want to join the site:
6
1. Reputation. Online reputation has become critical to success. As a Directly
professional, you receive a profile page that showcases how you’ve helped consumers. Your reputation helps you and the institution you’re affiliated with.
JANUARY 2013 v
2. Rewards. On Directly, you earn cash rewards from customers who offer
remuneration for help. You can cash these rewards out via PayPal, or double
your impact by donating them to the non-profit of your choice.
3. Reach. On Directly, in addition to reaching tens of thousands of borrowers,
you can build and cultivate a following (like Twitter) of people you’ve helped
in the past, and use this network to drive referrals and a bigger audience.
One silver lining to the crash is that many of the unskilled and less scrupulous originators have been flushed out. There’s a chapter in my book called,
“Mortgage Stars Who Rock” that refers to the honorable loan officers who work
hard to be available to consumers anytime and anywhere they’re needed.
Today, consumers are benefiting from online communities that are powered
by the true professionals who are focusing their careers on helping people.
If this sounds like you, then you will not want to be left behind. I invite you
to join me in helping good folks while you earn rewards and build a strong reputation. It only takes a few minutes to submit your application for acceptance
at www.directly.com/mortgage.
Carolyn Warren is the best-selling author of Mortgage Ripoffs and Money
Savers: An Industry Insider Explains How to Save Thousands on Your
Mortgage or Refinance. She is the owner of www.mortgage-helper.com. She
may be reached at directly.com/in/carolyn-warren.
SPONSORED EDITORIAL
Industry Facebook
Users Enter to Win
on DocMagic Page
StreetLinks Launches New
Valuation Division and
Software Tools
DocMagic Inc. has
announced that
hundreds of industry Facebook users
have visited the company’s Facebook
page at facebook.com/docmagicinc,
voted for DocMagic’s mascot for
President and been automatically registered to win an expense-paid trip to
Washington, D.C. The company
announced the contest Oct. 1 as part of
its effort to use gamification strategies
to build up its online following, which
the company says is working.
“The contest has already been a
huge win for DocMagic,” said Dominic
Iannitti, CEO of DocMagic. “Not only are
people from all over our industry registering for a chance to win this great
vacation to our nation’s Capitol, but
they are also interacting with us
through our Facebook page, in higher
numbers than anticipated.”
People love games, which is why
gamification strategies have now been
employed by companies in nearly every
industry, including government services. But beyond that, Iannitti says that
this experience has shown that his customers and others in the industry love
DocMagic’s use of the rabbit mascot as
well as the company’s staff and services, as evidenced by the conversations
taking place on the DocMagic’s
Facebook page. Every year DocMagic
sends out thousands of stuffed magic
rabbits to their customers. This year an
advertising campaign announcing the
Vote for DocMagic campaign coincided
with the delivery of the presidential
“Doc” bunnies. The first 200 people
who “Vote for DocMagic” receive the
presidential bunnies, which have
proven to be very popular.
The DocMagic Vote for DocMagic
Sweepstakes is restricted to mortgage
lenders, mortgage lending professionals and others from the mortgage
lending industry who are legal residents of the United States and the
District of Columbia (excluding residents of New York, Florida, Rhode
Island and Puerto Rico), and who are
21 years or older at the time of entry.
Players can only enter once. The
Grand Prize is a trip for two to
Washington, D.C. for four days and
three nights, including airfare, hotel,
tour of the Capitol and more!
StreetLinks
L e n d e r
Solutions has announced the launch of
its new Automated Examination and
Valuation Division and its suite of
Quality Examination (QX) products.
StreetLinks QX is a comprehensive, multiple component collateral review utility. ValueComp, the automated valuation component, uses technology to systemically replicate an appraiser’s
approach to analyzing comparable
selection and property valuation.
ValueComp results are substantially
and consistently more accurate than
traditional automated valuation models (AVMs).
“It would have been easier, quicker
and cheaper to simply become a
reseller of AVMs and rules engines, but
we couldn’t bring ourselves to put the
StreetLinks brand on what we believed
to be substandard products. That realization drove us to develop a suite of
products that analyze appraisals like
nothing else ever created,” said
StreetLinks President Tom Hurst. “We
focused on one goal: To provide clear,
concise and accurate results, while giving the user action items and directives—not simply more questions.”
StreetLinks’ Quality Examination
Rules Engine powers the execution of
QX through appraiser-based methodology. The engine analyzes appraisal
information, presenting the user with a
summary of automated rule “passes”
and clear directives for items that
require manual examination. In the
final analysis, QX mitigates appraisal
risk while reducing appraisal underwriting cost and turn-time.
“We have taken this to a level and
depth never seen before in this arena,”
said Hurst. “Our clients that participated in the build and beta of the product
agree that QX delivers a significantly
higher level of accuracy and has drastically reduced their collateral review
time.”
StreetLinks’ relationship with real
estate intelligence provider, Equifax
Property Data & Analytics, and their
parent company, global information
systems leader, Equifax, will power the
ValueComp component of the QX suite.
“Equifax shares the same drive for
innovation that we have at StreetLinks,”
said Donna DelMonte, StreetLinks’ sen-
ior vice president of product development. “The relationship with Equifax will
allow us to collaboratively launch a multitude of solutions over the coming years.”
Total Mortgage
Recognized by Inc.
Magazine for Excellence
in Job Development
and loan officers, but other key stakeholders including investors.”
TORQ will be based out of
Hammerhouse’s corporate offices in
Mission Viejo, Calif. and is already operational throughout the company’s network of offices including Hickory, N.C.;
Chicago, Ill.; and Bellevue, Wash.
Kinecta Reports $3
Billion-Plus in Mortgage
Volume
Total Mortgage Services LLC has
announced that it has been recognized
among the first group of growing privatelyowned businesses and entrepreneurs to
receive the Inc. Hire Power Award, a brand
new Inc. awards series that spotlights companies that are generating the most new
jobs. Over the past three years, Total
Mortgage created 75 new jobs and now
has over 120 employees, ranking third
among Connecticut firms on the list.
“It is an honor to be recognized in this
unique category of businesses that are putting Americans back to work,” said John
Walsh, president of Total Mortgage. “In
these challenging economic times, we are
proud to have been able to grow our team.
I’m very proud of our employees and I
think our dedication to quality and service
will allow us to continue to thrive in the
coming years.”
Total Mortgage was also recently
named on Inc. Magazines’ list of
America’s Fastest Growing companies in
2012, for the third year in a row.
The Hire Power Awards rank forprofit and nonprofit companies by net
employee growth over the past three
years. Together, the companies on the
list created more than 73,000 jobs in
the past three years which generated
approximately $5 billion in tax revenue.
DataQuick and
RentRange Partner on
REO Foreclosure
Prevention Solution
DataQuick, a provider of advanced real
estate information solutions powered
by data, analytics and decisioning, and
RentRange, a provider of rental market
7
v JANUARY 2013
Hammerhouse LLC has announced that it
has launched a new division, Tactical Ops
Recruiting Quality or “TORQ,” which will
focus on the placement of experienced
mortgage banking operational and other
non-sales professionals throughout the U.S.
TORQ, which will be powered by
Hammerhouse’s best in class support and
service to client partners, is being rolled out
nationwide and has been engaged by multiple clients to assist in hiring operations talent to enhance their operational infrastructure and improve customer satisfaction.
“The effectiveness of mortgage operations, which is driven by top talent, is a significant advantage in today’s mortgage
industry and will define the next generation of Mortgage Bankers,” said Drew
Waterhouse, managing director and chief
executive officer of Hammerhouse. “TORQ
is being launched as a direct result of our
mortgage banking clients need to expand
their sales force to remain competitive,
without impacting the customers’ experience. These clients understand that having the right operational talent in place
will build trust not only with customers
loan products through agency, portfolio, and FHA lending, in addition to correspondent lending and special loan
programs offered in conjunction with
leading mortgage insurance providers.
Hammerhouse Launches
Mortgage Operations
Talent Recruiting Division
K i n e c t a
F e d e r a l
Credit Union
has reported a record mortgage volume
of just over $3 billion, exceeding its
2011 volume with the fourth quarter
still remaining. Kinecta has benefited
from dramatic shifts among many of
the major lenders, combined with
Kinecta’s own strategy for continuing
growth.
“The mortgage market is showing
marked improvement and with that we
have been able to offer significant benefits to our members,” said Joseph
Whitaker, executive vice president and
chief operating officer of Kinecta.
“Kinecta offers competitive low rates
and a broad product menu and we will
continue to do so as we move forward,
continually growing as a national mortgage lender.”
Kinecta Federal Credit Union is a
direct lender providing a range of fixed
and adjustable home loans for purchase or refinance. It offers attractive
NCRA Celebrates 20th Anniversary
at Tampa Conference
NCRA becomes National Consumer Reporting Association
By Terry W. Clemans
JANUARY 2013 v
8
I
n combination with
celebrating its 20th
anniversary of representing
consumer
reporting
agencies
providing data to the
housing industry, the National Credit
Reporting Association has changed its
name to the “National Consumer
Reporting Association.” This change was
announced at its annual national education conference in Tampa, Fla. in
November where the members selected
the new logo.
The conference was highlighted by
more than 160 people learning from a
vast group of speakers from private sector, government and two of the national
credit repositories. The Consumer
Financial Protection Bureau (CFPB),
Federal Trade Commission (FTC), and U.S.
Justice Department were all represented,
covering issues on credit reporting, tenant screening and employment screening. In addition to the educational sessions, there were good times at the feature event, a Cuban street festival with
live Latin music, food, drinks, games and
cigars hand-rolled on site.
Compliance was a major feature of the
educational sessions, as the CFPB and
Experian covered issues related each of
their respective audits. Another hot topic,
desperate impact, was a group discussion
lead by NCRA Counsel Larry Henry.
Desperate impact has taken a much higher profile in recent months, even though
the concept dates back nearly 40 years in
Civil Rights law. The ability to obtain
criminal data and credit data in the
future will be weighed with consideration
of desperate impact to make sure there is
factual performance related to the use of
the data.
From the entertainment perspective,
several NCRA members provided highlight reel coverage of the power of hypnosis as they went under the spell of Erick
Kand. Erick specializes in corporate hypnosis and provided an entertaining lunch
experience for both those on the stage
and in the audience.
NCRA believes that changing the word
“credit” to “consumer” in their association
name, the new name more accurately
reflects our members’ products. A consumer report is the legal term for what
our members provide, as defined in the
federal law that regulates the credit
industry. Regardless of the specific industry format, mortgage, tenant or background screening, NCRA members provide crucial information for housing-related decisions.
The majority of NCRA’s original membership provides credit reports to the
mortgage lending industry. Other consumer information products and services
relating to or required by mortgage
lenders such as flood zone determinations, IRS tax transcripts, and fraud prevention tools, have become commonplace in the NCRA member service portfolio. Many NCRA members also provide
information to the multifamily housing
industry; they produce credit reports,
eviction records, and criminal background histories for landlords and property managers making rental decisions.
Some members are heavily entrenched in
full-service background screening as well.
The term “consumer report,” as defined
in the Fair Credit Reporting Act, is the
umbrella that covers all of the members’
products and services.
“It’s an exciting time at the National
2013 NCRA
President
Daphne Large
receives the
gavel of
association
leadership
from Executive
Director Terry
Clemans
NCRA Counsel Larry Henry
discusses desperate impact
with the audience
Erick Kand, who specializes in corporate
hypnosis, provided an entertaining lunch
experience
Consumer Reporting Association as we
celebrate our 20th year and reflect on
how the industries we serve and our business have evolved during this time,” said
NCRA President Daphne Large. “Our
name change reflects this evolution. We
are most fortunate to have a highlytenured and experienced Board of
Directors along with the outstanding leadership and representation of our executive director, Terry Clemans.”
This is the second growth-related
name change in NCRA’s 20-year history.
The organization was founded in 1992 as
the National Association of Independent
Credit Reporting Agencies (NAICRA). In
The crowd listens attentively to the
panel discussion
response to requests by companies affiliated with one of the three national credit bureaus, NAICRA became NCRA in 1996.
Removing the word “Independent” from
the name allowed membership inclusion
for those affiliated companies previously
prohibited from their ranks. The current
name change is in response to better representation of the membership’s growing
business model.
Terry W. Clemans is executive director of
the National Consumer Reporting
Association (NCRA). He may be reached
at (630) 539-1525 or e-mail [email protected].
IT’S 10 DA
DAYS
YS PRIOR TO CLOSING…
AND
22%
%
WENT
T
* OF
BORROWERS
INTO
DEBT.
FUR
FURTHER DEBT
DID
ID
DY
YOURS?
9
Make sure you’re in compliance with LQI and protected from buybacks. Regulations are going to get tougher
tougher.. The GSEs
GSE are workingg on additional
suggestions to make sure your loan is sell-ready in 2013. Can you afford not to use Undisclosed Debt Monitoring?
ss!LLERTSYOUTOSUSPICIOUSACTIVITYCONCERNINGNEWTRADELINES
ERTSYOUTOSUSPICIOUSACTIVITYCONCERNINGNEWTRADELINES
inquiries and secondary re-issues
ss%LIMINATESLASTMINUTESURPRISESTHATMAYAFFECTCLOSING
LIMINATESLASTMINUTESURPRISESTHATMAYAFFECTCLOSING
ss0RROTECTSAGAINSTBUYBACKORREPURCHASELOSSESTHROUGH
OTECTSAGAINSTBUYBACKORREPURCHASELOSSESTHROUGH
insurance program backed by A-rated carriers and offered
TTHROUGH!RTHUR*'ALLAGHER2ISK-ANAGEMENT3ERVICES)NC
HROUGH!RTHUR*'ALLAGHER2ISK-ANAGEMENT3ERVICES)NC
VI S I T US A
ATT T HE R EG I O NA L CO NF ERENCE O F MBAS MAR C H 13-14
* According to Equifax’
Equifax’s
uifax’’s recent review of 4,800 loans from the undisclosed debt monitoring database, 22% of new trades were reported 10 days or less prior
prior to closing.
© 2013 Credit Plus, Inc.
800.258.3488
80 0.258.3488
www.creditplus.com/undisclosed-debt-monitoring
www.creditplus.com/undisclosed-debt-monitoring
[email protected]
v JANUARY 2013
Undisclosed debt pr
otection at its finest. Call today.
protection
today.
ss-OONITORSBORROWERSCREDITACTIVITYBETWEENTHEORIGINALCREDITlLE
NITORSBORROWERSCREDITACTIVITYBETWEENTHEORIGINALCREDITlLE
pull and the loan closing
TTurn
u to Credit
urn
Cre Plus for Undisclosed Debt Monitoring™ powered by Equifax®.
JANUARY 2013 v
10
If you don’t have solid answers to the above questions, consider one
of the industry’s proven successful and most effective tools to accomplish these goals: Platinum Marketing from Mortgage Success Source. It
gives you the one-two punch you need to achieve greater success—effective content specifically targeting referral partners, as well as an easy-touse marketing system that guarantees you’ll set yourself apart from the
competition, simply and easily.
Developing high-impact, credible marketing content and keeping it
up-to-date can be a daunting task for your already over-worked team.
But it doesn’t have to be. Platinum Marketing has an extensive library of
e-mail, print and social media and video campaigns, updated with the
freshest content designed by professionals and fueled by the industry’s
finest writers.
But great content is not enough. You need to confidently and consistently brand you and your company at every touch point including on
your e-mails, newsletters, postcards and flyers. One way to do this is to
personalize each marketing piece with your name, contact information,
photo and logo, and Platinum Marketing allows you to do this with ease.
This not only allows you to “buy brain cells” and stay in front of your
referral partners minds, it establishes professional trust and confidence
in you as the individual they recommend to their clients to do business
with for their mortgage.
If you’re like most mortgage professionals, you don’t have a spare
minute in your day. How do you find the time to get your message out?
Your time is valuable and you have to use it wisely to ensure you reach
your goals. The automated marketing engine from Platinum Marketing is
just the solution. You can quickly and easily schedule and deploy targeted outbound marketing campaigns that reach your referral partners at
the right time via e-mail, print and social media syndication.
With Platinum Marketing you have the tools you need to build and maintain
profitable referral partner relationships and make 2013 your best year yet. To
learn more about any of the business-building resources from Mortgage Success
Source, visit MortgageSuccessSource.com or call (800) 963-1900.
Sue Woodard is president of content and publishing for Mortgage Success
Source in Holmdel, N.J., a provider of integrated marketing and sales support solutions. She can be reached by e-mail at [email protected].
SPONSORED EDITORIAL
to Watch
n Residential Finance Corporation has
announced the addition of Jonathan
Fowler as division vice president of
business development for retail
branching. RFC has also announced
the promotion of Joe Buxton to the
position of vice president of sales
where he will oversee and manage
the company’s branch managers in
Columbus, Ohio and develop sales
strategies to further Residential
Finance’s market growth.
LEOPOLD
n Mortgage Contracting Services LLC has
announced the addition of Bobby
Leopold as vice president of business
development where he will focus on
generating new business and play an
active role in advancing MCS’s overall
growth and development.
NOGAKI
n What system do I have in place currently that keeps me at the forefront of my referral partner’s minds?
n How will I ensure that I capture more referred leads over the coming
year?
n What methods am I using to develop relationships and begin to gain
business from new referral partners?
intelligence, have partnered to offer
REO-to-Rental and rental valuation
intelligence to lenders, servicers and
investors. REO-to-Rental has become a
viable option to keep foreclosure properties occupied, offering renters a
home; lenders and servicers a return on
investment; and investors an understanding of property and portfolio
value. The key to successful REO-toRental or REO purchases, like any real
estate decision, is to know the fair market value of a property.
“When evaluating the suitability of a
REO to purchase as a rental, the income
potential of the property, vacancy rate
and local market characteristics are all
key metrics to be considered,” said
Walter Charnoff, founder and CEO of
RentRange. “Our unique dataset provides authoritative, granular and timely
rental market intelligence necessary for
REO-to-Rental assessment.”
DataQuick customers will be able to
access RentRange data as part of a
DataQuick National Property Database
file license. The company also expects
to include RentRange content as part of
its RiskFinder suite of portfolio management solutions.
“History shows us that recovery from
every economic downturn our country
has faced has been led by the housing
market,” said John Walsh, president of
DataQuick. “A more traditional recovery
stemming from a robust purchase market has not come about as quickly as
most would have liked, so alternatives
are critical. Maximizing the rental and
occupation of REOs serves to benefit
renters, lenders, servicers and investors
and is a viable, attractive alternative.”
n ClosingCorp has announced that
Mark Nogaki has joined the company as senior vice president of sales.
MITCHELL
If you are like most successful MLOs, growing and
improving your business is your primary professional
goal for this New Year. While there are many ways to do
this, one technique that top-producing MLOs who run
rewarding and thriving mortgage practices always
include in their plans is a focus on building and maintaining strong referral relationships. And to do this efficiently, they have
systems in place that allow them to continually create new referral relationships, as well as profitably maintain existing ones.
So the answer is clear … if you want to work with more referral partners and keep them coming back to you, then you need to emulate the
top producers and implement the systems necessary to attract and nurture referral partners and reap the rewards of an expanded network of
referral-based business.
You may already know this, but the challenge is this: What are you
actually doing about it?
To get started, ask yourself these important questions:
continued from page 7
FOWLER
By Sue Woodard
heard on the street
BUXTON
Growth Strategies for the New Year:
It’s All About Relationships
n Supreme Lending has named Brian
Mitchell as its new senior vice president, national sales manager where
he will be responsible for developing
new loan production and adding
new branches around the country.
n Lenders Compliance Group (LCG) has
appointed Alan J. Cicchetti, former
Deputy Commissioner of the
Connecticut Banking Department, as
its director of agency relations, as
well as the executive director of
Brokers Compliance Group, LCG’s
mortgage compliance firm that provides compliance support to mortgage brokers.
n Flagstar Bancorp Inc., together with
its subsidiary, Flagstar Bank FSB,
have announced two appointments
to the company’s executive leadership team, as Alessandro DiNello,
currently executive vice president of
personal financial services, has been
named president and chief administrative officer of Flagstar Bank and
Matthew Kerin, currently EVP, managing director of mortgage banking,
has been named president of mortgage banking.
n Marco Zamudio has been named operations manager for Meadowbrook
Financial Mortgage Bankers.
n Joel Rose has joined GMH Mortgage
Services LLC as VP of the company’s
eastern division’s retail sales
department.
11
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To learn more about the HomeBridge advantage, please contact us at 855-729-2885
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v JANUARY 2013
This information is provided for the use of mortgage professionals only and is not intended for distribution to consumers or other third parties. Product information is subject to
change without notice. HomeBridge is a division of Real Estate Mortgage Network, Inc. NMLS #6521. HomeBridge is licensed or operating with a license exemption under the
name Real Estate Mortgage Network, Inc. d/b/a HomeBridge except in the following states; AK, IL, MD, MN, NY, RI, VA “Real Estate Mortgage Network, Inc.”; VT: “Real Estate
Mortgage Network, Inc. d/b/a HomeBridge Funding” © Real Estate Mortgage Network, Inc. d/b/a HomeBridge. All rights reserved.
n Free DU
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n Experienced Knowledgeable Account
Executives
HomeBridge is a national wholesale lender offering both conventional and government
products. We are committed to providing the highest value to our clients through
competitive pricing, unique product offerings, superior customer service, and state-ofthe-art technology.
ns
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o
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s M o rtg
Un d
ast Texa
Major E
203(k) Rehab Loan Program: Foreclosures Present Challenges, Opportunity
NMLS an d St
ate Testing fo
r Mortgage Pr
ofessionals
Got an opinion? Want to share your
thoughts on the industry?
JANUARY 2013
Become a NationalMortgageProfessional.com Blogger!
It's free and easy. Just head on over to NMPMag.com, register and
follow the link in the upper right hand side of the page to
become a blogger on our site today!
JANUARY 2013 v
12
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CFPB Issues Long-Awaited
Industry QM and Abilityto-Repay Rules
The Consumer
Financial Protection Bureau (CFPB)
has adopted a
new rule that
will protect consumers from irresponsible mortgage lending by requiring
lenders to ensure prospective buyers
have the ability-to-repay their mortgage. The rule also protects borrowers
from risky lending practices such as “no
doc” and “interest only” features that
contributed to many homeowners ending up in delinquency and foreclosure
after the 2008 housing collapse.
“When consumers sit down at the
closing table, they shouldn’t be set up
to fail with mortgages they cannot
afford,” said CFPB Director Richard
Cordray. “Our Ability-to-Repay rule
protects borrowers from the kinds of
risky lending practices that resulted in
so many families losing their homes.
This common-sense rule ensures
responsible borrowers get responsible
loans.”
The 2010 Dodd-Frank Wall Street
Reform and Consumer Protection Act
created broad-based changes to how
creditors make loans and included new
ability-to-repay requirements, which
the CFPB is charged with implementing.
Under the Ability-to-Repay rule, all new
mortgages must comply with basic
requirements that protect consumers
from taking on loans they don’t have
the financial means to pay back. Among
the features of the new rule: Financial
information has to be supplied and verified; a borrower has to have sufficient
assets or income to pay back the loan;
and teaser rates can no longer mask the
true cost of a mortgage.
“MBA [Mortgage Bankers Association] agrees that the goal of this regulation, ensuring that borrowers receive
loans that they can repay, is in everyone’s best interest,” said Debra W.
Still, CMB, chairman of the Mortgage
Bankers Association. “We cannot, and
should not, go back to the high risk
lending environment of the early
2000s. Our concern has always been
that we balance this goal with other
housing policy objectives, particularly
the objective to ensure the availability
of mortgage credit to qualified borrowers. And right now, credit is tighter
than at any point we can remember.”
Lenders will be presumed to have
complied with the Ability-to-Repay rule
if they issue “Qualified Mortgages.”
These loans must meet certain requirements which prohibit or limit the risky
features that harmed consumers in the
recent mortgage crisis. If a lender complies with the clear criteria of a QM,
consumers will have greater assurance
that they can pay back the loan. Among
the features of a QM include: No excess
upfront points and fees; no toxic loan;
and a cap on how much income can go
toward debt.
For a temporary, transitional period,
loans that do not have a 43 percent DTI
ratio but meet government affordability or other standards—such as that
they are eligible for purchase by the
Fannie Mae or Freddie Mac—will be
considered QMs.
The CFPB is also releasing proposed
amendments to its Ability-to-Repay
rule. These amendments would,
among other things, exempt certain
non-profit creditors that work with
low- and moderate-income consumers. The proposed amendments
would also make exceptions for certain homeownership stabilization programs, such as those that offer loans
made in connection with the Making
Home Affordable program, which help
consumers avoid foreclosure. The proposed amendments would also provide QM status for certain loans made
and held in portfolio by small creditors, such as community banks and
credit unions. The proposed amendments invite comment on how to calculate loan origination compensation
under the points and fees provision of
Qualified Mortgages.
The proposed amendments, if
adopted, would be finalized this spring
and go into effect at the same time as
the Ability-to-Repay rule in January
2014. The CFPB is dedicated to working with industry and consumers for a
smooth transition to the new rule. To
help creditors with compliance, the
CFPB will, among other things, be publishing plain-language translations of
the regulation for lenders in booklet
and video form, issuing implementation guides, and, in coordination with
other agencies, releasing materials
that help lenders understand supervisory expectations. As the effective date
approaches, the CFPB will give consumers information about their new
rights under these rules.
13
v JANUARY 2013
By David Lykken
Leadership vs. Management: The Key to Success in 2013
any pundits in business have
long deliberated on the differences between leadership and
management. Leadership, many presume, is about inspiring people. It’s
about practicing what you preach and
setting an example that others will follow
on
their
own
volition.
Management, on the other hand, is
about directing people to accomplish a
M
JANUARY 2013 v
14
desired outcome. This involves setting
and enforcing guidelines in order to
ensure that things get done. Both managers and leaders are needed in business and every great business executive
will play both roles. A leader is what we
want to be; a manager is often what we
must be.
In the mortgage industry, however,
being a leader and being a manager
aren’t so different. With ever-increasing
regulations, great leaders in the mortgage industry will by necessity become
great managers. A manager in any
industry needs to be in control of business operations. However, with as much
regulation that falls upon executives,
even the leaders in the mortgage industry need to have greater control. In the
mortgage industry, if you aren’t a great
manager, you cannot be a great leader.
In 2013, the difference between a
great leader and a mediocre one will be
how well those leaders manage the
processes in their businesses. A great
leader in the mortgage business can no
longer merely provide inspiration and
guidance for his people; he must also
provide control and oversight for his
processes. For, as time goes on, employees in the mortgage industry will be
more inspired by how well you are able
to manage your processes than they will
be by anything else. In the mortgage
business, great management is inspiring. In the mortgage business, great
management is great leadership.
So, let’s talk a little about how
strengthening your process management will lead you to success in 2013.
When you have a full understanding of
everything that’s going on in your
industry, you will earn the respect of
your employees and the success of your
business. It is now more important than
ever to manage processes. It is no
longer enough to originate a loan; you
have to have the discipline and oversight to see your client through every
step of the process.
The Consumer Financial Protection
Bureau (CFPB) has just released seven
new rules that bear greatly on the manner in which mortgage professionals go
about doing businesses. One of the
most daunting of these rules is the qualified mortgage, known as the qualified
mortgage (QM). Managing change as the
QM is implemented is going to be labor-
intensive and time consuming. Other
critical rules that will require extensive
focus and determination include new
servicing standards, a rule affecting
compensation of loan officers, a provision about high-cost mortgages, a few
rules and guidelines on appraisals, and
an escrow rule related to impounding
accounts and tax insurance. Is that
enough for you?
More than ever, leaders need to take
a hands-on approach to business.
Leaders will need to know the new regulations in and out, as well as take a
deliberate role in implementing them
in their businesses. Nothing is going to
change until you take the initiative to
change it. Your employees will be looking to you to guide them in this time of
increasing regulation. You will have to
be out in front, navigating the murky
waters of compliance. It isn’t something
you can delegate. You have to own the
process. You have to know what’s going
on and how to get your team through
each step of the transition.
In 2013, you will have to manage
your processes in ways that you never
thought possible. Are you currently taking a hands-on approach in your business? What systems are you using to
make your employees more productive
and more profitable?
Process management, as you are
probably aware, has two essential components: planning and monitoring.
Your success as a leader in 2013 will
depend almost entirely on how well
you fulfill these two functions. First, you
need to become an expert on building a
plan. Crafting a strategy to implement
the changes in regulations and position
yourself for future changes is stage one.
How has your planning been in the
past? How much time do you spend on
the drawing board? Let’s talk about
how to build a better plan.
The first important part of creating a
solid plan is starting with the specifics
process management is all about.
If you’re looking to provide greater
motivation and inspiration to your
team members in 2013, you can do it
by playing an active role in guiding
your organization through these difficult transitions in regulatory policy. Be
on the front lines. Be involved in what
is going on. Your employees are not
looking for a cheerleader from the
sidelines. They’re looking for someone
who will get in and play the game with
them. They’re looking for a
Quarterback—someone who will call
the plays and be there from the snap
until the whistle blows. Yes, they’re
looking for a leader. But, in this regulatory climate, they’re looking for a
special kind of leader. They’re looking
for a leader and manager rolled into
one. Are you the leader that they are
looking for? If not, are you willing to
become one?
In 2013, many mortgage bankers
will face the threat of failure. For
many, the changes will be unbearable.
The level of compliance faced in the
industry is unprecedented. One really
can’t blame those who wish to throw in
the towel. However, if you’re a survivor, if you’re a strong leader that is
bent on overcoming no matter the
odds, there’s only one way to stay alive
in 2013. Own your processes. If you can
excel at managing your processes, no
amount of regulation will be too difficult to implement. Your team will see
you as someone who is in control and
you will be truly unstoppable. Make
the decision to become a process manager today.
David Lykken is president of mortgage
strategies and managing partner with
Mortgage Banking Solutions. He has
more than 35 years of industry experience and has garnered a national reputation, and has become a frequent guest
on FOX Business News with Neil Cavuto,
Stuart Varney, Liz Claman and Dave
Asman with additional guest appearances on the CBS Evening News,
Bloomberg TV and radio. He may be
reached by phone at (512) 977-9900, ext.
10, or e-mail [email protected] or [email protected].
15
v JANUARY 2013
and working your way outward to the
general ideas. The temptation may be
to start with your grand vision and iron
out the details as you go along. The
problem is that you will usually end up
missing something important. The
devil, as they say, is in the details.
Instead, start with the details. Start with
the nitty-gritty. Start with the new rules
or policies you have to implement and
build your way up to a bigger vision.
The second part of creating a solid
plan is to be clear about who is responsible for carrying out each part of the
plan. Tie each element to specific
departments or employees. One of the
biggest complaints employees have
about their managers is a lack of clarity
in their expectations. Don’t be that
manager. Craft into your strategy precisely who is accountable for every element of your plan. If no one is responsible for it, it doesn’t get done.
One final thing to consider in building your plan is that things never go as
planned. Always have a back-up plan.
Right from the beginning, weave into
your strategy alternative options you
can take if the situations change. Be
flexible and adaptable. As a professional in the mortgage industry, you
need those skills more than anyone
else.
After you’ve created a solid plan
and have begun to implement it, you
must begin to monitor the progress of
your plan. If you aren’t paying attention to how well your team is carrying
out your plan, how will you ever know
if it works? After you begin implementing the changes in your business,
set up key metrics to monitor from
each employee and each department.
Generate progress reports to show
employees how well they’re meeting
their expectations. Keep everyone on
their toes. Keep everyone moving forward. Own the process. If you don’t
take control in 2013, you’re going to
lose it completely.
Now, more than ever in the mortgage business, the philosophy is adapt
or die. The Consumer Financial
Protection Bureau isn’t going away any
time soon and it is likely to play a
greater role in your business operations
as time goes by. After you’ve developed
the perfect plan and extensively monitored its success, everything might just
change all over again. You have to be
able to roll with the punches and pick
right back up developing a new plan to
implement new changes in your business.
You aren’t becoming a part-time
process manager. From here on out,
you have to throw yourself wholeheartedly into owning your processes. You
have to be in constant process-management mode. You have to be in constant
planning, constant monitoring, and
constant adapting. If you are to succeed, you’ve got to change your perspective. You can’t lead your business
from an ivory tower. You’ve got to get
into the trenches and get your hands
dirty. You have to touch everything that
happens in your business. That’s what
nmp news flash
NMLS
W
Why
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Three
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Education
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exclusive access
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affecting
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regarding the regulations
regulations aff
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FREE TO
industry updates
updates AND
TO MEMBERS monthly
monthly webinar
webinar on industry
our 8 hour NMLS continuing
education
offering
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continuing educa
tion class
Provider
Provider # 1400309)
16
Leadership
Leadership
JANUARY 2013 v
If
If you
you believe
believe in helping to
to elevate
elevate the educational
educational standards
standards of
this industry,
industry, or assisting in developing
developing the most competent
competent
industry
work
industry w
ork force,
force, then you
you believe
believe in NAPMW.
NAPMW.
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since
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organization. But sinc
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up the major
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ofesity of professionals
professionals in the mortgage/banking
sion, our purpose
purpose is to
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advance in business,
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personal,
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development.
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NAPMW
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ww.napmw.o
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or ccall:
all: 1-800-827-3034
1 800 827-3034
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IIndustry
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U
Updatess
Flagstar Sells $1 BillionPlus Commercial Loan
Portfolio to CIT
Flagstar
Bancorp
Inc., the
holding company for Flagstar Bank FSB,
has announced that, effective Dec. 31,
2012, it has entered into a definitive
Transaction Purchase and Sale
Agreement under which a whollyowned subsidiary of CIT Bank, the U.S.
commercial bank subsidiary of CIT
Group Inc., will acquire a substantial
portion of Flagstar’s Northeast-based
commercial loan portfolio.
“This transaction is another step in
renewing Flagstar’s focus on our community banking operation in Michigan
and our national mortgage business,”
said Michael Tierney, Flagstar president
and CEO. “Flagstar is the largest bank
headquartered in Michigan, and we are
focused on being a best-in-class national mortgage lender and leading supercommunity bank. We remain deeply
committed to improving the quality of
our earnings within a disciplined lending framework, and today’s transaction
helps us decrease our risk profile while
improving our balance sheet flexibility.”
Under the terms of the Agreement,
CIT will acquire $1.264 billion in commercial loan commitments, $785 million of which is currently outstanding.
The loans sold consist primarily of commercial real estate loans, asset-based
loans and equipment leases.
“We are pleased to be able to acquire
a pool of commercial loans that complements our existing corporate finance
portfolio and will further expand our
middle market customer base,” said
Nelson J. Chai, president of CIT. “We will
continue to look for opportunities to
deploy our capital in transactions that
generate good returns.”
NAMB Calls for SBA Small
Business Panel to
Examine Impact of CFPB’s
Qualified Mortgage Rule
NAMB—The Association of Mortgage
Professionals applauds the efforts of the
Consumer Financial Protection Bureau
(CFPB) to finalize the Ability-to-Repay
rules mandated by the Dodd-Frank Act,
also known as Qualified Mortgages
(QMs). NAMB has, and continues to be,
a proponent of ensuring that consumers have an ability to repay mortgage loans. NAMB applauds the CFPB’s
efforts to reach out to the industry for
feedback regarding these rules as the
Bureau has been tasked with the very
difficult job to create a rule to protect
consumers from poorly-designed loans,
such as pay-option ARMs and no-doc
loans. Yet, the CFPB also cannot limit
consumer choice by creating an uneven
playing field between the “Too Big to
Fail” institutions and the thousands of
small businesses originating loans
today. The primary concern of NAMB
with the QM rule surrounds the DoddFrank Act’s mandate of a three percent
cap on points and fees.
“We believe permanently removing
certain loan programs with risky features such as no-doc loans to W-2 borrowers will help the housing market in
the long run,” said NAMB Government
Affairs Committee Chair John H.P.
Hudson. “However, arbitrary caps on
points and fees which do not impact a
consumer’s ability to repay, without
any clear definitions, will ultimately
harm consumers by reducing competition, raising borrower costs and promoting the policies of ‘Too Big to Fail’
institutions. The congressional intent of
the Ability-to-Repay Rule was not to put
the CFPB in a position of picking industry winners and losers.”
NAMB feels that the CFPB’s QM rule
can potentially promote a bias against
non-creditor mortgage companies. The
three percent cap on points and fees
not only has the potential to discriminate against small business entities, but
it has the potential to limit access to
credit for lower loan amount consumers which typically are considered
low- to moderate-income consumers.
“Homeownership is the key to
wealth generation in this country for
many Americans,” said NAMB President
Don Frommeyer. “Overly restrictive definitions of the QM could lead to many
Americans being forced into a permanent class of renters. NAMB membership works to protect equal access to
credit for all consumers, not just those
whom can afford to buy more expensive houses.”
The CFPB will be seeking further
comment on the QM definitions. NAMB
officially calls for the CFPB to convene a
small business review panel to study
and learn the impact that the QM rule
will have on thousands of small business owners, employees and the consumers in areas typically underserved
by Too Big to Fail institutions.
“Utilizing the Small Business
Regulatory Enforcement Fairness Act
(SBREFA) process will help Director
Cordray and his staff better understand
the impact certain provisions of the QM
will have on small businesses and the
consumers they serve,” said Hudson.
NAMB officials will continue to
review the final QM Rule and will issue
further comment.
“Consumers deserve protection from
bad
mortgage
products,”
said
Frommeyer. “However, the unintended
consequences of ‘one size fits all’ regulation will ultimately harm the very
people it is meant to protect. In today’s
environment of historically low interest
Icon Residential is one of the nation’s
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17
Managing for the Future:
Firing the Wrong People
By Dave Hershman
n my book, The
Complete Mortgage
Management Kit, I
define five rules of
management:
I
JANUARY 2013 v
18
1. Hire the right people
2. Fire the wrong people
3. Tell the right people what their jobs
entail
4. Give the right people the tools necessary to do their job.
5. Monitor, but get out of the way.
Clearly, the most important rule is to
hire the right people. If you hire the
wrong people, you will never be a good
manager. End of conversation.
However, sticking with the wrong
people can be just as devastating to
your business model. The cost you
will incur entails more than the
results of poor performance.
Managers think they are all powerful,
but they are not. Sticking with poor
performers represents your greatest
impediment to implementing your
recruitment plan. A manager tends
to spend up to 80 percent of their
time supervising the wrong people
and the opportunity costs they incur
as a result are very, very significant.
These costs include lost time and
additional stress. Just to accomplish
something that is impossible: trying
to make the wrong people into the
right people.
Why is it so hard? Because of the
great myths of employee development:
n Myth #1: They are not succeeding
because I am not a good manager.
At the worst, you have not truly
defined the job so that you do not
have a good handle regarding why
they are failing and by how much.
At best you have hired the wrong
person for the job (see Rule Number
One).
n Myth #2: If I ignore the problem it
will go away or become better over
time.
Even the worst performers have
bouts of efficiency that will enable
you to justify this statement.
Performance problems do not fly
away. Yes, you might retire first.
More likely they will quit first
because they are as miserable as
you. How many times were you
relieved over a resignation? This is
a bad sign! Remember leaders are
proactive. Anytime you go to the
office in hope that the employee
will make this decision for you, you
have already wasted much too
much time. Want another bad
sign? I know managers who have
called loan officers and asked
them—do you still work here anymore? If you have to ask—they are
either not working or working
somewhere else.
n Myth #3: They are just in the wrong
position.
Do you have a job they can do adequately? Then make the move! Don’t
transfer them to another division
and make them someone else’s
managerial problem.
n Myth #4: But dealing with problems
is my job as a manager!
No, eliminating or preventing
problems is your job. Who said that
managers need to hit themselves
on the head with a hammer to
become successful?
n Myth #5: If I can just get them to do
this or that right, they will “cut the
mustard.”
Yes, if you coach and coach and
coach, they might become adequate. They will never become
peak performers. Your success will
be dependent upon how many
peak performers you have.
We have them!
Do you?
Because we bond thousands of mortgage companies across the country
we use our buying power and
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underwriting parameters and
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“A manager
tends to spend up
to 80 percent of their
time supervising the
wrong people and the
opportunity costs they
incur as a result are
very, very
significant.”
Anyway, how does one cut the
mustard?
n Myth #6: If I have too many peak
performers, won’t one of those
whippersnappers go after my job?
Yes, they will. After you are promoted or you expand your company.
The more peak performers you
have, the better your unit will perform and the more likely you will be
promoted. If not, one of them will
pass you by!
It is absolutely true that offices with
top performers will attract top performers. People who excel understand the
need to be surrounded by others from
whom they can learn. They also like a
challenging environment. So just keeping less-than-mediocre performers
around will hamper your recruiting
efforts not only by using up your most
precious resource—time—but by creating the wrong environment.
Should I just go back to the office and
fire someone?
We are not usually in a position to do
this, because you have not dealt with
the problem adequately. If you have
been ignoring the problem for two
years, you cannot just come in and
make a move. Your company probably
wouldn’t enjoy the legal liability of a
Valentine’s Day Massacre. What you
would like to do is to make up your
mind to take the steps necessary to
bring the problem to a closure. Make
the commitment and then act! Moving
to Rules #3 and #4 will help you do
just that, because these rules deal
with the correct creation of expectations and making sure that you and
the employee are fulfilling these
expectations.
Dave Hershman is a top author in the
mortgage industry with seven books published, including The Complete
Mortgage Management Kit. Dave is also
director of branch support for McLean
Mortgage. He may be reached by e-mail
at [email protected] or visit
OriginationPro.com.
nmp news flash
rates and an economy finally showing
signs of recovery, the CFPB should continue to work with the mortgage industry to ensure that consumers still have
availability to affordable credit. NAMB
looks forward to working with the CFPB
to ensure the rule is fair for all.”
Conforming Loan
Limits to Remain
the Same in 2013
Mortgage Banker Profits
Increase to Nearly $2,500
Per Loan in Q3
Kurt Gonzalez
Branch Manager
5072 W. Plano Parkway, Ste. 200
Plano, TX 75093
(972) 985-0000
ServiceFirst has you covered.
TM
NMLS: 166487
ServiceFirstMtg.com
877-278-SFMC
19
v JANUARY 2013
Please feel free to visit or call our team.
Independent mortgage banks and mortgage subsidiaries of
chartered banks made
an average profit of
$2,465 on each loan they originated in
the third quarter of 2012, up from
$2,152 per loan in the second quarter,
as reported by the Mortgage Bankers
Association (MBA). Seventy percent of
the 311 companies that reported production data for the third quarter
report were independent mortgage
companies.
“Both purchase volume and refinancing volume increased in the third
quarter, resulting in higher net production profits among independent mortgage bankers,” said MBA Associate Vice
President of Industry Analysis Marina
Walsh. “Secondary marketing gains
improved by 14 basis points over the
second quarter. However, per loan
expenses remained flat despite higher
volumes.”
Among the other key findings of
MBA’s Quarterly Mortgage Bankers
Performance Report are:
n In basis points, the average production profit (net production income)
was 120 basis points in the third
quarter, compared to 107 basis
points in the second quarter.
n Average production volume was
We are pleased to announce that our Plano, TX branch has expanded.
The Federal Housing
Finance Agency (FHFA)
has announced that
the maximum conforming loan limits
for mortgages acquired by Fannie
Mae and Freddie Mac in 2013 will
remain at existing levels. In most of the
country, the loan limit will be $417,000
for one-unit properties. The loan limits
are established under the terms of the
Housing and Economic Recovery Act of
2008 (HERA), and are calculated each
year.
The law sets loan limits as a function
of median home values in local areas.
While some counties saw increases in
home prices in 2012, no loan limit
increases were evident after other HERA
terms such as the statutory ceiling and
floor were taken into account.
The maximum conforming loan limits for one-unit properties, which generally have applied to loans originated
since Oct. 1, 2011, are $417,000 in most
locations, but are as high as $625,500 in
certain high-cost areas in the contiguous United States.
For loans originated prior to October
2011, the maximum loan limit was as
high as $729,750 in the contiguous U.S.
That higher “ceiling” limit was permitted under legislation that is not applicable to loans originated in 2013.
In determining 2013 loan limits
under the terms of HERA, FHFA did not
change the baseline maximum conforming loan limit for the United States.
The baseline limit, $417,000 for oneunit properties in the contiguous U.S.,
was left unchanged based on historical
index values for FHFA’s monthly and
quarterly House Price Index (HPI).
HERA requires that the baseline loan
limit be adjusted each year to reflect
changes in the national average home
price. After a period of declining home
prices, however, HERA requires that
prior price declines be fully offset
before a loan limit increase can occur.
During the recent housing bust, the
average U.S. home price declined substantially. While estimates vary, the
FHFA monthly and quarterly HPI
declined by more than 19 percent
through mid 2011.
Although FHFA’s monthly and quarterly HPI both evidenced price increases
over the latest year, the magnitude of
those increases was relatively small—
only in the range of 4.0-4.4 percent.
Because the latest year’s price increase
did not fully offset the cumulative
decline in prior years, the national loan
limit is left unchanged pursuant to the
terms of HERA.
In making this determination, the
FHFA HPI has been used. The same
result would apply, however, if any of
several other commonly-cited house
price metrics were used. FHFA has evaluated a number of methodologies for
tracking changes in the national average house price.
Consistent with FHFA’s prior practice,
in determining the 2013 HERA limits,
FHFA used median home values estimated by the Federal Housing
Administration (FHA) of the Department
of Housing and Urban Development
(HUD). FHA has calculated those median values for the purpose of determining its own lending limits. Once the FHA
loan limits are announced, FHA will
allow a 30-day appeals period for
appellants to submit data suggesting a
potentially higher median home value
for a given area. If FHA changes its
median price estimates as a result of
any appeals, and if those changes
would impact the FHFA conforming
loan limits, FHFA may adjust the conforming loan limits and announce the
resulting changes.
The President’s Corner: January 2013
hope that all of
you had a great
holiday season and
are looking forward
to making 2013 better than 2012. I feel
like we have really
accomplished a lot
this year, and as I
write this President’s Corner, I am
really excited about this coming year,
both for NAMB and for all of us as
originators.
As I look forward, I am reminded
that in some circles of the mortgage
arena, there is cautious optimism out
there everywhere. We still have so
many unanswered questions concerning the Consumer Financial Protection
Bureau (CFPB), concerning the new
Congress and Senate, and even what
are rates going to do, what changes
may be coming on FHA loan, and what
about Fannie and Freddie? And the
other items such as The Fiscal Cliff, the
stock market, the bond market …
whew! I sometimes wonder how we
keep up with everything.
Let me tell you … the answer is
that the great people associated with
Professionals are on their toes. They
look at all of this each and every day
and they help us as a Board of
I
JANUARY 2013 v
20
Directors by making the decisions that
allow us to keep you informed. I am so
proud of these people, because they
make my job easier. In the past, NAMB
presidents were paid a stipend to
serve as president because they took
so much time away from their jobs. As
I have been president since Nov. 10,
2011, I have put countless hours into
this job, and as the day moves on, I
continually try to juggle the day in and
day out assignments from NAMB, to
running my company. I have closed
more loans personally this year than I
have in the last three years. I still talk
with every customer and I make sure
that I am treated exactly like my originators … no special favors. And the
best part of it is talking to my customers. I like the interaction and time
spent to see them excited about what
I have helped them do. And the reason
for that is that the people at my office
that do their job.
People ... such a funny word that
tells us that we are a group of human
beings who band together to exist in
an existence that is considered collectively or in a general group, to exist for
the good of all … and that really
describes employees and NAMB members. To exist for the good of all! I sincerely feel that I cannot say enough
about the people that work each and
every day for the success of NAMB.
From my Board of Directors all the
way across to the members that join to
be part of their organization that represents what they do for a living. I
thank all of you that are members and
all of you that will become members
and even those of you that aren’t
members, because all of you are people of this association and you are
what makes this such an incredible
journey. Again … thank you!
I hope that all of you will come to
Washington, D.C. for the 2013 Annual
Legislative & Regulatory Conference on
March 10-12. We will be spending
Monday being informed of what has
transpired and what will be coming up
on Capitol Hill in the next year.
Speakers from the CFPB and other agencies will be on hand, updating you on
their changes and other things that will
be going on in the halls of Congress.
There is going to be a large discussion
on the qualified mortgage (QM), so
come prepared to learn what could be
in store for the industry. Please don’t
wait to register because if you remember last year, we ran out of room at the
host hotel. Please remember, you must
be a member of NAMB in order to
attend this Legislative Conference. If
you would like to attend and are not a
current
member,
log
on
to
JoinNAMB.com and join prior to registering for the event.
Another item that is gaining some
momentum is what we are doing in
the membership program. We have
initiated a program that will involve
all of the account executives in the
marketplace to go help get members.
Now is the time to gather a great number of members to make sure that
Washington understands that we are
all together and are very important.
Remember, NAMB represents and has
always represented the mortgage professional since our inception in 1973.
I am really looking forward to a
great 2013 and moving forward with
growing this association to what it was
five years ago. Remember, if you are
not a member, the question you need
to ask yourself is WHY? We also are
looking for people to get involved in
committees to help us achieve these
goals. We cannot do it without you,
and you are important to us. Please
become a member, and do it today.
Sincerely,
Donald J. Frommeyer,
CRMS, President
Professionals
NAMB Rolls Success With
First Annual NAMB National Conference in Vegas
By Kay A. Cleland,
CMC, CRMS
he
inaugural
NAMB National
conference was
held at the MGM
Grand in Las Vegas on
Dec. 8-10. What an
amazing event that featured amazing
national speakers and a jam-packed
convention hall! This conference had
to be, without question, one of the best
that I have attended in a long time. Live
seminars were held on Sunday and
Monday, where attendees were able to
experience dynamic speakers such as
Greg Frost, Erik Janeczko, Ginger Bell,
Rene Rodriguez and many more.
As a licensed mortgage originator,
this was perfect timing for the New
T
Year, as 2012 was wrapping up and
2013 was set to begin. The conference
was filled with seminars that are helping me create a successful business plan
for what is already shaping up to be a
great 2013. I was able to choose the
meetings that I wanted to attend that
worked with my goals and schedule.
The exhibitor booths on the exhibit
hall floor of the MGM Grand ranged
from wholesale lenders, software companies and technology providers, credit solutions, sales and marketing firms,
referral sources, commercial mortgage
providers, insurance providers, bonding firms and media outlets. All of
these vendors were on hand at NAMB
National to support the originators
and give them more ideas to create
more business. I would like to say
thank you to the exhibitors on behalf
of NAMB, the mortgage originators and
business owners.
This conference brought together
mortgage professionals from around
the United States to network. This group
is definitely at the top of the mortgage
profession. I felt extremely fortunate to
be in the presence of so many outstanding individuals who gave of their
time and shared information to help
me enhance my mortgage business.
As a licensed mortgage originator
and owner of my own company, it is
imperative that I know what is going
on legislatively and how it affects me,
my customers and my company.
NAMB helps me to know exactly what
is coming legislatively and what I need
to do as a mortgage professional in
order to always be prepared. The legislative update, presented by NAMB
Government Affairs Committee Chair
John H.P. Hudson, was informative and
specific. Watch for NAMB’s Call to
Actions and act.
I am thankful for all of the volunteers at NAMB, as well as the association’s sponsors, vendors and partners
that made this Conference one of the
best! It is important that we all play a
part in our mortgage industry. If you
are not a member of your state and
national association, please join today
and help us to make a difference and
support our industry.
Kay A. Cleland, CMC, CRMS of KC
Mortgage LLC in Castle Rock, Colo. is secretary of NAMB—The Association of
Mortgage Professionals. She may be
reached by phone at (720) 810-4917 or email [email protected].
Scenes From NAMB National 2012
December 8-10 at the MGM Grand in Las Vegas
The gang from
Advantus on the
exhibit hall floor of the
MGM Grand in Las
Vegas
James Wilkinson and
Tate Kesner of Calyx
were on hand to
demonstrate their
software solutions
Mike Grim and Don Clement Jr.
from Credit Plus Inc.
Nick Lambrinatos, Ryan
Alex, Kevin Neville and
Dan Vermillion of
LendingTree
The Icon Residential crew was on hand to assist attendees with their
lending needs
NAMB President Don Frommeyer
welcomes attendees to the first-ever
NAMB National Conference
v JANUARY 2013
NAMB President Don Frommeyer
congratulates Nathan Pierce and
Rick Bettencourt on receiving their
Certified Residential Mortgage
Specialist (CRMS) designation
Members of NAMB’s Board of
Directors receive a check in the
amount of $10,000 from the
Originatorfest Golf Tournament
Justin Glass
and Kristina
Bennett from
United
Wholesale
Mortgage
(UWM)
Ann Stockberger, Carl Markman, Joe Amoroso and Anthony
Durso of Real Estate Mortgage Network (REMN)
The Maximum Acceleration crew
was on hand to discuss their
offerings
21
Scenes From NAMB National 2012
December 8-10 at the MGM Grand in Las Vegas
NAMB Vice President John
Councilman announces the
nominees for the NAMB
Professional of the Year Award
NAMB Government Affairs
Committee Chair John H.P.
Hudson was awarded the NAMB
Volunteer of the Year Award
NAMB Government Affairs Chair John H.P.
Stevens presents John Glen Stevens a check
NAMB Professional of the Year
nominee John Glen Stevens
addresses the crowd
22
JANUARY 2013 v
John Councilman (left) and Don Frommeyer (right) congratulate all the
nominees for the NAMB Mortgage Professional of the Year Award
Scott St. John delivers his NAMB
Professional of the Year nomination
speech
Andy W. Harris delivers his
nomination speech for NAMB
Professional of the Year
Another packed hall listens in on one of the many educational sessions offered at
NAMB National
George Burkley from Indiana, NAMB Past President Harry Dinham, NAMB
President Don Frommeyer, NAMB Immediate Past President Jim Pair, NAMB
Secretary Kay Cleland, Mike Anderson from Louisiana, NAMB Lobbyist Roy
DeLoach and Franklin American Account Executive Ann Block enjoying the
NAMB National Conference in Las Vegas
Mark Your Calendar
2013 NAMB Annual Legislative
& Regulatory Conference
Sunday-Tuesday, March 10-12 • Washington, D.C.
The 2013 NAMB Legislative and Regulatory Conference will be held Saturday-Tuesday, March 1012 in Washington, D.C. This is a “must attend” event for all mortgage professionals. Last year,
more than 10,000 Realtors attended NAR’s Lobby Day. This year, NAMB would love to get 1,000
mortgage professionals to D.C. to help NAMB lobby on Capital Hill. Join NAMB as the association
rallies to fight for consumers, small business and mortgage professionals everywhere.
For more information, visit NAMB.org.
The Heart of the
Profession:
Don Fader Recognized as NAMB’s
Mortgage Professional of the Year
B Y
D A V I D
J .
C O S T E R
O
as NAMB Mortgage Professional of the Year.
How would you describe the relationship
between independent mortgage firms
and wholesale or correspondent bankers?
Don Fader: Our relationships with whole-
Are you concerned that new regulations
will hurt the independent professional’s
ability to compete with the large depository lenders?
Don Fader: The one size fits all regulatory
strategy threatens to eliminate the small
professional channel. Now that should
not be construed to mean that we are
asking for a pass. You know we don’t have
v JANUARY 2013
You are a passionate advocate for the
independent mortgage professional channel. Why?
Don Fader: Just yesterday, a lobbyist asked
me how viable the independent mortgage
From your perspective, how important is
the service you get from the banker?
Don Fader: Service is absolutely critical to
us because the borrower never sees the
wholesaler … they never see the funder.
Anything that goes wrong in that process is
our responsibility because we are the professional in the transaction and we have
selected that company. We have to stand
behind our wholesaler and they have to
stand behind us. Those relationships are a
lot closer than they were 10 years ago. On
both sides of the third-party origination
channel—independent professionals and
wholesalers—the firms that remain are
those that are committed to the model.
That makes for a great partnership.
23
Tell us about your early days working for
a savings and loan.
Don Fader: I began in the mortgage
industry in 1985 with a savings and loan.
They had an opening for a loan officer. It
was a unique and a substantive way to be a part
of the community—
building the community
and serving the community. It just seemed to be a
natural fit for my disposition.
Unfortunately, after a
few years, the S&L crisis
came about and the S&L
that I was working for was
seized by the Office of
Thrift Supervision (OTS). I
stayed with them during
part of the transition process, but soon left
and joined First South Bank as vice president of their mortgage production. I stayed
for three-and-a-half years, convinced that I
learned everything that I needed to know
about mortgage lending. Boy was I wrong!
It was in 1996, when I left First South to
open SMC Home Finance that my education truly began.
professional model is today. Here is how I
answered him: “The small professional has
one product to offer … a mortgage loan. I
cannot finance your car. I cannot do a personal loan for you. I cannot finance your
boat. Mortgages, that’s all I do, so I have to
do a better job or I am out of business.”
The unique thing about
the mortgage industry is
that the David’s of the
industry you can compete
on an equal footing with
the Goliaths of the industry
because we can provide a
higher level of service. We
can provide a greater
amount of product options
and can do it despite the
apparent economies of
scale disadvantage. In reality, the mortgage industry
works with a reverse economy of scale situation. Non-depositories
assume operating risk that large originators are unwilling to take on. We provide
the services and facilities that make homeownership possible and we do not have
executive or middle management. We
don’t maintain an IT department or
human resources department, so these
cost savings allow us to operate a more
effective and efficient loan platform.
salers or correspondent bankers,
now more than ever, are relationships
that are vetted, and are based on a large
degree of trust. It’s no longer enough that
you are licensed. You know you have to be
able to prove yourself to your wholesaler or
correspondent, and they have to have confidence that the product that you are originating is going to be a sellable product. It’s
going to be well-originated. It’s going to be
free from fraud. The correspondent or
wholesaler is going to write a check for
$250,000, for example, based on a file that
you have put together. They must have the
confidence that that file has been put
together in such a way that protects their
interest, as well as the borrowers.
n the night of Dec. 9, 2012,
Don Fader was not at the NAMB
National meeting at the MGM
Grand in Las Vegas with other successful
members of what he affectionately calls
“the varsity” of the independent mortgage
professional channel. He was at home in
Kinston, N.C., a town of just over 20,000 in
the mostly rural eastern region of the state
recovering from open heart surgery.
Nevertheless on that special night “the varsity,” and in fact, all independent mortgage professionals, celebrated as Don was
named NAMB Mortgage Professional of
the Year for 2012. John Councilman, vice
president of NAMB—The Association of
Mortgage Professionals and the leader of
the Award Selection Committee put it this
way: “Don’s influence inside and outside
of NAMB is just overwhelming. Very few
people in the organization have not been
touched in some way by Don. When his
name was called as the Mortgage
Professional of the Year, there were few
dry eyes in the room. Don simply deserved
to be Mortgage Professional of the Year.”
When asked of his thoughts on honoring Don Fader, NAMB President Don
Frommeyer noted, “Don Fader has been
involved with NAMB for numerous years.
He has always gotten involved having
held several committee chair positions,
board positions and state positions. He
has also worked very hard on state problems in North Carolina. He is very
unselfish in honoring his commitment to
NAMB. I could not think of anyone else
that has put forth his time and effort this
year for both NAMB and North Carolina,
other than Don Fader. As this title is the
highest reward that we give to anyone, he
has definitely earned this honor of NAMB
Mortgage Professional of the Year.”
I recently had the opportunity to speak
with Don Fader about his career, the independent mortgage professional industry,
and how it feels to be honored by his peers
2013: Wholesale Rising
By Al Crisanty
A new year lies ahead as we close the book on 2012. We in the
industry have weathered unimaginable change over the past
four years. As a result, we have emerged smaller, but stronger.
The year 2013 promises more change, and as before, the
strong and wise shall thrive. Our firm believes that three trends
will play out in the mortgage industry in 2013. These trends are:
1. HARP 3.0 will come to fruition, allowing millions more homeowners to benefit from refinancing and allowing the refinance-domination of the industry
to continue for another year.
2. Preferred vendor relationships will become the norm in the industry as
lenders seek to maintain quality standards throughout the lending process.
3. The wholesale channel will continue to reclaim market share lost in the
aftermath of the mortgage meltdown and housing crash as quality origination
will combine with maximized consumer choice and professional flexibility.
Let’s take a look at this third trend in the next few paragraphs—the continued resurgence of the wholesale channel—and examine why this is simply
a part of crafting the New Mortgage Industry (NMI).
The NMI is simply the combined structural, operational and regulatory
changes that are being put in place in the aftermath of the mortgage system
collapse and housing bubble. One of the emerging themes of the NMI is the
potential risk for lenders for all activities from first customer contact through
their final mortgage payment. While this may be a dose of hyperbole, in reality, the unknowns regarding the final composition of the NMI make it imperative for lenders to have visibility and confidence in all aspects of the mortgage process or risk substantial regulatory and financial consequences.
This potential risk requires that lenders follow three hard and fast rules:
JANUARY 2013 v
24
1. Know, approve and review all partner procedures
2. Maintain vigilant QC procedures
3. Maintain a zero-tolerance policy for violators of established guidelines or
procedures
While on one hand, we are all working to build the dreams of our customers, on the other hand, we are manufacturing a financial product for the
markets. The NMI requires that mortgage products be 100 percent defect free.
Wholesale lending—lending through mortgage brokers—can deliver on that
requirement. Why? Wholesale lenders, including 360 Mortgage Group, have
every incentive to be extremely careful in broker approval, generous in broker
resource development, training and oversight, and unrelenting in standards
adherence. Since this is our sole business, we have no other choice but to give
investors what they are demanding. Brokers likewise depend on effective and
efficient wholesalers to provide the products and service their customers
demand. This produces a self-supporting cycle of quality throughout the
wholesale lending channel.
The working relationship between regional wholesale mortgage bankers
and brokers is aided by proximity as well as intensity. There are numerous
communication channels, but the key to the success of the relationship is the
wholesale account executive. Not only is the wholesale account executive in
close physical proximity to the brokers with whom they work with, but they
play the important roles as teacher, intermediary and advocate. The wholesale account executive is the key differentiator that makes the wholesale channel the most reliable source of quality loans in the NMI.
The year 2013 will continue to see significant and industry-altering
changes. Yet the role of the broker, the account executive and the wholesale
mortgage banker will continue to ascend as it is further proven that this team
produces the highest quality loans.
Al Crisanty is vice president of national wholesale production for 360 Mortgage
Group and is responsible for overseeing regional sales managers as the company
seeks to expand operations to all 50 states. Formerly the national wholesale
director for Caliber Funding, Al was responsible for the development and expansion of Caliber’s wholesale production channel. Additionally, Al served as executive vice president of national production for American Home Mortgage, successfully transitioning the 500-member production team from Capital Commerce
Mortgage Company. Al may be reached by phone at (916) 761-1624 or e-mail
[email protected].
SPONSORED EDITORIAL
the heart of the profession
an inherent right to exist. Our value
derives solely from our ability to provide
borrowers with the services and products
that they expect and deserve. Our size
makes us nimble and our knowledge
makes us invaluable. The channel
deserves consideration in the regulatory
scheme. What we hope is that the regulators are well-intentioned, and as we move
forward, that they can understand the
value of the small channel.
For example, I live in a town of 20,000
may be 21,000 people. We have eight or
nine banks, savings and loans and credit
unions in this town. There is no resident
mortgage loan officer in any of those
institutions. Let’s just say a borrower
walks into the lobby of a large money center bank here in my hometown. If he has
a credit score of 800, plenty of W-2
income and a 20 percent downpayment,
they will make arrangements for a mortgage loan officer to meet them there at
their convenience. Now if you walk in
with a 680 credit score, three percent
downpayment, income from a number of
jobs, and maybe he has had a couple of
jobs over the last two years, they are going
to draw a map on the back of the deposit
slip to the bank in the next town over
where there is a mortgage loan officer.
Compare that to our approach. We are
going to sit that customer down and we are
going to walk them through the entire
process. The banks are losing their commitment to consumers, especially in rural
and small town areas. When 70 percent of
the independent market disappeared, you
lost a tremendous amount of capacity,
especially for first-time homebuyers. Your
small customer … your FHA customers …
they are being underserved and in general
access to credit is diminished.
How important is it for a mortgage professional to be involved in their community?
Don Fader: Being involved in the community is a critical issue. I have got an
advantage. I am 57-years-old. I have
lived in this town my entire life. I am
doing loans today for the grandchildren
of some of my early S&L customers …
the third generation that I am serving.
You know I cannot walk into a grocery
store or into a mall without running into
a customer. I constantly get bombarded
with questions about where rates are
right now, and is this a good time to refinance, or is this is a good time to buy.
We are members of the community
organizations and we actively participate. Our firm was awarded the small
business of the year by the Chamber of
Commerce 2010-2011. People who have
known me and the business that we run
are gave us that award. We are mighty
proud of that. I got a little chocked up
when I accepted the award because this
is home.
You just simply cannot take from a
community. Some business models lose
sight of the fact that, not only, are they
originating loans, but they are also cre-
Don Fader’s
Accomplishments:
n
n
n
n
n
n
n
n
n
n
Served as president of the North
Carolina Association of Mortgage
Professionals (NCAMP)
Named North Carolina Broker of
the Year
Served on NAMB’s Board of
Directors
Served as Interim Vice President
of NAMB
Chaired the NAMB Membership
Committee and the Bylaws
Committee
President of NAMB+, the NAMB
sister entity that finds new business partners for NAMB
Named to the Mortgage Advisory
Council in North Carolina by the
State Banking Commissioner
His firm, SMC Home Finance, was
named Small Business of the
Year in Kinston, N.C.
SMC Home Finance was North
Carolina’s first accredited lender
Holds the Certified Residential
Mortgage Specialist (CRMS) designation from NAMB
ating opportunities like financing the
purchase of a home, a cash out refinance to help pay for college tuition or
to enable the start a new business. We
are literally changing lives for our
friends and neighbors.
What else would you like your fellow
independent professionals to know?
My wife retired from teaching school
after 30 years. I was able to speak at her
retirement party and I looked at her and
said: “You may not have realized this,
but I have always been envious of you
and the work that you do. Every single
day that you taught, and in some small,
and sometimes even profound ways you
touched the future.” I cannot think of
anything more important than that.
I am not particularly eloquent. I am
not very smart, but I am passionate
about the mortgage industry and the
work that we do. I hope that at some
point through our various state associations and NAMB’s leadership on the
national front, we will be able to touch
the future by finding the balance that I
think is required on the regulatory front
to protect borrowers, but still promote
the dream of homeownership.
In the meantime I am very, very
proud to be associated with the professionals that I have met all across this
country. There’s nothing else that I can
achieve in this industry more important
than this award. I am truly humbled
and honored.
David J. Coster is senior editor of National
Mortgage Professional Magazine. He may
be reached by phone at (919) 559-2171 or
e-mail [email protected].
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companies and had all but given up when a
friend, Jonny Fowler, asked me to take a look
at ACHL This company doesn’t just feel like
home, it IS home. Every time I need help I
get it, and more! And with an incredible
branch opportunity it all sums up into 3
words: Product, Service, and HOME!”
“ACHL’s has truly been a wonderful
company to join. Response and turn times
are great. The communication and access
to anyone companywide all the way to
the top is almost immediate. You are truly
part of a family at ACHL.”
-
“Perfect closing today!
Attorney loved America’s Choice
Home Loans.
Everyone was as happy as could be!!!”
“I really like this organization.
My only regret is that I didn’t find
you sooner!”
Norman DuBois
Mark Silverberg
22 years in business
Saco, Maine
9 years in business
Houston, Texas
“An employee of a previous lender recommended ACHL to me. After talking to
everyone at ACHL I knew it was the right
fit. They did everything possible to answer
my questions and make sure that I could
open and run our branch our way.”
-
“The best thing about ACHL is
Underwriting and closing department
turn times. I have never had either
take more than 24 hours.”
“I joined America’s Choice Home loans because I felt like I was joining a family.
They just jumped through hoops to get me
on board and opened.
They give me the tools needed to help me
run and grow my business.”
“You know the old saying ‘Your company is
only as good as your employees’ Jonny and
his team have proven that statement to be
true! I’ve had the pleasure to work with
Jonny and his team for over 10 years.
Once I had the opportunity to move and
work with him and his team again
I took it! It’s the right move!
Renee Ralls
David Velasquez
Salem, Oregon
Virginia Beach, Virginia
Dante Miller
Corpus Christi, Texas
Brian Slodki
Bartlett, Illinois
Give Cory Fowler, Sales Manager at
America’s Choice Home Loans a call at
713-821-9753 or e-mail [email protected]
to learn how you can have a better, more rewarding career.
v JANUARY 2013
www.achlonline.com
25
Jim Patterson
Bayville, New Jersey
Monique LaValette
East Brunswick, New Jersey
Compliance and Marketing
2013: Safely Growing Your
Business
If you have ever done a significant amount of marketing, you’ve probably ran
into or heard of others running into problems with compliance (hoops to jump
through to keep your marketing compliant). The mortgage industry and your
marketing are heavily regulated by the Federal Trade Commission (FTC) and
now the Consumer Financial Protection Bureau (CFPB). These agencies are put
in place to make sure that consumers are not being taken advantage of by
lenders or their marketing and with all the guideline changes in the mortgage
industry they are cracking down.
Credit bureaus are paying hefty fines for allowing “pre-screened credit data”
to fall into the wrong hands, regulations are tightening up, and as a mortgage
professional, it’s up to you to keep abreast of all these changes, especially when
it comes to your marketing. We all want to earn a good living and grow our business. Don’t do it at the expense of your future or that of your company’s.
How can you stay current with all of these regulations?
2. Make sure you work with a reputable marketing firm. There are lots of “marketing people” out there who do not understand the guidelines. If they don’t
know the rules, how can you expect them to be followed?
3. If you have a compliance department, use them. They have intimate
knowledge of industry regulations and will make sure you don’t get into
any hot water.
4. This is the most important of all … Talk with your marketing company about
it. If you use an outside marketing firm, you must absolutely take the time to
talk with them and find out how much they know about the guidelines for the
specific type of marketing that you do or are planning on doing this year. Sure,
it’s not their responsibility to make sure you follow the rules. But if you get into
trouble they will lose you as a client so any good company will always put your
best interest first.
We are fresh into 2013 and it is shaping up to be bigger and better than
2012! With this will come more oversight by the CFPB and the FTC. Consider
the type of marketing that you’ve planned for the year. Does it involve telephone numbers? Are those numbers scrubbed against the federal Do-Not-Call
(DNC) List? Will you be using “pre-screened credit data?” Do you know the
guidelines for using such data?
JANUARY 2013 v
By Jean LeBlanc
The reference to SWOT (Strength, Weakness, Opportunity,
Threat) as an analysis tool is well-established in business
lexicon and Economics 101 in the beginning lessons provided to any entrepreneur. But due to the unique nature
of the mortgage industry, many branch managers have
failed to use it to clarify their current position and pursue a growth-oriented strategy.
Strengths and weaknesses
1. You can read the guidelines on the agency Web sites.
26
Applying SWOT
to the Mortgage
Industry
Key factors to consider
Understand the regulations that affect your marketing and do your best to follow them. They will sometimes lower your response rates so it’s important to
consider this before you start marketing for the year. If you have already started your campaigns, have that conversation with your compliance officer
and/or you marketing firm and make any necessary changes ASAP. Talk with
your marketing firm to get useful insight into how you can keep your marketing profitable while following set guidelines and find out what’s working for
others in your area.
Lastly, just because these agencies are cracking down, it doesn’t mean that
you cannot market! There are plenty of campaigns working great for all types
of loans that are completely compliant … whether you are writing FHA, VA,
conforming or reverse loans. There are even great campaigns for commercial
mortgages! The mortgage industry is moving in the right direction again, and
it’s important that you remain ahead of your competition. Plan your growth,
find credible companies to work with, and make 2013 a year to remember!
Medford, Ore.-based TagQuest is a full-service marketing firm created specifically for the ever-changing business world. TagQuest assists companies with their
direct marketing, advertising and branding needs, and knows what it takes to
generate quality customers and, most importantly, how to retain those customers
for years to come. TagQuest brings forth a unique opportunity to utilize our experience and expertise in varying consumer sales and marketing environments. For
more information, call (866) 376-5540 or visit Tagquest.com.
Sponsored Editorial
You should start by evaluating your strengths and weaknesses because
these elements can be controlled and improved internally. First of all, your
strengths go beyond your monthly revenue projections, the number of
leads converted into clients and other bottom-line considerations. How
may loan originators have you added to your staff this year? What is the
average retention rate for your loan officers? Have you created an atmosphere conducive to loyalty and productivity?
Since most mortgage companies offer the same loan products, you
need to use SWOT to determine your differentiation from competitors. If
it’s just something mundane like low rates, you need to do some creative
thinking. Ask yourself why your previous clients selected you.
Many mortgage organizations prosper by providing a unique product mix
or serving a niche group. Some specialize in first-time homebuyers or jumbo
clients, for example. Others work with lower income or lower FICO clients.
By listing your strengths and weaknesses, you will position your company in the overall marketplace, defining how you are different, unique
and better than your competition. You may even create a written positioning statement so you will know exactly how to pitch your prospects.
Opportunities and threats
This second part of a SWOT analysis may prove critical to your ultimate survival. It involves a situational analysis of factors outside your office and
how they impact your organization. For the mortgage industry, a key
opportunity or threat comes from the Consumer Financial Protection
Bureau (CFPB). What are their latest regulations and how nimble is your
company in adapting to them?
Competing mortgage organizations represent the most obvious threat.
You should conduct the same analysis of your own company in the
strength/weakness SWOT component for the opportunity/threat they may
pose. Don’t be afraid to learn from your competitors, especially those with
well-established reputations. Surviving for the long term in today’s mortgage industry means you must be doing something right.
Referral sources represent a key component in the SWOT analysis. Real
estate agents who serve as a source of clients for your competitors may significantly interfere with your marketing process. The use of advertising
and public relations to generate publicity can help either you or your competitor. Many mortgage organizations are taking to the radio, and some
even have their own shows! Try to capture the full dynamics of your local
marketplace in the “OT” component of your SWOT evaluation.
Conclusion
Take some time to create a SWOT diagram and work on it for at least a
week to fully evaluate your marketplace situation. Evaluate product mix
(jumbo, reverse, etc.), competitors, licensing requirements, referral
sources and other elements unique to the mortgage industry such as turntime and the impact of the CFPB. Finally, create a positioning statement as
a guide for future action.
Jean LeBlanc is director of marketing for Guaranteed Home Mortgage
Company. For more marketing tips, download the eBook, 13 Ways to Juice
Up Your Marketing in 2013, by going to joinghmc.com and clicking on the
eBook offer midway down the page. She may be reached by phone at (914)
696-3400.
heard on the street
Your turn
NATIONAL MORTGAGE
PROFESSIONAL
National
Mortgage
Professional
Magazine invites its readers to submit
any information, events, passages, promotions, personal or professional
pany in the position of chief operat- occurrences that seem appropriate
ing officer, where she will be respon- and/or other pertinent data to the
sible for overseeing the daily opera- attention of:
tions and management of the entire
OF EVENTS
company, including system developHeard on the Street/Mortgage
ment, client services, finance, sales
Professionals to Watch column
To view
and marketing.
Phone #: (516) 409-5555
n Wells Fargo Securities, the capital
E-mail:
or submit
markets and investment banking
Stearns Lending Inc. has announced
[email protected]
an entry,
business of Wells Fargo & Company,
the appointment of James Hecht to
see page
has announced that Greg Reiter has Note: Submissions sent via e-mail are
the role of executive vice presidentjoined the firm as managing director preferred. The deadline for submissions is
strategic development.
and head of Residential Mortgage the 1st of the month prior to the target
Capsilon has named David Hanafee
Research.
as the newest member of its execuissue.
tive team as vice president of worldwide sales, where he is responsible
for spearheading the company’s
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Invited
direct and indirect sales efforts.
You’re
WFG Lender Services has named
Jason Schmidt as its senior vice president of closing operations.
GSF Mortgage has announced the
ing
l Coach
a
n
o
addition of Kurt Kempen as a loan
i
s
s
Profe
tgage
officer.
for Mor rs
to
rel-e-vant Solutions has announced
Origina
Increase Your Loan Volume
that Principal Consultant Elizabeth
Green has been elected to the
with the
Mortgage Bankers Association’s
Maximum Acceleration Coaches &
MISMO Residential Governance
Top Mortgage Industry Leaders!
Committee, the committee responsible for administering the day-to-day
standards development activities of
MISMO—the Mortgage Industry
Standards Maintenance Organization.
Blueberry
Systems
LLC
has
Tuesday, January 29, 2013
Tuesday, February 19, 2013
announced the appointments of
12 pm - 1 pm ET
12 pm - 1 pm ET
Kristi Watson as its vice president of
Project Management Office (PMO)
EARL McLAIN
MARK MADSEN
and Rick Schmitz as its vice president
Maximum Acceleration Coach
Mortgage & Real Estate Digital Marketing Specialist
of technology.
Mastering Communication:
Social Media 2.0:
Prudential
Mortgage
Capital
Connecting Through to
Maximum Results, Minimum Time
Company has announced that David
Human Behavior
Durning, has been named successor
to David Twardock, who intends to
retire from his role as president.
ServiceLink has announced that
12 pm - 1 pm ET
12 pm - 1 pm ET
Kevin Coop has joined the company
GREG FROST
ERIK JANECZKO
as executive vice president of enterCEO, Frost Mortgage Lending Group /
CEO / Head Coach, Maximum Acceleration
prise strategy.
National Mortgage Industry Trainer
Richard L. Borges II, MAI, SRA has
Systems for Success:
The Power of Ethical Influence
been elected president of the
The Five Keys to Peak Performance
Appraisal Institute.
Prospect
Mortgage
LLC
has
announced the appointment of
Tuesday, March 5, 2013
Michael Williams, former president
12 pm - 1 pm ET
12 pm - 1 pm ET
and CEO of Fannie Mae, as chairman
of Prospect’s Board of Directors.
STEPHANIE YORK
MICHAEL J. MAHER
Maximum Acceleration Coach / Certified Coach,
REALTOR® / National Best-Selling Author
Solera National Bank, a whollyCoach Training Alliance
owned subsidiary of Solera National
From Relationships to Referrals:
Bancorp Inc., has announced the
What to Do When You’re at Your
The Top Three Keys to
launch of Solera National Bank’s
Limit: Four Secrets to Building Your
Referral Development
Residential Mortgage Division and
Capacity & Volume Faster
has hired Kathleen Stout as executive vice president of the new entity,
and president of the Residential
Mortgage Division.
Brought to you by:
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LenderLive Network Inc. has
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v JANUARY 2013
www.maccelcoach.com/webinars
n
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27
Throwing a
Lifesaver to
Underwater
Borrowers
By Jonathan Foxx
JANUARY 2013 v
28
The Federal Housing
Finance Agency (FHFA)
released its September
2012 Refinance Report
(Report) on Nov. 28,
2012.1 The Report provides some statistical information, most
of which comes as no surprise to mortgage industry participants, while there
are some tidbits of data that seem to
demonstrate the impact of the Home
Affordable Refinance Program, known as
HARP, on the GSEs (viz., Fannie Mae and
Freddie Mac). The end date for HARP
was extended until Dec. 31, 2013 for
loans originally sold to the GSEs on or
before May 31, 2009.
HARP was established in 2009 to
assist homeowners who are unable to
access refinance due to a decline in
their home value. The program was
originally designed to provide these
borrowers with an opportunity to refinance by permitting the transfer of
existing mortgage insurance to their
newly refinanced loan, or by allowing
those without mortgage insurance on
their previous loan to refinance without obtaining new coverage.
The premises for HARP are simply
stated, as follows:
1) Since the GSEs are already responsible for certain high LTV loans; and
2) Default risk is lowered by allowing a
refinance of these high LTV loans;
therefore,
3) HARP loans refinancing high LTV
loans at lower rates reduce default risk.
One of my concerns with HARP, or as
it is referred to now HARP 2.0, is it has
failed homeowners because it just is
not reaching enough qualified borrowers and many lenders take too long to
issue approvals. Another concern is the
differentially higher interest rate that
some lenders charge underwater borrowers versus the current market rate.
A remedy to borrower eligibility
would be to have the government
expand its guidelines to include nonagency lenders and by removing certain
features of the 2009 origination qualifier.
Also, low credit scores remain an obstacle by preventing underwater homeowners from taking full advantage of the cur-
rent HARP guidelines
with respect to their eligibility for refinance
transactions.
HARP has obviously
triggered a wave of refinance activity, just as
expected. In speaking with
some of our clients that are
very much involved in HARP
refinances, it seems that about 50
percent-75 percent of their refinance business may be coming from
homeowners who have LTVs above 125
percent. Because the 125 percent ceiling
on LTV was removed, some lenders are
actually refinancing LTVs of 155 percent.
In the following discussion, I will
offer a brief review of HARP’s most
recent survey, followed by a discussion
about the effect of HARP 2.0 on underwater borrowers.
Overview
n More than 90,000 homeowners refinanced their mortgage in September
2012 through HARP with more than
709,000 loans refinanced since the
beginning of CY2012.
n Since the program’s inception in
2009, the GSEs have financed more
than 1.7 million loans through
HARP.
n In September 2012, half of the loans
refinanced through HARP had LTV of
greater than 105% and one-fourth
had LTVs greater than 125 percent.
n In September 2012, 19 percent of
HARP refinances for underwater borrowers were for shorter-term 15-year
and 20-year mortgages.
n HARP refinances in September 2012
represented 45 percent of total refinances in states hard hit by the housing
downturn - Nevada, Arizona, Florida
and Georgia - compared with 21 percent of total refinances nationwide.
n In September 2012, HARP refinances
for borrowers with LTV ratios greater
than 105 percent accounted for
more than 70 percent of HARP volume in Nevada, Arizona and Florida
and more than 60 percent of the
HARP refinances in California.
Characteristics of
HARP–Recent history
HARP refinance, quarterly volume
HARP volume continued to represent a
material portion of total refinance volume in 2012 as HARP enhancements
took effect in the first half of CY2012.
HARP volume represented 24% of total
refinance volume in the third quarter of
2012.
Monthly HARP volume by LTV
The number of completed HARP refinances reported for deeply underwater
borrowers continued to represent a significant portion of total HARP volume.
In September 2012, 26 percent of the
loans refinanced through HARP were at
a LTV greater than 125 percent.
Percentage of HARP refinances by LTV
Borrowers in September 2012, with
LTVs greater than 105 percent, continued to account for half the volume of
HARP loans.
Mortgage terms, LTVs greater than 105
percent
In September 2012, 19 percent of HARP
refinances for underwater borrowers
were for shorter-term 15-year and 20year mortgages.
Total HARP as percentage of total refinances
HARP continued to account for a substantial portion of total refinance volume in certain states. In September
2012, HARP refinances represented 45
percent or more of total refinances in
Nevada, Arizona, Florida and Georgia,
compared to 21 percent of total refinances nationwide.
HARP LTV >105 percent percentage of
total HARP
Underwater borrowers accounted for a
large portion of HARP refinances in a
number of states. In Nevada, Arizona and
Florida, underwater borrowers represented over 70 percent of HARP volume,
and in California they represented more
than 60 percent of HARP refinances.
Timeline for interest rate changes
I would like to set forth a timeline outlining certain highlights in interest rate
changes since 2008. This information is
worth noting, when considering the
rates and fees charged to underwater
borrowers by lenders and servicers. It
helps to further contextualize the rate
changes and the availability of a market
rate for HARP refinance transactions.
2008
n 6.48 percent: Highest rate reached in
2008 for a 30-year mortgage.
n 6.04 percent: GSEs placed into conservatorship on 09/06/08.
n 5.29 percent: Fed announces MBS
purchase program on 11/25/08.
29
v JANUARY 2013
No Changes to 2013
Conventional Loan Limits
By Melanie A. Feliciano Esq.
The Federal Housing Finance Agency (FHFA) has announced that
the 2013 base and “high-cost” or “jumbo” conforming loan limits for first-lien and second-lien loans will remain unchanged
from the maximum conforming loan limits for 2012.
Note that loan limits apply to the original loan amount of the mortgage
loan, not to its balance at the time of purchase by Fannie Mae, and the loan
origination date is the date of the note. For more detailed information about
conventional conforming loan limits for 2013, please refer to Fannie Mae’s
Lender Letter LL-2012-11 (https://www.fanniemae.com/content/announcement/ll1211.pdf)
and
Fannie
Mae’s
Web
site
here
(https://www.fanniemae.com/singlefamily/loan-limits).
Effect on certain high-cost tests
Any time there is a change in the conforming loan limits, the following state
high-cost tests can be impacted: California, the District of Columbia, Georgia,
Indiana, Maine, New Mexico, New York, North Carolina, Tennessee, Texas and
South Carolina. Specifically, the rules governing the applicability of these
states’ high-cost tests are determined in part by reference to the then-current
conforming loan limits. Note that for both North Carolina and Tennessee, the
Fannie Mae conforming loan limits will have no impact on their respective
high costs tests.
As with the year 2012, the applicable loan limits in 2013 for one-unit properties in the states and counties listed below will remain as follows:
California:
JANUARY 2013 v
30
$417,000 (all counties except as follows)
$463,450: Alpine
$474,950: El Dorado, Placer, Sacramento, Yolo
$477,250: Nevada
$483,000: Monterey
$520,950: Sonoma
$529,000: Mono
$546,250: San Diego
$561,200: San Luis Obispo
$592,250: Napa
$598,000: Ventura
$625,500: Alameda, Contra Costa, Los Angeles, Marin, Orange, San
Benito, San Francisco, San Mateo, Santa Barbara, Santa Clara, Santa
Cruz
Dist. of Columbia1:
$625,500
Georgia:
$417,000 (all counties except Greene County—conforming jumbo loan
limit is $515,200)
Indiana:
Maine:
$417,000 (all counties)
New Mexico:
New York:
$417,000 (all counties except as follows)
$625,500: Bronx, Kings, Nassau, New York, Putnam, Queens,
Richmond, Rockland, Suffolk, Westchester
South Carolina:
Texas2:
Melanie A. Feliciano Esq. is DocMagic Inc.’s chief legal officer. She may be
reached by phone at (800) 649-1362 or e-mail [email protected].
Footnotes
1—The District of Columbia Home Loan Protection Act of 2002 (the DCHLPA) applies to a loan if, among other things, the principal amount of the loan does not exceed the Fannie Mae conforming limit for a comparably sized dwelling.
2—The Texas high-cost home law applies to a loan if, among other things, the principal amount of the loan does not exceed onehalf of the Fannie Mae conforming loan limit for a single family, two, three- or four-unit dwelling.
Sponsored Editorial
throwing a lifesaver
2009
n 5.00 percent: Obama Administration
announces Making Home Affordable
announcement (02/20/09).
n 5.42 percent: Treasury rates sharply
rose and reached a 2009 high on a
better than expected June unemployment report.
n 4.93 percent: Treasury rates fell
sharply after Dubai sought to delay
sovereign debt payments.
2010
n 4.97 percent: Treasury Rates rose on
optimism of a recovering U.S. economy and a temporary lull in news of a
developing debt crisis in Europe.
n 4.17 percent: 30-year mortgage rates
reached percentage in early
November, marking the lowest level
observed since Freddie Mac began
tracking rates in 1971.
2011
n 4.51 percent: Treasury rates fell
amid ongoing concerns of a growing
debt crisis in Europe.
2012
n 3.95 percent: Refinance volume
surged in March and dipped in April,
as GSE seller/servicers completed
refinancings ahead of a 10 basis
point guarantee fee increase that
took effect April 1, 2012, mandated
by the Temporary Payroll Tax Cut
Continuation Act of 2011.
n 3.47 percent: 30-year mortgage rates
reached new historic lows in
September 2012. Refinance volume
rose in September as 30-year mortgage rates reached new record lows.
The borrower:
Trapped or liberated?
There has been some controversy
involving HARP 2.0. One concern
involves the servicers’ right to set the
fees on refinances, such fees being a
highly profitable revenue source for servicers. The total revenue has been estimated to be in excess of $12 billion for
CY2012. The borrowers who refinance
through HARP may save as much as $5
billion in the same timeframe.
Since HARP enables borrowers to
refinance with existing lenders, there is
an opportunity for consumer financial
abuse when a lender charges such “captive customers” an above-market interest rate. And, surveys are showing that
borrowers who use their existing
lenders constitute nearly 75 percent of
HARP refinance transactions.
The result, from the consumer’s perspective, is that existing lenders and the
servicers are in a position to charge considerably higher fees. This takes on an
even more potentially pernicious aspect
when certain lenders, through their
servicing platforms, only permit underwater borrowers to refinance above a
specific loan-to-value ratio. There have
been some studies of the increased premium. I have heard a range of 0.25 percent to 0.75 percent premium that is
being charged to underwater borrowers.
The Obama Administration had wanted the FHFA to use HARP as a means to
stem the avalanche of underwater borrowers. These are Fannie and Freddie
loans. Yet the FHFA has yet to adequately police the higher rates charged on
HARP transactions; indeed, it would
seem that the FHFA does not even
acknowledge this condition exists.
The underwater borrower is still getting a reduced rate through HARP. But it
may not be the market rate, and that is
the crux of the issue. That difference
between the market rate and the rate
given to the underwater borrower is all
new revenue to lenders. Claiming an
increased risk requires an increased rate
is not a defensible view, where HARP
actually provides lenders with a waiver of
liability—which, surely, may be seen as a
government subsidy – with respect to
representation and warranty claims.
Jonathan Foxx, former chief compliance
officer for two of the country’s top publicly-traded residential mortgage loan
originators, is the president and managing director of Lenders Compliance
Group, a mortgage risk management
firm devoted to providing regulatory
compliance advice and counsel to the
mortgage industry. He may be contacted
at (516) 442-3456 or by e-mail at
[email protected].
Footnote
1-Refinance Report September 2012, Federal
Housing Finance Agency, 11/28/12. This document may be downloaded from my firm’s Library
at www.LendersComplianceGroup.com or
from the Federal Housing Finance
Agency’s Web site.
nmp news flash
n
n
n
n
n
n
$450 million per company in the
third quarter, up from $371 million
per company in the second quarter.
The average volume by count per
company rose to 2,010 loans in the
third quarter, from 1,700 in the second quarter.
The refinancing share of total originations, by dollar volume, was 57
percent in the third quarter, up from
52 percent in the second quarter.
For the mortgage industry as whole,
MBA estimates the refinancing share
at 73 percent in the third quarter of
2012, up from 67 percent in the second quarter.
Measured in basis points, secondary
marketing income increased to 271
basis points in the third quarter,
compared to 257 basis points in the
second quarter.
Total loan production expenses—
commissions, compensation, occupancy and equipment, and other
production expenses and corporate
allocations—increased slightly to
$5,163 per loan in the third quarter,
from $5,128 in the second quarter.
Personnel expenses averaged $3,320
per loan in the third quarter, from
$3,246 per loan in the second quarter.
The ‘net cost to originate’ was $3,353
in the third quarter, from $3,224 per
loan in the second quarter. The ‘net
cost to originate’ includes all production operating expenses and
commissions minus all fee income,
but excludes secondary marketing
gains, capitalized servicing, servicing
released premiums and warehouse
interest spread.
Productivity improved to 3.9 loans
originated per production employee
per month in the third quarter, from
3.6 in the second quarter.
Ninety-seven percent of the firms in
the study posted pre-tax net financial profits in the third quarter of
2012, compared to 95 percent in the
second quarter.
31
v JANUARY 2013
Nearly 20 percent of
recent movers identified “convenience to
job” as the most
important factor in
their choice of neighborhood in 2011,
according to the 2011 American
Housing Survey (AHS), the definitive
source of information on the quality of
housing in the United States. For the
first time ever, the U.S. Census Bureau
and the U.S. Department of Housing
and Urban Development have made
survey results available on the Census
Bureau’s American FactFinder data
access tool.
A wide range of specific topics is covered in the survey, including plumbing
and source of water and sewage dispos-
The U.S. Department
of Housing & Urban
Development (HUD)
has announced an
agreement with Bank of America
(BOA) to settle a claim that the mortgage lender refused to provide financing to a lesbian couple. The agreement is the first enforcement action
taken against a lender involving HUD’s
recent rule ensuring that the
Department’s core housing programs
be open to all eligible persons, regard-
HUD and Census Bureau
Expand Access to Include
Housing Info
al; housing problems; householder’s
satisfaction with home and neighborhood; value, purchase price and type
of mortgage; recent home improvement activity and costs; safety features and potential health hazards;
features in home providing accessibility to people with disabilities; and
socio-economic characteristics of the
householder. Statistics are nationallevel only and are provided for apartments, single-family homes, manufactured housing, new construction
and vacant housing units.
Bank of America and
HUD Reach Agreement
on LGBT Discrimination
Claim
n
Topics new to the housing survey
include safety features, potential
health hazards and features providing accessibility to people with disabilities. Among the accessibility features in occupied homes were floors
with no steps between rooms (64 percent of homes have this feature),
entry level bathrooms (48 percent),
entry level bedrooms (36 percent) and
handles or levers on sinks (28 percent). The least common accessibility
features were elevators (found in 0.2
percent of homes), ramps (one percent), handrails or grab bars (excluding steps) in non-bathroom areas (two
percent), raised toilets (seven percent) and built-in shower seats (eight
percent).
nmp news flash
Bonded With NAMB
All Bonds
Are Not Created Equal
By Mason Grashot, CPA
There are many factors that determine how risky a
bond is perceived to be. Some factors are directly related to the licensee’s individual ability to meet its professional obligations, while some are related to the overall
economic climate for an industry. But other factors,
some of which are discussed below, can produce a very
state-specific impact on the perceived risk for bonds.
n The language of the state’s bond form: The coverages provided to states
through bond forms can vary tremendously—in much the same way
that no two insurance companies’ policies are the exact same. A state’s
mortgage license bond can be quite different from that same state’s
motor vehicle dealer license bond. One state’s mortgage license bond
can be quite different from another state’s mortgage license bond. As a
contract, the bond form’s language stipulates what it actually does.
Those contract terms are spelled out in detail in the bond form. Bond
language often references legislation that carries the coverage terms as
well as regulations (directives or bulletins promulgated by a regulator to
clarify or enforce the legislation). Some surety coverage is very specific
in protecting the state only from fines and fees levied by the regulator
that are not otherwise able to be recovered directly from the licensee
(and bond principal). Other coverage can be much broader to include
unpaid state taxes or damages suffered by the licensee’s customers.
JANUARY 2013 v
32
n The bond’s claims period: Bonds cover actions that occur during the
bond term. Accordingly, the surety carrier is not absolved of its responsibility for the bond immediately upon the bond’s termination. The regulator (obligee) can still file a claim under the bond during the allowable window of time following the occurrence of an event or termination of the bond. That allowable claims period can be stated specifically in the bond form, in the legislation or regulations to which the bond
form refers, or not stated at all. In that situation, that individual state’s
statute of limitations precedents would apply. Accordingly, that claims
period can be as short as one year or as long as seven.
n The aggression of the state regulator: In spite of what language is in the
bond form, referring legislation, or applicable regulations, it is still up to
the regulator to file claims under the bond. Some states have regulators
who are fairly passive or accommodating in their oversight of the
licensees. They may give multiple warnings or use the bond as a true last
line of defense. Some states’ regulators are simply too busy with other
issues as government resources get stretched thin and priorities are
determined. But other states may utilize their regulatory authority as a
revenue source by aggressively fining and feeing its licensees for violations. They may also be quick to pull the trigger on filing a claim under
the bond rather than exhausting all of their efforts otherwise.
Mason Grashot, CPA is president of The Bond Exchange, a national insurance agency focused on surety bonds with a unique specialty practice centered on the mortgage profession. As the endorsed strategic partner of
NAMB—The Association of Mortgage Professionals, The Bond Exchange
services thousands of surety bonds through programs designed specifically
for the mortgage industry. For more information, call (501) 224-8895 or
visit www.thebondexchange.com.
less of sexual orientation, gender
identity, or marital status.
HUD’s rule, Equal Access to Housing in
HUD Programs Regardless of Sexual
Orientation or Gender Identity prohibits
lenders from basing eligibility determinations for mortgage loans insured by the
Federal Housing Administration (FHA) on
actual or perceived sexual orientation,
gender identity or marital status. HUD’s
Equal Access rule applies to all housing
programs
administered
by
the
Department. “This agreement demonstrates that HUD will vigorously enforce its
Equal Access rule and pursue lenders that
discriminate on the basis of sexual orientation, gender identity or marital status,”
said Helen Kanovsky, HUD’s General
Counsel. “By the same token, BOA should
be commended for stepping up and taking immediate corrective action after HUD
notified BOA of the violation.”
HUD claimed that BOA denied a loan to
a Florida couple seeking to obtain an FHAinsured mortgage because of their sexual
orientation and marital status. Because
one partner was not employed, the applicant enlisted her partner’s mother as a coapplicant on the loan. The couple worked
with BOA for several weeks to provide all
of the necessary loan application documents and the couple was assured by BOA
that they were likely to receive a mortgage. One business day prior to closing,
BOA denied the mortgage because it did
not consider the loan applicant and the
co-applicant directly related because the
applicant and her partner were not married. As a result of BOA’s actions, the couple was not able to close on the loan.
“The HUD Equal Access Rule means just
what it says: one’s sexual orientation, gender identity or marital status is not a legitimate basis on which to deny a mortgage,”
said John Trasviña, HUD’s Assistant
Secretary for Fair Housing and Equal
Opportunity. “Members of the housing
industry should take note of this settlement agreement. HUD will enforce its regulations to make sure its programs are
truly open to all qualified families.”
Under the terms of the agreement, BOA
agrees will pay HUD $7,500 and to notify
its residential mortgage loan originators,
processors and underwriters of its
Settlement Agreement with HUD. In addition, Bank of America will remind its
employees that they are prohibited from
discriminating against FHA-loan applicants on the basis of sexual orientation,
gender identity or marital status. BOA will
also update its fair lending training program to include information on HUD’s
rule.
GSEs Complete 134,000
Foreclosure Prevention
Actions in Q3
Sponsored Editorial
Fannie
Mae
and
Freddie Mac completed more than 134,000
foreclosure prevention actions in the
third quarter of 2012, bringing the total
foreclosure prevention actions to more
than 2.5 million since the start of conservatorship in 2008 with nearly 1.3
million of those actions being permanent loan modifications. These actions,
which have helped more than 2.1 million borrowers stay in their homes, are
detailed in the Federal Housing Finance
Agency’s third quarter 2012 Foreclosure
Prevention Report, also known as the
Federal Property Manager’s Report.
The quarterly 2012 Foreclosure
Prevention Report has information on
state delinquencies and an updated,
interactive Borrower Assistance Map for
Fannie Mae and Freddie Mac mortgages, with information on delinquencies, foreclosure prevention activities
and real estate-owned (REO) properties.
Also noted in the report:
n Year-to-date, Fannie Mae and
Freddie Mac have completed nearly
411,000 foreclosure prevention
actions.
n Nearly 38,000 short sales and deedsin-lieu were completed in the third
quarter, up four percent compared
with the second quarter.
n Forty-five percent of troubled borrowers who received loan modifications in the third quarter had their
monthly payments reduced by more
than 30 percent.
n More than one-third of loan modifications completed in the third quarter included principal forbearance.
n The number of the GSEs’ delinquent
borrowers has declined nine percent
since the beginning of 2012.
Foreclosure Rate in 100
Largest U.S. Metro Areas
Nears All-Time
Benchmark
The ForeclosureResponse.org
team—the Local
Initiatives Support
Corporation (LISC),
Urban Institute and the Center for
Housing Policy—has released the
newest data on and analysis of seriously delinquent mortgages for all 366 U.S.
metro areas from September 2012,
finding that the foreclosure rate for the
100 largest U.S. metro areas stands at
six percent, barely budging from the
last two quarters’ all-time high of 6.1
percent. The foreclosure rate has been
steadily growing since we began tracking it in March 2009. However, the rate
of mortgages delinquent by 90 or more
days—mortgages on a clear path
toward foreclosure—fell to 3.5 percent,
down from a high of 5.5 percent in
December 2009.
Fewer distressed mortgages means
we can expect fewer foreclosure starts
in future. Still, until the number of foreclosure exits catches up to the number
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Charles Wagner, Senior Vice President of the Lending Division
CBC National Bank
BY DAVID J. COSTER
n this month’s issue of National
Mortgage Professional Magazine,
we had a chance to speak with
Charles Wagner, senior vice president
of the lending division of CBC
National Bank, a rising wholesale
and retail lender based in suburban
Atlanta, Ga. Trained as an underwriter, Charles brings a unique perspective to his leadership position.
Recently, we spoke about his career
and his thoughts on the industry
today.
I
JANUARY 2013 v
34
Tell me how you came to have a
career in the mortgage industry?
I graduated from the University of
Georgia in 1992, and my first job out
of college was with Merrill Lynch. It
was in mutual fund accounting in
Jacksonville, Fla. Actually, it was
pretty boring to me–reconciling
trades and shares of mutual funds.
After about a year, I was really kind
of disenchanted.
Merrill Lynch Credit Corporation
was right next door to that operation.
I saw a posting for an underwriter,
who they were willing to train.
Frankly, probably the best thing that
ever happened to me was getting into
that field. The first thing they do with
underwriters is put them through
probably a four- or five-week training
course. That first four or five weeks of
underwriter training has stuck with
me my whole career. It was the prudence by which we evaluated our
business and the thought process
behind it–when to make a business
decision, when not to make a business decision.
How did your career develop?
It was when I got to HomeBanc that I
really figured out that I wanted to be
in this industry for the long-term.
HomeBanc took care of its customers
and employees rather well. I felt the
camaraderie of the large group of
people in that organization. I was
probably at HomeBanc for four-plus
years.
There was a gentleman out there
that I had become very good friends
with; and his wife was my first train-
and then to be $100 million-plus a
month, as more and more of our
competitors got out of the business.
“… you have to
surround yourself
with good people
that have the same
character that
you have.”
—Charles Wagner
er at Merrill Lynch–a guy named
Steve Rollins. We had talked for four,
five, six, seven years about going out
on our own, doing some partnership.
When it was right for me, it wasn’t
right for him. When it was right for
him, it wasn’t right for me. Well in
2003, we both picked up the phone
and called each other about the same
time and said, “Are you ready to go
do something?” So we parted with our
company and did a joint venture
partnership with a company out of
New Jersey called American Mortgage
Express Corporation, and from 20032007, we basically had our own business in Atlanta, a wholesale business
focused on the southeast.
How did you come to CBC National
Bank?
After the mortgage meltdown is when
I realized I wanted to be a leader in
this industry as well. We got in touch
with the CEO here at CBC National
Bank. Back then, it was known as
First National Bank of Nassau County.
This bank used to be in the mortgage
banking business, but they got out of
the business in 2004. The bank realized it needed non-interest income.
The CEO sat down with us in 2007 in
the credit meltdown and said, “I want
to get back in the mortgage banking
business.” I said, “You know, we’re in
the middle of a credit crisis.” He said,
“I know, but over my whole career, I
was taught that when something’s on
fire and everybody’s running away
from the fire, if you walk into the fire
carefully, you’ll have an opportunity
to do good business and make good
money. I like you, and I like Steve.”
So in late 2007, we started a small
wholesale business with a business
plan of maxing out at $25 million a
month. Well, the success rate of that
business and the service that we gave,
really grew quickly to be a $40 to $50
million a month wholesale business,
What are the key strengths that CBC
National Bank has that allowed it to
thrive during and after the credit crisis?
One is diversification. Too much of a
good thing isn’t a good thing. I also
learned that you have to surround
yourself with good people that have
the same character that you have.
Don’t budge on character issues. If
it’s in the gray area, it’s black and
white for me. So going to the gray is
not an option in our business.
We’re probably a little bit more
conservative than average mortgage
bankers. I want to have a little bit
lower highs. So we want to focus on
purchase business. We want to focus
on things that are going to be here in
the long-term. Therefore, we’ll have
higher lows as this cycle moves in and
out.
How has technology played a role in
expanding your business?
Let’s look at it a couple different
ways. The first is … how has it
allowed us to grow our business outside of the state of Georgia? The fact
is that we have the ability to market
and use technology, make people
feel like they’re part of the business,
even when they’re not in the state of
Georgia. It’s really allowed us to do
business all across the nation.
Next, you go to an operational
impact. In 2010, we implemented a
new system–the Avista Technology
System, which we co-branded CBC
Connex. It’s a Web-based system that
allows us operationally to do business from anywhere and allows our
branches to be connected without
having to a have a database or server
in their office (www.cbconnex.com).
What keeps you up at night when you
think about the mortgage industry?
I am really worried about the consumer long-term. I hate to get into
philosophical conversations. But it’s
really the financial morality of
America, which is our consumers are
“We don’t really think that doing
business for the sake of doing business
is optimal. So here at CBC, we’ve built
a business plan that’s sustainable
for the long run.”
USA Cares
Mortgage Heroes
Norman Zolkos
of Menlo Park Funding
By Jennifer Robinson
willing to give up easier and easier
and not live up to the obligations to
which they commit. It really makes
me worry about long-term viability of
banking and mortgage banking in
our country.
The second is obviously the regulatory burden. It’s definitely adding to
the cost of doing business. It is
adding to the cost the consumer
pays. I worry about where’s that line
… where’s the balance? Has the pendulum finally swung too much? I
think the audits and exams are great.
My key staff learns from every one of
them. But the fact is that each one of
those represents one to two weeks of
taking your eye off the ball.
ing while I’ve been running the mortgage bank for CBC.
What else would you like our readers
to know?
We want to take care of the customer;
we want to manage risk. We want to
be very profitable. We don’t really
think that doing business for the sake
of doing business is optimal. So here
at CBC, we’ve built a business plan
that’s sustainable for the long run.
We’re five-plus years into this business. I think back to when we capped
it out at $25 million, and now we’re
somewhere between $150 and $180
million.
v JANUARY 2013
David J. Coster is senior editor of
National Mortgage Professional
Magazine. He may be reached by
phone at (919) 559-2171 or e-mail
[email protected].
Who have some of your mentors
been?
There are two people who have been
my mentors over time. One is my
dad. As I grew up, he instilled a hard
work ethic and character. He was a
banker, he instilled financial disciplines. And today, it’s the CEO of our
bank, Mike Sanchez. He’s that banker
who empowers you to make good
business decisions and supports you
after you make them. He has really
done a lot of investment in teaching
me about the bank–how to make
sure our mortgage bank fits inside
the bank and how to grow our business. Frankly, I’ve learned more in
the past five years than I have the
previous 10 years of my career. At the
end of the day, I got a PhD in bank-
Be a Mortgage Hero! This recognition is free to Certified Military Housing
Specialists. Take the FREE Certified Military Housing Specialist course offered
online by USA Cares and tell us how you are “Helping those who defend our
homes, preserve their own.” Jennifer Yopp Robinson is the vice president of
programs and services at USA Cares, where she has worked since 2007. She
may be reached by phone at (800) 773-0387, ext. 115 or e-mail [email protected].
35
What are your thoughts on where the
mortgage market is headed?
We are absolutely going to move to a
purchase market. Over the last year
or two, we’ve seen small strides
toward that. More importantly, the
question we have to answer is,
“Where is the new talent coming in
our industry?” We’ve gotten such a
black eye over the last few years. Will
there be new talent in our industry to
handle this business?
Over the next five to 10 years, I
think it’s going to be a purchaseminded business that’s going to need
to be done more in local or regional
Tell us about your relationship with businesses I think you’ve got to be
able to manage your business better
the bank?
This bank was a construction and both from a risk management and
development lender pre-2007. For all from an execution standpoint. I think
intents and purposes, this bank prob- the big banks are going to turn off
ably should have failed at one point the consumer. The smaller more
based on the non-performing assets regional banks or mortgage banks
it built up. But over the last five are going to actually step in and fill
years, our earnings and taking a that void. I think the customer is
small amount of TARP has saved this going to be willing to pay a slightly
bank. So that accomplishment of higher rate to get a much better level
actually not just being just a mort- of service than they do today with
gage banker, but buying into the the big banks. I continue to hear horbank as a partner and realizing it’s ror stories about how customers are
who we are, has really made a differ- treated. We think that that’s a big
ence. We like to say there’s going to deal. If you move to a purchase
be a book written about CBC as one transaction that has a deadline, I just
of the few banks that really should don’t know how the big players are
have failed, but made it. I think we’re going to be able to adjust to that and
make that happen.
still writing the story.
Menlo Park, N.J. is a good source of inspiration.
It’s the home of inventor Thomas Edison’s Laboratory and
is where he invented the light bulb. With hard work, innovation and dedication, Edison made lives easier.
Menlo Park Funding uses the same philosophy, to make homeowner’s
lives “easier” financially and that includes homeowners who happen to be
a part of the U.S. Armed Forces.
It’s also the belief followed by this month’s mortgage hero Norman
Zolkos of Menlo Park Funding. He recently completed the USA Cares’
“Certified Military Housing Specialist Course” and is using his new training
to make the lives of our veterans a little easier.
Norman has literally given hundreds of hours of his time to helping military borrowers get lower-rate VA mortgages and eliminate PMI, this saving
a borrower hundreds of dollars.
This year, Norman assisted more than 40 veterans, helping each of them
to save an average of $240 a month. That savings is
meaningful to veterans and their families.
“Originating a VA mortgage may mean more
paperwork, more training and spending more time
than loan originators are accustomed to,” said
Norman. “However, knowing we are giving a service
to our nation’s military is a personal reward. I
encourage all originators to become a “Military
Housing Specialist” through USA Cares so they can
give back something to the military that defend our
freedom on a daily basis.”
Norman Zolkos
One veteran who inspired Norman was a recentlywounded warrior of the war in Iraq. Norman helped to close his mortgage
in nine days by galvanizing the Department of Veterans Affairs and his
team at Menlo Park Funding.
“He had sustained multiple injuries while serving in Afghanistan, and
had endured several surgeries,” said Norman. “I was amazed and inspired
by his great spirits, even though he suffered a horrific injury and will have
pain for the rest of his life.”
If you want to connect with Norman about how you can make the lives
of our worthy veterans a little easier, please e-mail him at
[email protected].
USA Cares salutes Norman Zolkos for giving our military, “A Hand Up!”
Open Mortgage Celebrates
10 Years With Special
Programs for First-Time
Homebuyers
Secure Settlements
Announces Free Consumer
and Realtor Access to Its
Closing Agent Database
JANUARY 2013 v
36
Secure Settlements Inc. has announced that
it has will launch a Consumer and Realtor
database access program beginning in
January 2013. The program, called “Know
Before You Close” will allow consumers free
access to search the SSI nationwide closing
agent database (NCAD) to make better decisions about who attends the closing on
their behalf. It will also allow real estate
agents to check out an agent’s risk rating
before a referral is made, thereby helping
to protect them from the reputational fallout accompanying fraud or other harm to a
homeowner at the closing table.
Secure Settlements offers first to market
solutions for closing table risk, establishes
opportunities for closing professionals to
gain new business, and offers banks and
consumers a searchable database of
shared information to help them make
better choices about the people who handle their mortgage funds and important
loan documents.
For closing agents (attorneys, escrow
and title agents, notaries and independent
closers), a 10 minute application and 30
minute vetting process gets them listed in
the SSI searchable database used by hundreds of banks and mortgage lenders and
(beginning January 2013) tens of thousands of consumers to research the risk status of their transaction partners. By adding
their name and information to the more
than 45,000 strong database agents can
establish their commitment to quality
control, independent risk management
and transactional transparency. Vetted
agents also are eligible for discounted
E&O/PLI insurance and reduced cost continuing education programs through SSI
strategic relationships. For banks, SSI provides an outsourced solution to the
requirement to manage third party service provider risk. SSI has the technology,
the expertise, the staff and the documentation to assist you in implementing an
independent, low cost, common sense
approach to operational risk management. Its proprietary process has been in
development for 10 years in collaboration with key industry managers and former state and federal regulators.
“I have been a consistent advocate for
greater protections for consumers from
closing table fraud for more than 10
years,” said SSI President and CEO
Andrew Liput.” With the recent adoption
of greater regulatory requirements and
federal laws pressuring participants in
the mortgage process to manage closing
table risk with greater diligence and
independence, it is not enough to simply
make data available to insiders.
Homebuyers and realtors need access as
well. This will help them make better
choices in the process and in doing so
help to deter and reduce mortgage
fraud, which the government expects to
top $13 billion in 2012.”
Veros Adds Realtors
Valuation Model to its
Suite of AVM Products
Veros
Real
Estate Solutions
h
a
s
announced that it has added the Realtors
Valuation Model (RVM) to its platform of
solutions for the mortgage and investor
market. RVM is the product of Realtors
Property Resource LLC (RPR), a whollyowned subsidiary of the National
Association of Realtors (NAR), and Lender
Processing Services Inc. (LPS).
“The AVM marketplace continues to
introduce high-performance models,”
said David Rasmussen, Veros’ senior vice
president of operations. “These models
are particularly important as the most
recent update to the Interagency
Appraisal & Evaluation Guidelines highlighted the need for thorough testing of
all valuation methods of all varieties.
Utilizing multiple AVMs according to performance is an efficient and effective
approach to valuation. RVM is another
high-performing model to add to our
impressive list of available AVMs.”
Veros will market RVM to its extensive
client base as a standalone product as
well as through its valuation management platforms: VeroSELECT and
Sapphire.
“The Realtors Valuation Model was
created to assist the housing market—
from Realtors to investors—with
improved analytics that enhance how
properties are priced and evaluated,”
said Tricia McClung, RPR VP of business development. “RVM leverages a
broad array of property information,
including Realtor market data, for a
comprehensive, current, and reliable
valuation result. We are thrilled to be
working with Veros to deliver RVM to
the industry.”
Open Mortgage
LLC celebrates its
10-year anniversary in January by
offering a FirstTime Homebuyers Nationwide Special. All
first-time homebuyers that submit their
mortgage application with Open Mortgage
between Jan. 2, 2013-March 31, 2013 will
receive a free appraisal. In addition to the
First-Time Homebuyer’s Special, Open
Mortgage is offering a First-Time
Homebuyer’s Video Contest. First-time
homebuyers who obtained their loan with
Open Mortgage can submit a video tape of
their experience obtaining their loan as
well as presenting the keys to their new
home. These videos from across the country will be submitted to the Open Mortgage
Corporate Contest Panel who will choose
the winning video. The winner of the contest will receive $1,000 for new home furnishings. Winners are to be announced on
April 30, 2012.
During 2012, the company added 44
new branches throughout the country and
increased its corporate staff by 15 percent,
while establishing successful partnerships
with industry leaders that further benefit
our customers.
“Ten years in operation during the most
difficult time in the mortgage and housing
industry is an incredible achievement of
which we are proud,” said Scott Gordon,
CEO of Open Mortgage LLC, adding “As we
celebrate and move our business forward,
we are excited about what is to come over
the next 10 years.”
Radian’s MI Now Available
Through Mortgagebot’s LOS
to Provide MI on
HarmonyLoan Feature
Radian Guaranty Inc., the mortgage insurance (MI) subsidiary of Radian Group Inc.,
has announced a completed integration
with Mortgagebot to include Radian MI in
its loan origination system (LOS)—
Mortgagebot EnterpriseLOS. Mortgagebot
provides mortgage lending technology to
nearly 1,300 banks and credit unions
nationwide. This partnership will streamline the loan origination and ordering
process for both Radian and Mortgagebot’s
LOS customers, allowing them to order MI
directly via one simple process through the
Mortgagebot platform.
“This is exciting news because it’s one
more way Radian is working to accomplish
one of our top priorities—making it easier
than ever to do business with us,” said
Brien McMahon, Radian’s chief franchise
officer. “Partnering with a well regarded
leader like Mortgagebot will simplify how
MI is ordered for many of our customers,
and we’re proud to deliver that.”
“Our integration with Radian is a winwin for both Mortgagebot and Radian customers alike,” said Matt Cotter,
Mortgagebot’s senior vice president of sales
and marketing. “Mortgagebot is all about
delivering lending technology that is flexible, scalable and innovative, and Radian is
known as an innovator in the MI space.”
Radian also announced that it will provide MI on loans within the HamonyLoan
platform. HarmonyLoan is a mortgage feature designed by Mortgage Harmony
Corporation, a financial services technology
company and provider of innovative residential mortgage products. HarmonyLoan
can be applied to fixed-rate or adjustable
rate mortgages (ARM), conventional or
jumbo loans, and on new and existing
mortgages. It allows a borrower to adjust
the interest rate on their loan without the
need for a traditional rate-term refinance.
When there is at least a 25-basis point
reduction in their mortgage market rate,
the homebuyer can reset their mortgage
rate with just one click on a personalized,
secure, Web-based site without the expense
and hassle of a traditional refinance.
“We are pleased to offer prospective
homebuyers the opportunity to purchase
their home with a mortgage feature that
gives them greater flexibility,” said Brien
McMahon, Radian’s chief franchise officer.
“HarmonyLoan allows a homeowner to
lower their interest rate and monthly mortgage payment without the closing costs and
administrative burden of a traditional refinance. It ultimately improves their financial
position, which is a win-win for everyone.”
Specialized Business
Software Upgrades
Docunym for Servicers
Specialized Business Software has upgraded its Web-based Docunym enterprise document management solution with additional
workflow management capabilities for mortgage servicing companies. The new enhancements enable users to log into a digital dashboard and simultaneously view multiple
documents such as insurance and appraisals
in electronic job folders. The technology
automatically links related documents
together and eliminates the traditional
requirement of users having to manually
search for documents. A new custom reporting feature allows users to create detailed
reports on pending projects and save report
criteria for future use. This 2.0 release of
Docunym also includes many other
enhancements to scalability and usability.
“Our Docunym solution provides mortgage lenders with a tool to go paperless
and more effectively manage the way documents and information are used by their
employees,” said Steve Wiser, president
and founder of Specialized Business
Software. “This increases the speed and
efficiency in which tasks are completed.”
Your turn
invites you to submit any information promoting new “niche” loan programs, new
products or any other announcement
related to the introduction of a new program, to the attention of:
New to Market column
Phone #: (516) 409-5555
E-mail: [email protected]
Note: Submissions sent via e-mail are preferred. The deadline for submissions is the
nmp news flash
of starts, the foreclosure rate will continue its upward trend.
Here are some of the key findings
from the data:
n The foreclosure inventory is growing:
The data indicate that foreclosure starts
have outpaced completions since
March 2009, when ForeclosureResponse.org began tracking foreclosures. Unemployment and delinquency
are a circular problem. Unemployment
impacts housing markets when borrowers struggle to make mortgage payments. Distressed housing markets
make it more difficult for homeowners
to sell their homes to access job opportunities in other areas.
n Coastal metros are suffering more
than the heartland: Metro areas in
coastal states like California and
Florida tend to have higher rates of
unemployment and serious delinquency than areas in the Central U.S.
like Texas and the central plains
states.
Foreclosure-Response.org’s quarterly
report of seriously delinquent mortgage rates—defined as the percentage
of home loans currently in the foreclosure process plus the percentage of
loans more than 90 days delinquent—
provides a strong indicator of the number of foreclosures likely to enter the
market in the coming months. Data are
available at the metro area level and
compared to earlier data for change
over time. The analysis reports on
metro areas hardest hit by the foreclosure crisis and trends found in the new
data.
37
v JANUARY 2013
Upticks in recent
months among a
number of housing
indicators point to
a slow and steady
growth in the nation’s housing market
in 2013, but several challenges remain,
according to the latest economic and
housing forecast by David Crowe, chief
economist for the National Association
of Home Builders (NAHB).
“Consistent, positive reports on
housing starts, permits, prices, newhome sales and builder confidence in
recent months provide further confirmation that a gradual but steady housing recovery is underway across much
of the nation,” said Crowe. “However,
stubbornly tight lending standards for
home buyers and builders, inaccurate
appraisals and proposals by policymakers to tamper with the mortgage interest deduction could dampen future
housing demand.”
Stating there is no consistent national trend, Crowe noted the housing
recovery is local but spreading.
“We are transitioning from a very
low demand level, where most people
early in 2011 and since early 2012 we’ve
seen a six percent increase on a national basis.”
Another factor spurring the recovery
is that household formations are on the
rise. In the early part of the decade, the
nation was generating 1.4 million new
households each year. This collapsed to
500,000 annually during the housing
downturn and currently new households are being formed at close to a
900,000 clip per annum.
As new households form at a growing rate, so too does builder confidence. The NAHB/Wells Fargo Housing
Market Index, which measures builder
confidence in the single-family housing
Housing Market Remains
on the Rebound for 2013
hold themselves out of the marketplace,
to a case where supply will start being the
problem,” said Crowe. “As we begin to
build more homes to address that supply,
the new home stock will be a much more
important element of the recovery.”
Setting the 2000-2002 period as a
baseline benchmark for normal housing
activity, Crowe said that owner-occupied remodeling has returned to previously normal levels.
“Multifamily production is also well
on its way, back to 69 percent of normal,” said Crowe. “It’s the single-family
market that has the farthest to go,
standing at only 40 percent of what is
considered a typical market.”
Meanwhile, the number of improving housing markets across the nation
continues to show considerable
advancement. When the NAHB/First
American Improving Markets Index (IMI)
was launched in September of 2011,
only 12 metropolitan areas out of 360
were on the list. As of December 2012,
the list stands at more than 200 metro
areas. The index is based on a sixmonth upswing in housing permits,
employment and house prices.
“One reason we have seen such a significant jump in the IMI is because
house prices are beginning to recover,”
said Crowe. “House prices bottomed out
A New Era for Mortgage Closings?
Replacing the Closing Protection Letter with Independent Vetting Standards
and Uniform Comprehensive Insurance Coverage
BY RICHARD PETER STEVENS AND ANDREW LIPUT
JANUARY 2013 v
38
H
ardly a week
goes by that
we are not
hearing about
some type of
fraud, scam,
or escrow theft
in the real
estate and title
insurance/settlement services industries. How do we protect ourselves from being a victim of one of
these events? There is the old adage
that you cannot protect people from
themselves and their bad decisions.
That is true when anyone of us listens
to a “too good to be true” story, or a
promised rate of return you would be a
fool to pass up.
However, not one of us should be a
victim of escrow/closing table theft by a
title insurance agency. And if we were
the victim of such a theft, why isn’t
there any insurance protection? After
all, most of us use a title insurance
agency for the real estate closing on a
sale or a refinance transaction. Aren’t
these agencies regulated by the government? The answer to both questions is
yes! There is insurance and escrow regulation—in some states it is ineffective—in some states, nonexistent when
it comes to protecting you from escrow
theft. The insurance departments in most
states license the title insurance agent
and a lesser number of states have
escrow licensure. Licensure is the minimum threshold for entry into a business where relatively unknown individuals handle hundreds of millions of
dollars of “other people’s money.”
There are basic licensure background
checks and fingerprinting, but very few
applicants are rejected unless the applicant admits to a prior felony conviction
for dishonesty. Consequently, thousands of people in the settlement services industry must be bad actors or persons influenced by bad actors or we
would not be experiencing escrow
thefts.
The settlement industry has but one
option—it must purge the industry of
these bad actors and implement systems to prevent new bad actors from
becoming part of the industry. If the
industry fails to act aggressively, then
state and federal regulators will step in.
The industry’s vetting process for agents
has not proven to be adequate. The
underwriters are losing millions every
year in escrow thefts and the numbers
are increasing every year.
Independent and
objective validation
is necessary
One immediate option is an independent and objective vetting process for the
individuals responsible for escrow disbursements. The independent vetting
entity is objective because the process
looks at the background and credit history of the individual and the vetting
entity’s analysis is not influenced in any
manner by the past or potential business contributions an individual could
bring to an agency. Further, objective
vetting is not static—as of a certain
date, everything with “Individual A” is
good. The new vetting process is constant—new information is continuously
integrated into a database and the
database is accessible to the financial
institutions 24/7/365. This is all critical
information regarding an individual’s
current conduct because current conduct will disclose activity that may
reflect an inclination for theft or reflect
an unusual demand for money. Once
this information is available to the
agency owners, financial institutions
and underwriters they will then be able
to closely monitor the individual’s activity and potentially prevent theft.
As a former insurance regulator, I
have witnessed firsthand the devastating consequences of escrow theft.
Adding to the misery of their funds
being stolen, most victims must litigate
for the return of their funds because, in
most states, the title underwriters are
not responsible for the escrow operations of their agents. Mortgage fraud
and escrow thefts involve many of the
same elements. Financial institutions
have spent billions of dollars on the
front end of the loan process to prevent
fraud. Now, the settlement industry
must invest in its business model to prevent escrow theft or closing table theft
on the back end of a transaction. Rather
than complain about being over regulated—regulation that has not even
come close to solving closing table
theft; look at the real problem! The consumer is at risk and everyone else,
including the Consumer Financial
Protection Bureau (CFPB), is looking out
for them. Now, right now, the settlement services industry must clearly
demonstrate that the agencies and the
people in the industry are not just sufficiently competent and capable to handle the transaction, but most importantly, this is an industry that can be
trusted with other people’s money.
Independent vetting is a validation.
Vetting and risk
rating provide tangible
benefits for agents
If you are one of the good guys, independent vetting is one of the best
investments you can make in yourself
and your agency. First, you are validated as a trustworthy individual. Second,
your bad actor counterparts will not be
validated and hopefully will be driven
from the business. Both result in additional business opportunities for you.
Make the investment in independent
objective vetting and you will drive the
bad actors out of your industry. Let’s
take a detailed look at the problem.
For years now, the mortgage and
real estate closing process has been
largely viewed by some banks and settlement professionals as nothing more
than a glorified signing party. Concerns
about fraud, infidelity and negligence
on the part of those handling mortgage
proceeds and bank documents and the
other professionals who play a part in
the settling of a transaction have been
largely ignored. This has been true
despite the fact that the concept of
wiring funds to a closing agent who is
largely unknown and allowing strangers
to handle mortgage documents and disbursements without uniform standards
seems counter to prudent business
practices.
Today, title underwriters, who have
been primarily self-insured on their
direct operations, have seen claims rise,
profits dwindle, and lawsuits by lenders
and consumers stack up at courthouses
39
v JANUARY 2013
“… thousands of people in the settlement services industry must be bad
actors or persons influenced by bad actors or we would not be experiencing escrow thefts.”
—Richard Peter Stevens
a new era
40
around the country. In addition, the
underwriters have also experienced
increased claims, reduced profits, and
lawsuits from the independent agency
operations. Consequently, any notion
that title underwriters will continue to
allow agents to bind them for acts of
negligence and infidelity by closing
agents requires radical readjustments
and new thinking.
Likewise mortgage lenders and consumers cannot continue to rely upon
the closing protection letter (CPL) as a
form of insurance against losses from
mortgage fraud and escrow theft
because it is not an insurance product.
The CPL offers very limited coverage for
losses. Quite frankly it is time for the
title underwriters and their issuing
agents to get out of the escrow insurance business and for lenders to utilize
third-party sources for underwriting
and insuring risks at the closing table.
It’s all in the numbers
Anyone connected to the mortgage and
real estate industries is familiar with
the numbers, but they are worth a
reminder. The FBI has called mortgage
fraud the number one white collar
crime in America after terrorism. The
FBI has allocated more agents nationwide to investigating escrow fraud than
any other white collar crime. In 2011,
the FBI reported $11 billion in mortgage fraud losses from SARS filings, and
for 2012 the number is estimated to
rise to $13 billion. The FBI estimates
that 15 percent of those losses are
directly attributable to escrow and closing fraud. These figures appear to be
supported by the Financial Crimes
Enforcement Network (FINCen) July
2012 study of SARS reports between
2003-2011 which indicated that there
has been unacceptable growth in fraud
losses in the escrow and closing area,
with a 20 percent increase in the most
recent period.
According to statistics published by
the National Association of Realtors
(NAR)
and
Mortgage
Bankers
Association (MBA), there are 8.5 million mortgage closing transactions
annually, with the average loan size
approximately $175,000.00. Each of
these loan transactions requires a closing attended by a settlement agent, so
that means that in 2012 lenders will
have delivered more nearly $1.5 trillion (and the collateral security documents to establish their legal right to
repayment) into the hands of a virtually unregulated industry.
Yes, there really is fraud
at the closing table
While fraud can take place in any part
of the loan process, lenders are most at
risk at the closing. Settlement agents,
who are responsible to disburse the
lender’s money, to supervise the execution and delivery of the deed, note and
mortgage instruments, are traditionally
subject to little or no scrutiny. Escrow
licensing, while important as a barrier
to entry into the profession, it is not risk
management. There is not one license
that covers all of the various actors who
handle funds and documents during a
closing which, depending upon the
state or region, includes lawyers, escrow
agents, title agents, lenders, closers and
real estate agents.
The current vetting by title underwriters and some banks is primarily
static. It is not ongoing, it is not uniform, it is generally focused on entities, and does not involve the sharing
of data nor is that data maintained in
a user accessible database. You need
only review of the FBI fraud statistics
and the Mortgage Fraud Blog to realize that whatever is being done now is
not adequate.
Agents are still stealing funds, aiding
fraud at the closing and looking the
other way on questionable transactions.
Current agents have relationships with
the parties, while good in a business
sense, these relationships invite compromise. On one recently reported incident, an agent documented a non-existent buyer’s cash to close, permitted
same day property flips, and failed to
notify the lender when funds were
accepted from and disbursed to third
parties not identified as formally connected to the transaction.
The theft of funds and other frauds
are serious problems, but are not the
only way that unsupervised agents can
cause havoc. Settlement agents can also
act negligently, by failing to obtain the
properly signed note, or to record the
mortgage, thereby creating significant
liability for lenders. Since settlement
agents, including lawyers, are not uniformly required to carry liability insurance or fidelity bonds, lenders and consumers can have little faith they will
recover their losses resulting from negligence or bad acts by settlement agents
at closings.
In the past lenders have assumed the
risk associated with the unregulated
and unsupervised nature of the closing
process because losses from fraud at the
closing had historically been a small
percentage of overall mortgage fraud
damages. That is why most lenders
focused whatever spending they could
allocate to fraud deterrence on front
end fraud detection software, such as
Social Security Number verification,
automated appraisal reviews and similar products. According to the National
Mortgage Bankers Association, lenders
spent approximately $1 billion on fraud
deterrent software to use in the origination and underwriting process in 2011.
The amount of money spent to address
fraud and negligence at closing was not
in the calculus.
The inadequacies
of the CPL
Other than faith in law enforcement,
what can a lender do to reduce the risk
of loss due to fraud or negligence at a
closing? Each day when lenders wire
millions of dollars into the trust
accounts of attorneys and non-attorney
settlements agents they have historical-
ly relied on the closing protection letter
(in some states known as the insured
closing letter) issued by title underwriters, through their agents, to seek recovery for their losses. These letters provide no relief when a settlement agent
engages in intentional acts other than
outright theft of funds, or when an
agent’s negligence fails to rise to a noncurable cloud on title. The letter provides coverage for the lender against
intervening liens. Fraudulently recording, cash to close on the HUD-1 with a
straw buyer, and fraud for profit
schemes are not covered incidents? As
long as the insured can still foreclose,
there is no coverage and no claim for
lost interest or principal payments on
the loan, cost to foreclosure, cost to
repurchases (i.e. premium recapture),
etc.
In the state of California, case law
even supports the proposition that a
closing agent has no legal or contractual obligation to report fraud at the closing even when the agent may personally witness suspicious or even fraudulent
activity taking place. In 1999, in
Voumas v. Fidelity National Title
Company, the California Court of
Appeals held that settlement agents
have “no duty to police the affairs of a
lender,” and have no obligation to
“report fraud.” Similar results were
reached in the California decisions
found in Axley v. Transational Title
Insurance Company and Lee v. Title
Insurance & Trust Company.
In reality, a CPL looks and smells like
an insurance product, and today, is
charged to the borrower like it is insurance, but, in fact, is not insurance. Nor
is the CPL assurance against mortgage
fraud or theft at the closing table.
Furthermore, there is no national standard for issuing closing protection letters. In most cases the lenders have had
no real comfort in the existence of
these letters as a method of evaluating
the experience, trustworthiness, and
reliability of the agents who will handle
their funds and documents at a closing.
“Quite frankly it is time for the title underwriters and their issuing agents to
get out of the escrow insurance business and for lenders to utilize thirdparty sources for underwriting and insuring risks at the closing table.”
—Andrew Liput
nmp news flash
market, has posted gains for eight consecutive months and now stands at a
level of 47. This is very close to the critical midpoint of 50, where equal numbers of builders view the market as
good or bad. The HMI has not been
above 50 since April of 2006.
Single-family home starts are projected to climb to 534,000 units this
year, up 23 percent from 2011. NAHB
is forecasting that single-family newhome production will post a healthy
21 percent gain in 2013 to 647,000
units. Starts will continue their
upward climb in 2014, posting a further 29 percent rise to 837,000 units.
Multifamily production is expected
to rise 31 percent in 2012, reaching the
233,000 level, and posting a solid 16
percent gain in 2013 to 270,000 units.
Multifamily starts are anticipated to
rise an additional nine percent in 2014
to 294,000 units. Meanwhile, new single-family home sales are expected to
rise from 307,000 last year to 367,000
this year, a 20 percent rise. Sales are
anticipated to climb to 447,000 next
year, up 22 percent from 2012 and
jump to 607,000 in 2014, a 36 percent
increase over 2013 levels.
NCUA Sues JP Morgan and
Bear Stearns for $3.6
Billion Sale of MBS
Former DocX President
Faces Jail Time in RoboSigning Probe
Your turn
National
Mortgage
Professional
Magazine invites you to submit any
information on regulatory changes, legislative updates, human interest stories
or any other newsworthy items pertaining to the mortgage industry to the
attention of:
NMP News Flash column
Phone #: (516) 409-5555
E-mail:
[email protected]
Note: Submissions sent via e-mail are
preferred. The deadline for submissions
is the 1st of the month prior to the target issue.
n
n
n
n
n
n
with) respect and do not violate
Section 8 of RESPA.
They tend to be confident, not arrogant. Egos do not affect others.
In favor to their clients, they avoid
steering and allow their clients to
make informed decisions by understanding and comparing different
options when referring others products or services.
They hold themselves accountable
for their actions when necessary and
hold others accountable when necessary, without finger-pointing.
They are strong and passionate, but
easy to work with productively and
understanding of the details.
They are not happy with their performance unless their client is
happy.
They never forget that their employer is the consumer.
The year 2013 is fresh and we need
to change our habits immediately if not
already. Don’t settle for average and
work toward perfection. Be passionate
and work together with your local
agents, but know that your clients are
the most important party in the transaction. No one should be a push-over
on either side or allow hopes of referrals to blind them away from their
duties.
Andy W. Harris, CRMS is president and
owner of Lake Oswego, Ore.-based Vantage
Mortgage Group Inc. and 2010-2011 president of the Oregon Association of Mortgage
Professionals. He may be reached by phone
at (877) 496-0431 or e-mail [email protected] or visit
AndyHarrisMortgage.com.
41
v JANUARY 2013
n They set and only accept/suggest
realistic closing dates on purchase
agreements to match current averages and regulations facing the residential mortgage climate.
n They are only influenced by accurate data and strive for information
and continued education.
n They understand that the financing
process is the most important part
of any non-cash transaction for both
the buyers and sellers for a successful closing.
n They know and communicate the
benefits of homeownership, but
also realize that a home is a liability
and not an asset on a balance sheet.
n They understand the basics of the
government-sponsored enterprises
(GSEs): Fannie Mae, Freddie Mac, in
addition to Ginnie Mae, and that
lender’s are controlled by these
guidelines.
n They are not “sold” into thinking
one thing over another and do their
research and use their experiences
to uncover the facts.
n They never sacrifice quality for revenue or alter focus with commission
as priority.
n Communication is timely and relevant to the process and not unrealistic when asking for updates or expecting something “should” be completed
without following procedures.
n As much as everyone works to avoid,
extensions on closings are common
nationally due to the current state
of the market. Get the facts to avoid
assumptions and communicate
accurate information with clients to
avoid confusion or frustration.
n They (and the company they work
Missouri
Attorney
General Chris Koster
has announced that
the state of Missouri
and Lorraine Brown,
former president of DocX LLC, have
reached a plea agreement. Under the
agreement, Brown will plead guilty to
one felony count of forgery, one felony
count of perjury, and one misdemeanor count of making a false declaration. Brown will be sentenced to a
term of imprisonment of not less than
two years and not to exceed three
years in the Missouri Department of
Corrections.
During the period of March to
October 2009, DocX, at the direction of
Brown, instituted a surrogate signing
policy whereby employees signed, not
their name, but the names of other
employees on thousands of mortgage
documents that were notarized and
filed across the country. Prior to 2009,
similar signing practices were also
employed at DocX. Brown concealed
these practices from her clients, the
national mortgage servicers, and the
the elite performer
Prosecutor. The Attorney General’s
Office worked in coordination with the
Boone County Prosecutor, the Jackson
County Prosecutor, the Boone County
Recorder of Deeds, and the Jackson
County Recorder of Deeds.
The National Credit
Union Administration (NCUA) has
filed suit in Federal
District Court in
Kansas against JP Morgan Securities
and Bear Stearns & Company, alleging
violations of federal and state securities laws in the sale of $3.6 billion in
mortgage-backed securities to four
corporate credit unions. NCUA’s suit—
the largest the agency has filed to
date—alleges that Bear Stearns made
misrepresentations in connection with
the underwriting and subsequent sale
of mortgage-backed securities to U.S.
Central, Western Corporate, Southwest
Corporate and Members United
Corporate federal credit unions. All
four corporate credit unions became
insolvent and were subsequently
placed into NCUA conservatorship and
liquidated as a result of losses from
these faulty securities. These failures
caused significant losses to the credit
union system. J.P. Morgan Securities
purchased Bear, Stearns & Co. in 2008,
after the demise of Bear, Stearns & Co.
“Bear, Stearns was one of several
Wall Street firms that sold faulty securities to corporate credit unions, leading to their collapse and enormous
losses across the industry,” said NCUA
Board Chairman Debbie Matz. “Firms
like Bear, Stearns acted unfairly by
ignoring the rules for underwriting.
They packaged these securities and
then told buyers the paper was sound.
When the securities plunged in value,
we learned the truth. NCUA is now
working to hold these underwriters
accountable and secure recoveries on
behalf of federally insured credit
unions.”
The complaint alleges Bear Stearns
made numerous misrepresentations
and omissions of material facts in the
offering documents of the securities
sold to the failed corporate credit
unions. The complaint states underwriting guidelines in the offering documents were “abandoned” and the misrepresentations caused the credit
unions to believe the risk of loss was
minimal. In fact, these securities were
“significantly riskier than represented”
and “routinely overvalued.” The faulty
securities, the complaint states, “were
destined from inception to perform
poorly.”
NCUA has eight similar actions
pending against Barclays Capital,
Credit Suisse, Goldman Sachs, J.P.
Morgan Securities, RBS Securities, UBS
Securities, and Wachovia. NCUA was
the first federal regulatory agency for
depository institutions to recover losses from investments in faulty securities
on behalf of failed financial institutions. To date, the agency has settled
claims worth more than $170 million
with Citigroup, Deutsche Bank
Securities and HSBC.
“NCUA and credit unions have successfully worked together to restore
stability to the credit union system,”
Matz said. “Now we are holding
responsible parties like Bear, Stearns
accountable for their actions. It’s the
right thing to do.”
parent company of DocX. The practices of DocX were brought to national
attention by a “60 Minutes” report and
resulted in several major lenders temporarily suspending foreclosures in
2010.
“DocX’s robo-signing practices were
the worst in the county. Surrogate-signing crosses the threshold into criminal
activity,” AG Koster said. “This agreement brings to justice the person most
responsible for these activities and
upholds the principle that when you
sign your name to a legal document, it
matters.”
Brown’s plea of guilty to forgery and
making a false declaration will be
entered in Boone County where a criminal prosecution is ongoing by the
Missouri Attorney General and the
Boone County Prosecutor. Brown’s plea
of perjury will be entered in Jackson
County where a criminal prosecution is
also ongoing by the Missouri Attorney
General and the Jackson County
Changing Market Opportunities:
What Originators Should Know
That Can Impact Career Changes
By Eddy Perez
As the mortgage industry undergoes
continued signs of recovery, many
lenders are hiring again—but are much
more selective in their qualification
requirements for new employees.
Where lenders were content to fill their
ranks with relatively young, fresh-faced
talent just a few years ago, today’s market demand is for proven, experienced
professionals that not only do the job,
but do it well.
JANUARY 2013 v
42
Where the industry
is today
Today, due to a combination of factors,
the mortgage industry is experiencing a
bit of a “brain drain” related to loan originators. When the Consumer Financial
Project Bureau (CFPB) implemented new
standards affecting loan originators’ compensation, many experienced professionals simply left the industry. Because many
lenders are not willing to invest revenue
to recruit and train new entrants, there is
a significant concern that there will be a
lack of talent developing within the
industry in the future.
Perhaps the largest contributing factor
is that the majority of today’s originators
are now paid a base salary plus basis
points whereas in the past, they received
a certain percentage of the revenue they
generated from closings. As a result, originators are focused on quantity and quality because their compensation is based
on flat production, rather than closing a
handful of high revenue loans to generate
the same level of compensation.
The marketplace is going to face
another change when the CFPB makes a
final decision in January regarding new
disclosures required under Dodd-Frank
and the Consumer Protection Act. The
good news is that lenders are starting to
see some experienced loan originators
that left the industry beginning to come
back into the fold, but they still must be
re-trained on new compliance rules and
regulatory requirements.
In an effort to attract the best talent,
some lenders have gone so far as to hire
legal experts to help design a compensation structure that remains both compliant and competitive. Lenders are also
expanding their internal compliance
teams with professionals who are wellversed in compliance, fair lending and
quality control to insure they have their
bases covered on the day-to-day implementation of the ordinance requirements. As much as five percent of a
lenders’ employee base is now completely dedicated to compliance. While this
increases costs across the board, it helps
alleviate the risk errors that could negatively impact business in the future.
Chartered banks versus
mortgage lenders
Additionally, there has also been a
major shift in the workforce as numbers of loan originators have chosen to
work for chartered banks over traditional mortgage lenders because the
banks do not have the same licensing
requirements, such as background and
credit checks.
While an originator may see working
for a bank as a quicker path to entry
into the industry, the potential downside is that if that originator ever
decides to take the licensing test
required to work for a mortgage
banker, the National Mortgage and
Licensing Systems (NMLS) instantly notifies their current employer—an
uncomfortable situation for the originator who could be fired immediately,
regardless of whether or not they pass.
This negatively impacts the industry as
a whole because it may keep disgruntled employees working for a bank
(which does not benefit the originator
or the bank) and it prohibits originators
from testing their potential value in a
free market environment.
How mortgage
originators can evaluate
their current situation
One of the constant refrains of mortgage originators today is, “If company X
n Rates: If your company
can do this, why can’t
is not competitive in the
mine?” The simple truth is
industry’s hyper competithat there is always a level
tive marketplace, then
of risk that one company is
you are missing out.
willing to take that others
However, your company
are not. Additionally,
may have the best rates in
mortgage originators must
town, but if you do not
carefully consider that
have enough support in
every company has its own
your corporate office to
set of strengths and weakget the loans processed,
nesses and he or she must
underwritten and closed,
evaluate where they would
then the best rate means
best fit as an employee.
“Because many
Some companies are lenders are not willing nothing.
n Compensation: In the
more willing to take more
to invest revenue to
risks in business because recruit and train new era of Dodd-Frank, is your
company being fair in
they are not hindered by
entrants, there is a
relation to your competithe large legacy issues of
significant concern
tors? The same argument
companies that continue
that there will be a
to do business in the same lack of talent develop- on the best rate applies
way as they did preceding ing within the indus- here. You can have the
best compensation plan
the mortgage industry
try in the future.”
but without support staff,
crash.
it is meaningless.
A major factor that the industry uses
to evaluate risk is the Federal Housing n Longevity: Make sure the company you
join is financially sound. Do they have
Authority’s (FHA) Neighborhood Watch
a good FHA compare ratio? It is
system, which evaluates a lender’s loan
important to have good relationships
performance over a 24-month rolling
with their funding source, whether it
cycle using a formula of defaults to origiis a bank or a warehouse bank.
nations. This formula is referred to as a
Trouble will be on the horizon if the
compare ratio because it factors a compabank has a poor capital ratio or a priny’s defaults vs. lenders in its area. If a
vate mortgage banker does not have
lender’s compare ratio is at 100 percent,
sufficient liquidity.
then its defaults compare with its peer
group. A company may also have a stellar
compare ratio with FHA, therefore the risk Looking ahead
is lower if the loan does go into default. Of While there is still a great amount of uncercourse, if a company is not dependent on tainty concerning the CFPB’s disclosure
the large lenders to sell its loans, there is requirements, the leaders in the marketa larger pool of product and guidelines place have been preparing for the proavailable. Companies that are able to posed changes since the law took effect
securitize their loan portfolio have a dis- back in 2011. Proper preparation for new
regulations will create and environment
tinct advantage in the market place.
Not every company is going to take that encourages employees to embrace
advantage of every loan type or take all the changes and perform at a higher level,
of the risk to get each and every loan rather than creating disgruntled employdone. Just because a fellow loan origina- ees who may try to challenge every aspect
tor closed a deal on a tougher loan does- of the new law. It is best for lenders to face
n’t necessarily mean his company is ‘bet- the changes head on and not push them
ter’ than your current employer. There is aside to deal with down the road.
The broader industry implications of
a great deal of evaluation factors that
every mortgage originator should careful- the new regulations are that all lenders
ly consider before deciding to jump the (large and small) will be on a more even
playing field—rewarding those companies
fence:
that have invested time, resources and
n Service: How responsive is your corpo- training to their originators.
rate office to your needs? Can you get
your underwriting staff to return your Eddy Perez is president of Atlanta-based
phone calls? Is your closing depart- Equity Loans LLC. Eddy has more than 10
ment quick to the draw in working years of experience in the mortgage industry
with your title companies needs and as a top producing loan officer, sales/branch
manager and executive. He may be reached
consistently available?
by phone at (678) 205-4050 or e-mail at
[email protected].
weeks of intensive
ventional work experitraining to ensure the
ences. Not everyone has
most productivity when
these qualities and you
they start. During that
may have to dig deep to
time, helping them
find them, but the
understand every facet
rewards are worth it.
of the company and
This
also
allows
you
to
Sullivan
daily operations is
hire a wider range of
essential. I usually have
people with different
new salespeople sit with
history or education in sales. I start- strengths
that
will
someone
in
each
ed at the junior sales level and improve your overall
department for a short
quickly realized that my years of sales impact.
period of time to fully
connecting with people on the road
“In this age of
understand what each
to build my audience (as well as pay Look everysocial media, the
department does and
my bills) were exactly the tools I where, and
importance of
the role they play in the
needed to succeed. I also already look often
checking up on an
success of the company.
knew how to handle a wide variety Always be on the lookapplicant’s Internet
This also serves as an
of personalities, and how to be truly out for your next sales- presence is implicit.”
introduction to other
appreciative of people’s time, person, whether you
whether they bought whatever I was need them now or not. There have departments and employees to help
selling or not. I advanced quickly been many instances where I needed integrate the new employee from the
because I sold a lot, and I sold a lot a new salesperson and would recall outset and make them less afraid to
because people wanted to talk with conversations with people that res- ask questions.
Trained employees are happier
me because I make an effort to con- onated, making them the first ones I
and
more confident and it’s much
nect personally.
called just to see if they were intereasier
to get productivity out of
I learned more about sales being ested before starting to interview otha musician than I ever did in a book, ers. Waiting until you desperately them if they’ve had the proper time
classroom or even from a manager need to hire someone creates a sense to acclimate before starting their
and because of that, I believe it’s of urgency and doesn’t give you the actual day to day duties. If they are
pivotal to factor in real life experi- chance to devote the time and given a couple weeks to meet, search
ence rather than strictly relying on thought necessary to bring on a truly and discover all the available
education level or previous experi- valuable employee. Always keep peo- resources, they will be able to find
ence in the same field when review- ple in mind so you’re not forced to information quickly and feel more
ing applicants.
hire or interview based solely on confident. Trust me, down the road
For example, the reason I hired whatever resumes you happen to you will reap the rewards for taking
the extra time from the beginning.
the person who is now one of my top receive during your hour of need.
salespeople had nothing to do with
These are a few of the tips that
his education or even his sales expe- Hiring well now will
have helped me cultivate a strong,
rience. As an acquaintance, he make your life much
capable sales force that’s averaging
shared with me how he’d been laid easier later
off from his banking management Well-run companies these days are over 100 percent growth year-overposition and instead of collecting somewhere between lean and under- year. I hope they’ll do the same for
unemployment and waiting around staffed so there is a tendency to try you, and please share your feedback
for something similar to open up, he and get the new hire up and running and experiences by e-mailing me at
took a job hauling and unloading as soon as possible, but it’s still [email protected].
soda out of a truck all day. His deci- imperative you give them the proper
sion to take any job he could get time and training to make a positive Chris Sullivan oversees the national
while still looking for the one he real- impact from the beginning. One of sales team for Mercury Network, and
ly wanted is what made me contact the benefits of hiring the type of per- supervises Mercury’s largest, key
him for my open sales position. His son I’ve outlined is how much easier strategic accounts. He has been with a
work ethic and the fact that he was initial training can be. Already armed la mode inc. for 11 years, building
willing to tell me that story indicated with an ability to connect and sell, invaluable expertise in vendor manto me that he was not only a hard, they just need to be caught up on the agement operations and appraisal
motivated worker, but was also able basics of your particular company. compliance concerns with the largest
to connect with people on a basic Keep in mind that when the new lenders and appraisal management
and relatable level, an important employee joins your team, they will companies in the nation. Chris has
sales quality.
most likely have little to no back- been instrumental in the growth of
Keep an open mind when learning ground about the company, the prod- Mercury Network, powering more than
about an applicant’s background. ucts, tools, or processes it takes to be 20,000 compliant appraisal deliveries
a day. He may be reached by phone at
The innate ability to sell (as well as successful.
connect with people) are both qualiI’ve found that it’s most beneficial (800) 434-7260, ext. 708 or e-mail
ties that can be gleaned from uncon- to give any new hire at least two [email protected].
Lessons From the Road:
How to Hire Great Salespeople
By Chris
Even though I manage a very successful sales force, I’m not what most
people would consider a conventional sales manager. I don’t have an
MBA, I only own a few Tony Robbins
books, and selling Mercury Network is
actually the only official “sales job”
I’ve ever had. Truth be told, I rely
largely on what I learned from touring as a musician for over 10 years.
It’s really those skills that have made
the biggest difference in my career
selling software to mortgage professionals, and managing teams of very
successful salespeople.
The conventional sales and management techniques are pretty well
documented, so I thought I would
share some of the lessons I learned
on the road for a different look at
building a successful sales team.
Look beyond the
resume … what are they
really made of?
v JANUARY 2013
Regardless of what their resume or
online profile may say, what’s most
important to me is that the person
already has an innate ability to sell.
You can always teach someone a
product and give them the tools to
sell it properly, but it’s tough to actually teach someone how to sell. I
believe anyone can have this ability,
regardless of whether they have a
In this age of social media, the importance of checking up on an applicant’s Internet presence is implicit. I
have to admit, the first thing I do
when looking at the resume is to see
if they have a LinkedIn profile and I
check for any discrepancies. You can
also usually tell a lot about the person by recent posts they’ve made,
how they come across when communicating socially, and who their contacts are. It’s always my first step, and
it’s an easy one so don’t forget it. A
quick LinkedIn check can be very
telling.
How do they look on
LinkedIn?
43
A Framework for Evaluating Recruiters
By Steve Rennie
JANUARY 2013 v
44
Being recruited by a company is commonplace in the mortgage industry. If
you are reputable and successful with
an established or growing business.
Whether you were referred by a former
colleague, previous manager, a referral
partner may have said ‘nice things’
about you, being ‘recruited’ means your
name found its way onto a contact list
for an internal or external headhunter.
The good news … you’re popular! The
bad news is you’re popular!
The recruiting industry includes
many respected, knowledgeable and
competent leaders of the highest
integrity. But, it also includes those with
little training, expertise and self-serving
motives. The purpose of this article is to
give you some perspective and a framework to evaluate the question “Do they
know me well enough to recruit me, or
is this just another person saying what I
want to hear.”
You may be perfectly happy and content in your current position. Why then
is it still good to have other options or
backup plans? None of us have a crystal
ball that will tell us what the future is
going to look like. If we did, we would
be hedging our bets in Vegas or on the
stock market and hanging with the likes
of Warren Buffett, George Soros and Bill
Gross.
Large-, small- and mid-sized mortgage organizations are constantly at
battle with the forces of nature, as well
as with pipeline maintenance, regulatory changes, economic market pressures,
boards of directors and a multitude of
“game modifiers” that are 100 percent
out of your control. What is in your control is to have some options outside of
where you are today. As a proven winner, there are more people that will be
knocking on your door in the future
with promises of happiness and riches.
How can you know to whom to listen?
For many years, we at Hammerhouse
have openly shared our framework for
Model-Matching with the candidates we
represent and the client companies
with which we work. It allows for thorough due diligence in the Six Core
Components of business, (Leadership,
Culture,
Business,
Operations,
Technology and Geography) and brings
an objective orientation to the evaluation process. Model-Matching also
empowers candidates to apply the
same standards to all of those who are
recruiting them, including former
acquaintances, cohorts and previous
leaders and managers.
Here is a three-step framework for
evaluating the firms that are recruiting
you.
1. Are they experienced
in the mortgage industry?
The mortgage industry is unique. It
combines a one-of-a-kind sales culture,
local market knowledge and a sphere of
influence with an industry that is dramatically impacted by changes in market conditions and regulatory environment. You only want to work with a
headhunter who has enough years of
experience working in the mortgage
industry to represent you with a crystal
clear understanding of the landscape
and the best of breed organizations in
it. If they tell you they work with “topsalespeople across all industries,”
politely inform them that you are looking for a specialist—not unlike yourself—who doesn’t need to “work across
industries.” More importantly, every
mortgage company in the country is trying to grow. Those headhunters with
experience in the mortgage industry
will only represent best of breed organizations with a clear understanding of
their Six Core Components. Only then
can they create value for you in the
process.
2. Do they have a track
record of placing top
producers with top
organizations and history
in the markets served?
Most recruiters and headhunters work
with too many of the wrong kinds of
organizations. They often move candidates from place to place, disguising
success with activity. The best in the
industry are happy to provide references from candidates placed and
client companies served. They are also
willing to share statistics on the success
of those placements. Our firm proudly
shares our track record of having an
annual rolling success
meetings as well. Career
rate of 87 percent of those
decisions about your
we have placed, not to
business require much
mention the bottom-line
more than looking good
impact made by the proon paper and looking
duction achieved by the
attractive on highly strucnewly placed employees.
tured speed dates.
We have also spent a
Being recruited is a
decade or more in many
positive indication of a
of the geographic markets
career that is successful.
we
support
today.
However, never forget
Someone who represents
that you are the one who
you should know the marshould be served and
“Being recruited is
kets in which they are
a positive indication protected by the process.
recruiting and the history
Above all demand that
of a career that is
of those for whom they
successful. However, any recruiter you work
are recruiting. The more never forget that you with recognizes the sig‘dots’ that get connected
nificance of making a
are the one who
in the process, the less
change from one compashould be served
risk there will be for you
ny to another, as well as,
and protected by
and higher the potential
the possibility of the negthe process.”
of an opportunity to maxative impact you, your
imize a Model-Match, as well as, to truly family, referral partners and customer
create the right kind of marriage relationships could experience when a
between your business and the organi- wrong move is made.
zation recruiting you.
Every organization in the United
States is trying to grow their sales force
3. Do they have a defined today. They want to have more loans to
process for mutual due
keep their production ‘factories’ funcdiligence?
tioning at maximum capacity in order
Recruiting is a process, not an event. In to leverage economies of scale. In doing
our Model-Matching process, we believe so, there are a lot of companies that
the parties will have to get to “know” just want to recruit production and
each other, before they can “like” each don’t take the time to really Modelother, which ultimately leads to “trust- Match you or your business to their
ing” each other. Developing the Know, platform. Instead, they say what you
Like and Trust, requires a series of care- want to hear, when you want to hear it
fully structured meetings of discovery.
and they sell you on false expectations.
Some recruiters still ask for resumes.
We’ve all heard too many stories,
You and your business cannot be quan- from people we have known and have
tified on a piece of paper. On the con- long-standing relationships with, about
trary, you and your business have a improperly set expectations. The reality
story. A headhunter with industry expe- is this: If you hold yourself and those
rience will understand how to articulate recruiting you to the highest standards
that story and present key data points during this process of learning about
about your business that demonstrate each other, you can minimize the risk
that you are the real deal and a VIP.
of a bad move or being sold on a pipe
If the person/firm recruiting you dream. Since you have proven to be
does not have a defined process then it among the best—only accept the best
is not likely to yield the information from those recruiting you.
that either you or potential employers
Congratulations again on your sucneed to make an informed, wise and cess and your popularity … but, be
objective decision. You need not waste careful out there!
your time, the recruiter’s time and any
company’s time being part of a recruit- Steve Rennie is a managing partner at
ing process that amounts to nothing Hammerhouse LLC, an expanding
more than a paper review and beauty national recruiting and strategic growth
contest. In this type of process, the firm for the financial services industry
recruiter simply tries to make you look with mortgage sales and leadership
great on paper or in an interview and placement at its core. He may be reached
then tries to make prospective employ- by e-mail at steve.rennie@teamhammerers look great on paper or in staged house.com or call (949) 525-9407.
How to Keep Employees Happy
By Kerry Elam
Many of us are working at least 40 hours
per week. Some of us find a sense of
accomplishment and joy from our work.
Yet we all desire to find happiness in our
jobs. It is important for both the firm and
the employees to take an active role in
having a positive working environment. As
Henry Ford said on teamwork …
“Coming together is a beginning.
Keeping together is progress.
Working together is success.”
This article will focus on ways to keep
your employees happy through engaging
them in the firm and ensuring an open line
of communication.
1. Communication
Conduct an employee survey annually
and provide detailed results and an
implementation plan to include some of
your employee’s ideas. People are more
likely to provide meaningful comments
if they know some of their ideas may be
implemented.
After a designated number of years of service, give employees an award, it could be
monetary, a gift or giving additional vacation. Employees want to be valued for
being loyal to your firm.
5. Tenure awards
7. Charity
Participate in charity events throughout the
year as a firm. You can make it competitive
by forming small groups to choose a charity
of choice and have a competition to see who
can raise most money and provide best support to the organization of choice. This
allows you to focus on more than one charity at a time and acts as a team building exercise. Another option is to choose one local
charity to support year round and encourage
your employees to help with the various volunteer activities throughout the year.
10. Open door policy
Make certain your employees know they
can come and talk to anyone at any time—
at the peer level, managerial level or executive level. By encouraging employees to talk
and communicate, issues will be identified
and resolved versus a culture that allows
them to fester. Soliciting feedback so your
employees have a “voice” is a key way to
foster inclusion within the firm. Employees,
who are able to contribute ideas of their
own to the firm, are certain to be happier
with results of change or new initiatives.
8. Training
As we know, you learn something new
every day. Encourage your employees to go
to trainings of interest, industry seminars or
conferences and offer in-house trainings.
a. Develop a list of trainings for your
employees that they may be interested
in based on the skills you are trying to
build within your firm. By doing the
research for your employees, they may
simply scan the list and choose one.
b. Offer your employees an annual training budget and encourage them to utilize the entire budget each year.
c. Hold trainings to teach your employees
about the history and culture of your firm
and how they can be successful. Ensure
they are educated on how they are to
portray the company and know what is
necessary for them to continue to grow
within the firm.
d. Implement a leadership training program in which you either hire outside
45
No matter what level you are in a firm,
your actions will be followed. If you are
nice to someone they will be nice back, if
you act with compassion others will treat
you will compassion, if you are engaged,
others will follow your lead, if you smile
at someone they will smile back at you.
You are at work the majority of the
time, so use your time in the best possible way. Utilize teamwork and workings
towards a common goal, remembering
you are all on the same team.
Kerry W. Elam is managing director of
operations and human resources with
Actualize Consulting. She oversees the
finance, marketing and recruiting functions of the firm, and is also responsible
for facilitating knowledge management,
training and social activities for the
employees of the firm. She may be
v JANUARY 2013
2. Listening
Implement a way for peers to
recognize each other. A star
player award is a way that
employees can nominate
their peers by providing management with the information on why the person
should be awarded. The
9. Ask for help
rewards can be monetary or
Determine
ways your
prize-based, choose what
“Frequent and
employees
can
help grow
works best for your firm.
meaningful
the
business
and
increase
Kudos are another way everycommunication will
the
bottom
line.
Make
sure
one in the firm can highlight
give your employees
to
reward
employees
for
excellent
performance. the information they
going
above
and
beyond.
Empower a culture in which
need to make
kudos are encouraged to decisions, foster ideas Some ideas include:
Writing articles to promote
blast out to all employees in
and keep everyone
subject matter expertise of
the firm or to your immedion the same page.”
the firm, marketing assisate team and if you do a
newsletter, you can solicit kudos for each edi- tance or interviewing new members of
team. People want to help their compation.
nies be successful.
4. Robust benefits package
Review your benefits package each year
to ensure it is the best on the market for
your size firm. Ensure that you are paying
for a portion for their benefits and consider having a 401k matching program,
tuition reimbursement, training budget,
referral bonuses, sales incentives and
floating holidays. Also, consider if you do
not already do so, having a performance
bonus to reward your employees.
firms or do internally to
ensure everyone is working
together and learning lessons from each situation.
e. Solicit ideas from
employees on trainings
they want you to offer.
They may provide you with
your training schedule for
the year.
An open line of communication is one
of the most important aspects of ensuring your employees are aware of company news. Frequent and meaningful
communication will give your employees the information they need to make
decisions, foster ideas and keep everyone on the same page. Some examples
include:
a. Newsletters with relevant company
information and include information
on employees such as listing birthdays
for the month, highlight an employee
with their biography or interesting fact,
provide information on industry training and conferences.
b. “All Hands Meetings” or conference
calls at least monthly and rotate ownership of the calls with management and
staff to encourage participation and
fresh ideas.
c. Blast e-mails with real-time updates on
the company.
d. Encourage sharing of information
across staff and with the management
team by giving everyone a budget to get
to know someone better.
3. Social events
Getting together as a firm builds relationships, and in turn, will promote better teamwork. Make sure to determine
what your employees like to do by sending out surveys to allow them to choose.
Some ideas for different types of events
are:
a. House party: This is perfect if someone
from the management team is willing
to volunteer their house. Having a lowkey party at someone’s house allows for
a relaxed party and much more socialization. You can have catered, hire a
band, play games, give prizes or have a
cooking contest.
b. Sporting events: Choose a sport that the
majority of your employees enjoy.
c. Team building: Hire an outside firm to
come in and host a team building
event. As an alternative, you can play a
sport together such as bowling, pool or
laser tag.
d. Rent a bus: Go on a field trip together
depending upon preferences you could
go on a wine tour, scavenger hunt, site
seeing to local city or go to a close by
theatre.
e. Contests: Organize online contests
around the football season or March
Madness for basketball. Prizes can be
company swag. This will encourage
friendly competition that helps folks
to get to know each other better. It
assists with the friendly banter and
those kinds of things really help folks
to open up.
6. Recognition
star player
program
Boost Your Employee Performance
in the New Year
By Tyler Sherman
JANUARY 2013 v
46
Good tidings for mortgage lenders look
likely in the New Year. The Federal
Reserve plans to keep interest rates near
zero through the year and beyond, and
the housing market is improving. Of
course, a housing recovery changing gears
from tepid to mild might not seem all
that impressive. But mortgage lenders
will find more purchase loans in the mix,
prompting them to hire more loan officers, underwriters and processors in 2013.
To take advantage of these conditions
and have successful year, mortgage company executives need to align their
employees to their corporate goals and
create a performance-driven, accountable
and compliant business culture. Such a
culture enhances productivity by creating
a more competitive workforce, whose
results can be measured and compared
against industry peers.
Only business intelligence technology
can provide this cultural solution for
mortgage companies. Business intelligence software gives senior executives
real-time access to key data indicators,
which can be used to measure the realtime performance of all departments,
regions, branch offices and each employee in a company. But so few mortgage
companies are realizing the complete
benefits of this technology and how it can
be used to unleash the full potential of
their employees.
Putting data into action
Business intelligence technology transforms company data into actionable
information, which can then be used to
mitigate losses or provide more
resources and employees to the most
profitable company services and products. It also brings disparate processes
and employees, such as loan officers, in
line with the company’s earnings and
expense objectives.
Business intelligence technology
does this by collecting, maintaining and
organizing the data from your company
and providing you with the analytical
tools to drill deeper into that data in
order to gain a better understanding of
your employees and company performance. Business intelligence and management software also gives lenders
and servicers superior risk management
tools that surround and supplement
their existing technology.
With its real-time reporting of
employee performance, executives can
quickly and efficiently identify personnel issues and correct problems before
they result in significant losses. For
example, business intelligence software
can provide real-time quantitative
measures, such as the number of loan
applications per loan officer or loan
processing turn-times. It also can
ensure that loan officers,
loan processors, underwriters and closers are
communicating together
in real-time and are on
the same page with corporate operations, strategies and goals. This information can then be used
to create and encourage a
high-quality employee
culture and singleness of
purpose.
One version of
the truth
By benchmarking performance, business intelligence technology gives
your
employees
an
understanding of how
they match up in the
industry and what they
need to do to beat the
competition. It builds a
productive,
entrepreneurial and sustainable
business culture.
“Business intelligence
systems also allow
senior managers to
view key performance
indicators of their
employees, so they can
see how they stack
up against fellow
employees and their
peers in the industry.”
Mortgage executives constantly receive all kinds of
information about their
company from many different sources, not all of
them objective. Business
intelligence
provides
financial services firms with one version
of the truth in company operations.
This means key executives no longer
have to judge which reports on company operations are accurate. They can
instantly access all relevant company
information, as well as apply powerful
analytics to monitor operations and
forecast key business metrics, such as
earnings, revenues and expenses.
The best business intelligence solutions can integrate with any existing
company software system and immediately provide a real-time view of a mortgage company’s collective data, including staff performance. The software
provides dashboards so that managers
can view a company’s strengths and
weaknesses on one screen. The data is
constantly updated, so managers
always have the latest, most relevant
information to act on to improve productivity and company operations.
From these dashboards, key executives can view high-level company and
employee data—or a summary of this
data over time—then drill down into
the data to identify problems, find their
causes and quickly solve them.
Dashboards also let top managers track
the real-time performance of branches
around the country and measure their
performance with metrics that take into
consideration the performance of their
leading competitors and state regulations. So you’re always on top of the latest trends in the industry and can determine if your company and employees
are taking full advantage of them.
Helping
managers
keep score
Business intelligence systems also allow senior
managers to view key
performance indicators
of their employees, so
they can see how they
stack up against fellow
employees and their peers in the industry. These indicators are combined into
scorecards, which constantly monitor
the performance of staff and staff activity throughout the company, including
all divisions, departments and individual employees.
Are small-scale activities consistent
with your company’s large-scale goals? A
scorecard can tell you, enabling you to
analyze your employee and operational
goals with actual results. Scorecards can
alert users at different levels in your company when performance thresholds have
or have not been reached.
Business intelligence software also
eliminates much of the paper involved in
a company’s reporting system. Detailed
reports, including the latest financial and
employee information can be viewed
quickly on the computer screen without
any need to print them or open new files.
Executives do not have to manually
piece together reports, since all relevant
information is on the screen. With
instant reports, mortgage executives
have the latest loans per loan officer and
risk management information from
around the country at their fingertips.
In a world of shifting mortgage regulations, business intelligence scorecards
can help keep operational employees,
particularly loan officers and underwriters, compliant. For example, managers
can track in real-time the activities of
every loan officer to make sure they
meet all applicable industry laws and
guidelines and stay in line with company rules and requirements.
Building employee
accountability
In order to successfully manage many
business units and your employees, you
must be able to clearly see their results.
Business intelligence software creates a
business management platform for
lenders and servicers, which delivers
transparency
and
accountability
throughout the organization. It’s like
watching your employees in real-time,
all from a central location. You can pinpoint any adjustments required to
maintain a business culture that
remains accountable.
We have learned over the years that
the act of measuring employee or company operations can improve performance by around 10 percent. Measuring
business flow and employee activities
provide executives with the control to differentiate the performance of one area of
the company from another. For example,
are closings being delayed by loan officers, underwriters or processors—and
which ones?
Using business intelligence technology, managers can view the performance
of their entire mortgage origination team
and easily make assignments to balance
the workload and improve productivity
and loan quality. But employees also can
view their performance, too. This creates
a self-competitive environment that
encourages everyone to perform at his or
her highest level. This not only makes
your company more productive, but also
improves your bottom line.
Implementing business intelligence
also allows a mortgage company to
equip all levels of its organization with
analytical reporting, which can include
alerts to top executives regarding deviations in operating goals in various
departments. This system of feedback
mechanisms helps improve the perform-
ance of managers, which naturally leads
to better corporate decision-making and
hiring. This is because business intelligence software replaces subjectivity with
objectivity in management decisions.
Managing a mortgage company in a
shifting regulatory environment would
be extremely difficult without the constant real-time information provided by
business intelligence. For example,
business intelligence software can
measure quantitatively the real-time
costs involved in operational activities
such as real estate-owned (REO) sales,
short sales and loss mitigation.
Management can immediately determine where cost savings can be found
and employees can be more productive
when they have unadulterated transparency in their operations.
A business culture that fosters employee accountability, competitiveness, compliance and productivity is best achieved
with business intelligence technology.
Business intelligence provides a better
understanding of a company’s performance in all aspects of its operations. It
delivers real-time insights necessary to
maintain outstanding employee results.
And it can bring disparate company
operations back into line and working
together.
If mortgage companies really want to
capitalize on improving market conditions, using business intelligence technology to get the most out of their
employees, departments and branches is
the only intelligent choice.
Tyler Sherman is chief executive officer of
Motivity Solutions, a business intelligence and business management technology provider. Motivity Solutions is
located in Denver, Colorado. He may be
47
v JANUARY 2013
What to Do When You’re Hated at Work
By Jean Kelley
JANUARY 2013 v
48
At some point in your career, you’ve
probably felt disliked—or even hated—
by someone at work. Maybe it was your
boss, a co-worker, or someone in a different department you interacted with
occasionally. Perhaps the person was
trying to get you fired, make you look
bad, or just cause you frustration and
self-doubt. Does this sound familiar? Is
it happening to you now?
Whoever it was and whatever they
did, this person made your work-life
miserable and that’s a serious problem
for your career, your health, and all
your other relationships. Recent medical studies from all over the world
show that being around someone who
negatively impacts you affects you
physiologically as well as psychologically. These studies cite that everything
from heart attacks to depression can
result from an environment that’s toxic
to you. Notice the key phrase “toxic to
you.” Even though the environment
might not be toxic to others, it might be
toxic to you.
So what can you do when you’re the
target of someone’s dislike? In reality,
no matter who hates you or what
they’re doing to show it, you have
three, and only three, options.
Option 1: Ignore it
You may be able to ignore the situa-
detail how to approach
tion, especially if the perand have these difficult
son who hates you doesconversations. Research
n’t work with you directit and then do it.
ly, interacts with you
infrequently, and isn’t
Option 3: Leave
trying to get you in trouOf course, if you can’t
ble. If the brunt of the
ignore the person and if
problem consists of a
you don’t want to fix the
few mean glances in the
relationship, then you
elevator or a cold shoulalways have the option
der in the break room,
to leave. If you choose
then ignoring it could be
this option, be smart
the answer. Sometimes
“No one likes being
about it. Don’t stomp
you just need to develop
hated, especially at
thicker skin.
work where we spend out one day out of frustration. Rather, explore
However, if you have
the majority of the
other options within the
a gnawing feeling in
day.”
company. If the organiyour gut every time you
see the person, that means you can’t zation is large, confide in HR and see
ignore it. The feelings are taking their if you can be moved to another office
toll on you and will affect your health location or another department. If
at some point. Remember, we’re the company is small, perhaps you
social beings, so feeling hated is can transfer to a desk or office space
stressful. Any additional stress will on a different floor or away from the
negatively affect you in some way. person you’re having challenges with.
Therefore, it’s time to look at option Sometimes physical distance is all the
problem needs.
number two.
Realize that deciding to leave is a
huge step in any job market.
Option 2: Fix it
Yes, you can fix the situation. To do Therefore, stay at your current job
so, first realize your part in it. While while you look for another one.
most of us wouldn’t lie to a trusted Taking action on your own behalf
friend, we lie to ourselves every day. and knowing that another opportuSomething pivotal happened that nity is on the horizon could give you
caused this person to hate you. the motivation you need to push
Identify it. Perhaps you were hired through the challenges you’re curfrom the outside over them … maybe rently facing.
you got the nicer office they wanted…perhaps the boss liked your mar- Put an end
keting idea better … possibly you to the hate
reacted to their constructive criticism No one likes being hated, especially
in a negative way … or maybe you at work where we spend the majority
mistakenly took their can of soda of the day. But once you know and
from the break room refrigerator understand your options for dealing
thinking it was yours. Look back over with the situation, you can take posthe course of your relationship with itive steps to ensure it doesn’t affect
the person and pinpoint when the your career or your health. No matnegativity started and your role in it. ter which option you choose, honest
Next, decide to have a much-need- communication—with yourself and
ed “difficult conversation” with the others—is the key to creating a
person. Realize that if you don’t talk work-life that is both prosperous and
to the person, nothing will change. pleasurable.
People are complex and we never
know what they’re thinking unless we Jean Kelley, author and entrepreneur,
ask them. Sure, we often think we is the managing director of Jean Kelley
know what’s going on in someone Leadership Alliance whose faculty and
else’s head, but in reality, we don’t. trainers have helped more than
That’s why having this conversation is 750,000 leaders and high potentials up
so important. Taking this step their game at work in the U.S. and in
requires courage, but it’s always step Canada. She may be reached by e-mail
in the right direction. There are many at [email protected] or visit
resources and books available that www.jeankelley.com.
When did we forget
that mortgage brokers
are the face of each
home loan?
portfolios, it’s sometimes easy to forget that most home-
mortgage broker has been the trusted advisor to millions
seeking the American Dream. FGMC hasn’t forgotten that,
and we’re providing our brokers the widest range of loan
products and the most efficient lending processes possible
to ensure your clients are getting into new homes ... and
that you’ll be the one handing them the keys.
(800) 296-2275
v JANUARY 2013
www.FGMCwholesale.com
buyers buy homes from people, not logos. For decades, the
In our crazy world of mortgage securitization and lender
49
360 Mortgage Group:
Delivering the “Gold Standard” of Responsible Lending
to the New Mortgage Broker Community
An Interview With Mark Greco, President of 360 Mortgage Group
M
JANUARY 2013 v
50
ark Greco is the president and founder of
360 Mortgage Group
LLC, a privately-owned
mortgage bank with a
100 percent focus on
the wholesale mortgage lending channel. Based in Austin, Texas, 360
Mortgage was founded in August 2007
as a retail lender. However, Mark quickly realized the opportunity to enter the
wholesale channel. In early 2010, 360
Mortgage made the strategic decision
to exit the retail channel and committed all its resources to wholesale lending. Since that time, the company has
successfully expanded its wholesale
lending platform from coast to coast,
most recently entering the Southeast
Region of the U.S.
360 Mortgage is an approved Fannie
Mae seller/servicer and GNMA issuer and is
actively building a servicing portfolio,
which will provide the Company with
greater stability and financial growth
opportunity.
Today, 360 Mortgage is focused on
delivering the “Gold Standard” in responsible lending through the new and
improved mortgage broker community by
delivering on its value propositions of consistent, competitive pricing, extensive
product knowledge, and best-in-class technology and service. In addition, 360
Mortgage strongly believes that mortgage
brokers are now well positioned and
poised to regain market share.
National Mortgage Professional recently sat down with Mark to get a progress
briefing on the state of 360 Mortgage.
Could you start by providing our readers
with some background on 360 Mortgage
and its operations?
Mark: 360 Mortgage Group was originally
founded in 2007 as a retail lender. In 2007,
when the mortgage industry began collapsing, several big lenders pulled out of
the third-party origination (TPO) segment
of the industry. When we witnessed these
companies abandoning the mortgage broker channel, we saw an opportunity for
360 Mortgage. With
my background
and years of experience as a loan originator, I felt I had a
strong knowledge
base of the mortgage broker community and was
convinced
that
there were still
many high quality
brokers out there.
Because of this,
360
Mortgage’s
business model
was modified to
serve the mortgage
broker market.
In April 2008,
while the majority
of lenders were
focusing on retail,
we transitioned our business to focus 100
percent on the wholesale channel. This has
allowed us to partner with some of the top
mortgage brokers in the nation and serve
them in what they do best – originating
loans with a very high touch approach.
How do you define the “Gold Standard” in
responsible lending?
Mark: Lending criteria is based on three
major elements: a borrower’s ability to
repay a loan, a borrower’s willingness to
repay a loan, and the collateral that
backs a loan. The most important
aspect is the repayment of a loan. Going
through a downturn, can really test the
theory of who can pay a loan and who
will pay a loan. The borrowers that have
been able to maintain their payments
during times of adversity are the borrowers that we are looking to work
with. HARP 2.0 has opened the doors to
many of those borrowers. The “Gold
Standard” of mortgage lending is a loan
that performs. Our entire company and
process is based on delivering this “Gold
Standard” to all stakeholders throughout the lending value chain. It takes the
right borrowers, the right brokers, and
the right wholesaler
working
together to deliver
the “Gold
Standard.”
Can you walk us
through
360
Mortgage’s business model?
Mark: A significant
part of our business model is
focused on identifying quality mortgage brokers. The
industry as a whole
has gone through a
purging over the
last six years. By
and large, the
majority of lending
professionals that
are still in this industry today are high
quality mortgage professionals with significant experience. Our model is to
partner with those professionals, to
serve an underserved sector of the lending industry—the mortgage broker—
and to make sure we work with the
highest quality professionals in the
wholesale channel.
360 Mortgage’s objective is to enable
mortgage brokers to operate efficiently
within a model based on service, speed
and sustainability. We can deliver on these
value propositions because we have a
complete understanding of the mortgage
business and how to execute in secondary
marketing, risk management, communication, and marketing.
Who are some key members of the senior
team, and what attributes and experience
do they bring to the company?
Mark: 360 Mortgage has put together an
impressive senior team of mortgage professionals and individuals of character.
This team is an extremely collaborative
team and has worked tirelessly to build
360 Mortgage into a growing company
with a reputation of service and integrity.
For background, I ran a retail mortgage
banking operation for about 15 years. This
role not only gave me significant mortgage
experience, but also made me very empathetic towards the challenges that mortgage brokers and originators face every
day in our industry. The industry is more
challenging than ever, and it takes people
who are very knowledgeable and insightful to perform well. I founded 360
Mortgage in 2007, and I have served as
president throughout that time.
Andrew WeissMalik, our chief operating
officer, has been in the industry for 12
years. Andrew handles all of our capital
markets and the technology development.
He has facilitated the efficiencies that we
bring to the industry and to our customers.
Andrew is recognized as an industry leader
in mortgage-technology innovation and he
utilizes his past experience in capital markets, mortgage-product development, and
efficient operations to enhance the lending value chain at 360 Mortgage. Using
Andrew’s technology, we believe 360
Mortgage Group employs the most
advanced wholesale origination and operations platform in the industry.
Al Crisanty, who joined us about a year
ago, is our vice president of national
wholesale production. Al was formerly the
EVP of national production at American
Brokers Conduit. When Al joined American
Brokers Conduit, they had a very small
wholesale presence, and Al was a major
reason ABC grew it to one of the largest
wholesale lenders in the nation.
What lines of business is 360 Mortgage
focused on today?
Mark: 360 Mortgage is 100 percent focused
on the wholesale channel. We exited the
retail channel in January 2011 when many
other lenders were entering this channel.
This strategy was consistent with the contrarian’s approach that we have implemented since first opening our doors. The
wholesale channel allows us to expand
without overextending ourselves. Coupled
with the fact that the wholesale channel is
51
v JANUARY 2013
How the Global Economy Will Impact U.S. Mortgages
By Barbara Zigah
52
The housing market is
arguably the sector by
which the health of the
U.S. economy is gauged;
that it has been in the
doldrums over the past
several years is not in dispute, but it’s clear
that there has been improvement in recent
months and that the outlook is turning
brighter. However, to understand why there
is such optimism you have to first understand what drives U.S. mortgages. The three
most important factors which control mortgage rate direction and subsequently housing demand are these; banking capital,
interest rates, growth and confidence.
The goal of all major banks, and especially the major U.S. banks, such as Bank of
America, JP Morgan Chase and Citigroup, is
to preserve their capital base, at any and all
costs. That means that when a bank loses
capital as a result of bad investments, they
have less spare capital; and less spare capital means less funding for mortgages.
Bad investments have been a major problem in recent years, directly resulting in the
credit squeeze that has traumatized investors
worldwide. Though home-grown loans
played a significant part in the banking
industry’s downturn, bad sovereign-debt
loans originating out of the Eurozone are
equally to blame. It is the U.S. banks’ exposure to higher risk debt from the Eurozone,
primarily Greece’s sovereign bonds but also
(and more worrying) to Spain’s and Italy’s,
which have affected exactly how much capital is available to lend. Because these countries have less money to lend for mortgages,
it essentially quashes housing demand which
results then in a drop in housing prices.
Though it’s doubtful that housing prices will
collapse in an environment such as this the
problem is that they also won’t rise.
It would make sense that a rise in interest rates would have a negative effect on
housing demand, while a drop in interest
rates would have the opposite effect. But
that’s not entirely accurate. When the
Federal Reserve Bank raises interest rates,
longer term (such as 30-year) Treasury-bond
yields fall on expectations that inflation will
fall and given that, long term rates begin to
fall, as well. And because 30-year mortgage
rates are linked to 30-year U.S. Treasury
yields, the Fed’s hike in interest rates is actually a good thing. In fact, that is the essence
of the Fed’s Operation Twist program. With
an improvement in the U.S. economy, housing demand should also improve, and while
30-year rates might rise, they will do so
steadily, not sharply.
Growth is the most obvious link of the
U.S. housing market to the rest of the world.
The growth of the U.S. economy is very closely correlated to growth in the Eurozone and
Asia, especially China which is the second
largest economy after the U.S. If global
growth is stable, then banks worldwide feel
more confident in their lending, laying the
groundwork for a positive Catch-22 scenario.
The U.S. banking system is very closely
linked to the European banking system, with
the bond especially tight between the U.S.,
the U.K. and Germany. As a result, any escalation of the crisis in the Eurozone will eventually filter into the U.S. banking sector, hitting American banks hard and detrimentally
affecting mortgage lending.
U.S. economic growth will also take a hit
and when growth falters, consumer confidence deteriorates and then, hand-in-glove,
so does demand for housing. Mortgage rates
won’t necessarily fall as quickly, either, also
putting pressure on the demand side,
because banks won’t be willing to lend during an environment they perceive as risky,
and will attempt to preserve their returns by
ensuring that their risk (of lending during a
period of slow growth) is suitably rewarded
(through higher mortgage rates).
Eurozone defaults and the
U.S. market
Currently, the U.S. banking sectors’ biggest
worry is what is going on in the Eurozone,
with the largest risks they are facing coming
from Spain and Italy. Spain, especially, could
ignite a banking crisis there that will affect
the U.S. There has, of course, been speculation that either of them (or Greece, for that
matter) might default on their existing debt
burden and be forced out of the Eurozone.
Though the probability that any of the
Eurozone members will be forced out of the
Eurozone is remote, but the risk does exist
nonetheless and U.S. banks must steel themselves, capital-wise, for just such an event,
unlikely as it may be.
According to the Bank for International
Settlements, as of March 2012, U.S. banks’
exposure to Eurozone debt, specifically from
Greece, Italy, Spain, Portugal and Ireland
(also known as the PIIGS countries), totaled
$770 billion or 7.5 percent of banks’ total
direct and other potential exposures. That
figure isn’t cast in stone as the data doesn’t
reflect any collateral or hedges the U.S.
banks might have put in place to lower their
exposure, nor does it capture a U.S. banks’
secondary exposure, i.e. exposure to a
German bank which is in turn exposed to a
Greek bank, etc.
One analysis suggests that the five top
U.S. banks, which have a combined exposure of $80 billion to the Eurozone’s banks,
have put into place $30 billion in Credit
Default Swaps intended to offset a potential
loss, making their net exposure $50 billion.
The three major credit ratings agencies,
namely Standard & Poor’s, Moody’s and
Fitch, concur that the largest U.S. banks have
been aggressively working to reduce their
direct exposure to the those highly indebted
Eurozone nations. Earlier this year, the
Federal Reserve conducted stress tests
among the largest U.S. banks which showed
that the majority of them would meet capital adequacy requirements even despite
large potential losses.
Though the U.S. banks’ exposure to the
crisis over in Europe isn’t as great as that of
those banks which are directly within the
Eurozone, they are not entirely isolated. Nor
are U.S. banks immune from the possibility
of default of state and municipal bonds that
they hold; any default or bankruptcy will
squeeze U.S. banks’ lending capacity and
compel them to lend less which is negative
for mortgages. Last but not least, given the
deterioration of the U.S. economy, it was no
wonder that U.S. banks were overwhelmed
by defaults on mortgage loans. The delinquency rates for the banking sector as a
whole over the past 12 quarters has ranged
between 10.14 percent and 11.25 percent
which tends to validate banks’ reluctance to
lend, however over the last quarter fewer
consumers defaulted on their mortgage
loans than at any time in the past five years.
Consumer confidence
Over the past several months, housing sector data has been gratifyingly upbeat, with
home prices, housing starts and builder confidence all on an uptrend. The Federal
Reserve’s commitment to low interest rates
and their implementation of Operation
Twist to support the housing market are
obvious drivers of that trend. For the last
quarter, mortgage originations rose to $471
billion from $395 billion in the second quarter, an increase of 19.24 percent.
Analysts anticipate that the housing
sector will continue to improve. A recent
news release from Fannie Mae’s Economic
& Strategic Research Group said that fiscal
uncertainty continued to pose challenges
to the economic outlook but they were
encouraged by an increase in consumer
spending which has fed into the U.S. housing market, in particular in home sales
and housing starts. Housing has been a
drag on the economy over the last few
years but they expect that this year the sector will contribute to economic growth
and GDP, with still more improvement
likely next year.
The bottom line is that since the 20082009 financial crisis the U.S. banking sector
has become increasingly conservative. As a
result, the banks’ ability to manage their
capital and even to maintain extra capital
specifically intended for mortgage lending
has substantially improved. Couple that
with a systematic reduction in the U.S.
banks’ exposure to the risky assets in general, and specifically the possible escalation of crisis events in Europe and that
means that mortgage markets are likely to
remain on firm ground for the foreseeable
future.
Barbara Zigah is a lead analyst at
DailyForex.com, a Web site that offers daily
market analysis, Forex broker reviews and
other timely market information. She may be
a new era
Why would the title industry not move
forward on its own initiative and
embrace these same safeguards?
Similarly, most lenders have had no
standard policy for reviewing and verifying CPLs, not just for their validity (i.e.
were they properly issues), but also to
verify the credentials of this to whom
the letters were issued.
Fannie Mae’s
recommendations were
ignored … now the CFPB
has issued a mandate
Richard Peter Stevens is of counsel at
Jones Waldo Holbrook & McDonough in
Salt Lake City, Utah, where he acts as
leader of the Insurance Regulatory
Practice Group. He also serves as Judge
Pro Tempore, Utah’s Third District Court,
was Assistant Commissioner for the State
A solution: Certification
and uniform standards
The emerging solution is to supplement
the vetting process currently used by
the lenders and title underwriters with
independent third parties to perform
objective scrutiny and verification of
the settlement agent’s identity and credentials.
The public wants change
an underserved sector of the market, it
allows us to grow rapidly without creating
a large liability for ourselves.
You mentioned 360 Mortgage is one of
the leaders in HARP 2.0 loan. Do you
feel a HARP 3.0 should be introduced?
Mark: I am certainly a proponent of
HARP 3.0, primarily because there are
a lot of people that financed their
homes on sub-prime mortgage securities beginning in the late 90’s and
through the collapse of the sub-prime
market. These people’s loans are nonagency, and for that reason, they
haven’t had the ability to refinance
through HARP 2.0. Those that would
qualify for the HARP 3.0, I envision,
have made their payments even
though they have been stuck at escalated interest rates of seven, eight,
nine, or even 10 percent. From an
economic perspective, I believe that
those who do not have the opportunity to refinance right now create a risk
for the recovery of the real estate
market, as well as the overall economy. It’s not consistent with the efforts
that the government has put forth to
help consumers. If these borrowers
have made payments, then it’s a safe
opportunity for the government to
invest in these individuals’ economic
well-being.
Do you anticipate that 360 Mortgage
will continue to hire account executives in 2012?
Mark: We will continue to grow in an
assertive manner where and when
opportunities present themselves. We
are recruiting high-quality account
executives throughout the U.S. and
those that are committed to forming a
unique partnership with mortgage
brokers to help them understand
today’s market challenges and opportunities, as well as build a significant
business, are the ones we want to
have join 360 Mortgage.
technology system keeps everyone
informed at every key point throughout the mortgage lending process. In
addition, 360 is one of only a handful
of mortgage banks that are exclusive
to the wholesale channel and do not
compete with the mortgage brokers.
Finally, 360 is one of the very few
lenders offering the HARP product
without any guideline overlays within
the wholesale channel.
Why do you think mortgage brokers
are well positioned to take back market share?
Mark: Consumers like having options,
and that will not change. And
because mortgage brokers have
access to many different lenders, as
opposed to just one bank, it becomes
a better solution for borrowers. We
have seen mortgage brokers begin to
come back to the industry over the
course of the last eight to 12 months
as they begin to understand that
market regulations are not going to
destroy the broker or wholesale
channel. We are confident that this
trend is going to continue. HARP 2.0
has certainly helped on this front, as
many mortgage banks do not understand, and therefore do not offer,
HARP 2.0. These banks have stringent
overlays or additional guidelines that
do not open the doors to consumers
who can and deserve to take advantage of HARP 2.0. Many originators
who left the broker channel and
entered the mortgage banking side of
the business are now unable to service clients they have had for years.
These originators might have put customers in loans in 2005 or 2006 on
homes which are now upside down.
Now the customers want to refinance, but because their former
mortgage broker now works for a
mortgage bank, they are unable to
receive a solution because of the
overlays being imposed. Mortgage
brokers are seeing the opportunity to
service clients in the wholesale channel, and we are seeing many professionals return to the broker side of
the business. And best of all, many of
them are looking to partner with 360
Mortgage for solutions.
53
v JANUARY 2013
What differentiates 360 Mortgage
from other wholesale lenders?
Mark: We are 100 percent exclusive to
wholesale and do not support a retail
presence. Also, what truly differentiates us from other wholesale lenders
is the technology we have developed
in-house. The intuitive aspect of our
In October 2012, an independent opinion poll was conducted by American
Money Services of New York seeking
public input on issues surrounding
mortgage closings. The results were
nothing less than fascinating, and
should serve as a wakeup call for the
settlement industry.
An overwhelming majority of respondents believe that only attorneys should
be permitted to act as settlement
agents. That the attorneys should be
more carefully regulated, that providing
for their independent certification
based on criteria including experience,
is essential to establishing public faith
in the process. Furthermore, 79 percent
indicated that they were unaware settlement agents are not all required to
have E&O coverage when handling their
real estate matters, 92 percent believe
that settlement agents should meet
minimum uniform standards or experience and skill besides being licensed, 93
percent believe that banks need programs to better identify people who
may commit fraud in mortgage closing
transactions, 97 percent believe banks
need policies and procedures to ensure
that whoever handles the closing funds
and documents is trustworthy, 44 percent believe banks giving mortgage
loans are doing enough to protect consumers from losses for fraud, while 56
percent say they are NOT doing
enough. Interestingly, in contrast to
public positions taken by some agent
groups, 93 percent of the public polled
in the survey stated that they would
feel more comfortable at a closing with
someone who had an independent,
vetted designation. Finally, 70 percent
of those polled believe that with
improvements such as additional protections from fraud at closing, lenders
can rebuild the public’s trust in financial industry without government
intervention.
After decades of allowing the title
industry to regulate the risks at closing
the lenders and faced with highly publicized plans for a Washington designed,
driven and enforced consumer protection regulations, the banks have already
moved toward initiating new safeguards and self-regulated programs.
360 mortgage group
Fannie
Mae’s
December
2005
Newsletter on “Preventing, Detecting &
Reporting Mortgage Fraud” states in
part that “mortgage lenders must know
their business partners and consider
using outside sources to selectivity
choose closing attorneys and settlement agents.” These guidelines mirror
the guidelines issued by the OCC for
supervised banks in 2001. Yet until
April 2012 there were very few lenders
that followed this sound advice.
Of course, in April 2012, the
Consumer Financial Protection Bureau
issued Bulletin 2012-3 which appears to
mandate that non-bank entities, mortgage lenders and brokers, take affirmative steps to adopt adequate risk management policies to prevent consumer
harm from third-party service
providers. This Bulletin reaffirms the
existing requirements for supervised
banks to non-bank entities that have
been in place for years.
Today lenders, for the most part,
have no comprehensive program to
assess the risk from the actions of settlements agents. Compounding the
problem, not one from the national or
state bar associations, notary association, or title agents association have
stepped forward with uniform standards, guidelines or requirements for
certifying the qualifications of the people who control the loan documents
and mortgage funds at closings nationwide.
Recently, the American Land Title
Association (ALTA) published a new set
of title agent “Best Practices,” which is a
welcome approach to publicizing uniform standards to a diverse industry.
However even in the best of faith, with
good intentions, voluntary industry
associations have few resources to
police their members, let alone turn
them over to law enforcement and
report them publicly for bad acts.
Unfortunately, instead of embracing
change in this area, some agents and
small industry groups have decided to
attack the messenger, or seek “exemptions” from compliance claiming that
either “there is no problem,” or that
“we
are
regulated
enough.”
Unfortunately, the escrow and closing
fraud loss figures don’t support either
position.
Without a new method of vetting,
monitoring and evaluating the risk of
settlement agents, and properly insuring them for both fraud and negligence
at closing, it is foolhardy for lenders to
continuing relying on the current closing protection letter as security for the
proper coordination and execution of
the mortgage loan closing process.
of Utah Insurance Department from
1999-2003 He serves on the Board of
Advisors of Secure Settlements Inc.
Andrew Liput has been a mortgage
industry attorney for nearly 26 years,
having served as a closing agent for
numerous banks, as well as legal, compliance and regulatory counsel to
numerous mortgage lenders. He founded
Secure Settlements Inc. in April 2009 and
presently serves as president and CEO.
JANUARY 2013 v
54
1st Advantage Mortgage ..................................................................................http://www.1amllc.com
1st Signature Lending, LLC ..................................................................................http://www.1stsl.com
360 Mortgage Inc..................................................................................http://www.360-mortgage.com
Aapex Financial Solutions, LLC ......................................................................http://aapexfinancial.net
ABC Family & Comm. Mtg. Co. ........................http://www.arizonamortgagenet.com/company_9.php
Academy Mortgage ................................................................................http://academymortgage.com
Academy Mortgage - Bakersfield CA ......................................................http://academymortgage.com
Acclaim Mortgage, Inc. ............................................................................http://Acclaimmortgage.com
ACT Appraisal, Inc....................................................................................http://www.actappraisal.com
Adecco - Encino, CA ....................................................................................http://www.adeccousa.com
Adecco Financial Services....................................................................................http://adeccousa.com
Advanced Mortgage SVF ......................................................................................http://sky-valley.com
Alliance School of Mortage Lending........................................http://www.alliancebusinessschool.com
Alliance West Mortgage, INC ....................................................http://www.alliancewestmortgage.com
Allied Mortgage Group ..................................................................................http://www.alliedmg.com
Alpha Mortgage ..........................................................................................http://Ifyouneedmone.com
Alpine Mortgage Planning............................................................................http://www.alpinemc.com
AmCap Mortgage, Ltd. ......................................................................http://www.MaryPapageorge.com
AMEC ..............................................................................................................http://www.amecinc.org
American Equity Mortgage ................................................................http://www.americanequity.com
American Fidelity Financial Services, Inc. ................................................http://www.illinoisrates.com
American Financing........................................................................http://www.americanfinancing.net
American Midwest Mortgage Corp. ........................................................................http://ammcorp.net
American Mortgage and Equity Consultants Inc., Mequon, WI ......................http://www.amecinc.org
American Mortgage Company ......................................................http://www.americanmortgage.com
America’s Choice Home Loans ..................................................................http://www.achlonline.com
AmeriFirst Financial Corp............................................................................http://www.amerifirst.com
AmeriFirst Home Mortgage ..........................................................................http://www.amerifist.com
AmeriNational Community Services, Inc. ..............................................http://www.amerinational.net
AmeriPro Funding ................................................................http://www.cespey.ameriprofunding.com
AmFam NUO ........................................................................................http://www.amfamseminar.org
Amtrust Mortgage Funding, Inc ......................................................................http://www.amtrust.net
Anchor Home Mortgage, Inc...............................................................http://www.theanchorteam.com
Angel Oak Funding, LLC ............................................................................http://angeloakfunding.com
Associated Bank ....................................................................http://www.associatedbank.com/careers
Associates Mortgage Company ......................................http://www.associatesmortgagecompany.com
Atlantic Home Loans, Inc. ..........................................................................http://www.ahlcareers.com
Augusta Financial, Inc. ..............................................................................http://www.petercosfol.com
BayBurg Financial, Inc ..................................................................................http://www.bayburg.com
BBG Home Loans ....................................................................http://bbghomeloans.com/join_us.php
Benchmark Mortgage..........................................................................http://www.iambenchmark.info
BofI Federal Bank ..............................................................................http://www.bankofinternet.com
Brickwood Mortgage Inc- Murrells Inlet, SC ..........................http://www.brickwoodmortgageinc.com
Bridge View Funding (soon to be Ever Funding Group) ................................http://pcmcaffiliates.com
Burke & Herbert Bank......................................................................http://burkeandherbertbank.com
C2 Financial Corporation....................................................................http://www.c2financialcorp.com
Cal Coast Financial Corp ..........................................................................http://www.calcoastmtg.com
California Mortgage Advisors, Inc.....................................................................http://www.CalMtg.com
Capital Financial Mortgage Corporation ....................................................http://www.capitalfmc.com
Capital Lending, Inc. ................................................................http://www.CapitalLendingOnline.com
Capital Mortgage ......................................................................http://www.capitalmortgageiowa.com
Carrington Mortgage Services, LLC ......................http://www.carringtonhomeloans.com/lo/JayCollins
Castle & Cooke Mortgage ........http://castlecookemortgage.com/find_location/branch/newportbeach
Castle & Cooke Mortgage, LLC ..................................................http://www.castlecookemortgage.com
Catalyst Lending, Inc.......................................................................................http://catalystlending.co
CBC National Bank ....................................................................http://www.cbcnationalbankmtg.com
CCowan and Associates ..................................................................................http://www.ccowan.com
Central Coast Home Loans ....................................................http://www.centralcoasthomeloans.com
City 1st Mortgage ....................................................................................http://www.city1stIdaho.com
Citywide Mortgage Associates, Inc. ................................................http://www.citywidemortgage.com
Clear Capital ........http://tbe.taleo.net/NA8/ats/careers/searchResults.jsp?org=CLEARCAPITAL&cws=5
CNC Mortgage, LLC ........................................................................................http://www.cncmrtg.com
Coastline Mortgage Consultants, LLC ............................................http://www.coastline-mortgage.com
Collateral Group, Inc...........................................................................http://www.collateralgroup.com
Colonial Family of Companies ..........................................http://www.colonialsavings.com/joblist.asp
Colonial Savings ................................................................................http://www.ColonialSavings.com
Commonfund Mortgage Corporation ..............................................http://www.commonfundmtg.com
Community Lending of America, Inc. ................................................................http://www.clakc.com
Consumer First Mortgage, Inc. ..............................http://www.mortgagescanbesimple.com/expansion
Contour Mortgage ..........................................................................http://www.contourmortgage.com
CoreFirst Bank & Trust..........................................................................http://www.CoreFirstBank.com
Corridor Mortgage Grouip........................................................................http://www.corridormtg.com
Covenant Mortgage........................................................................................http://www.covmort.com
CRESTICO ........................................................................................................http://www.crestico.com
Crown Financial Services ............................................................................http://www.crownloans.net
DAS Acquisition Company, LLC..............................................................http://www.usa-mortgage.com
Dimont & Associates................................................................http://hwww.dimontandassociates.com
DocVelocity ..............................................................................................http://www.docvelocity.com
Downs Financial ..........................................................................................http://www.downsinc.com
E Loans Mortgage ..............................................................................http://www.e-loanmortgage.com
Element Funding ..............................................................................http://www.elementfunding.com
EMB Lenders Inc. ....................................................................................http://www.EMBLenders.com
Emperiq Financial ........................................................................................http://www.emperiq.com
ENG Lending ..............................................................................http://www.mylowcostmortgage.com
Enterprise Lending Group, Inc ......................................................http://www.enterprise-lending.com
Envoy Mortgage ..................................................http://www.mortgageprosus.com/Whyworkforenvoy
Equity Mortgage Lending ......................................................http://www.equitymortgagelending.com
Equity Wave Lending ....................................................................http://www.equitywavelending.com
eValuation ZONE, Inc. ......................................................................http://www.eValuationZONE.com
Evergreen Pacific Mortgage, Stearns Lending, Inc. ....................http://www.evergreenpacificmtg.com
EXIT Mortgage LLC ..........................................................................................http://www.Exitmtg.com
Fairmore Financial..................................................................................http://fairmoreMortgage.com
Fairway Asset Mortgage (Falls Church, VA Branch) ..................http://www.fairwayassetmortgage.com
Fairway Independent Mortgage ..........................................http://www.fairwaywholesalelending.com
Fairway Independent Mortgage Corp. ..............................http://www.fairwaymtgny.com/Default.aspx
Fairway Independent Mortgage Corporation ........................................http://www.fairwaynymtg.com
Family 1st Mortgage................................................http://www.family1stmortgage.instantlender.com
FCF Services Inc......................................................................................http://www.fcfservicesinc.com
Fiduciary Funding, LLC ....................................................................http://www.fiduciaryfunding.com
Finance Austin Associates, LP ................................................http://www.financeaustinassociates.com
First American Home Mortgage, LLC................................................http://www.FirstAmericanHM.com
First California Mortgage ..................................................................................http://www.firstcal.net
First Centennial Mortgage Corporation ............................................................http://www.GoFCM.com
First Citizens Bank ....................................................................................http://www.firstcitizens.com
First Community Mortgage, Inc. ..........................................................http://www.fcmhomeloans.com
First Equity Financial ..............................................................................................http://fefloans.com
First Federal Bank of Boston ....................................................................http://www.firsteastern.com
First Home Equity Loans ..........................................................http://www.firsthomeequityloans.com
55
v JANUARY 2013
Legacy Lending Group - Salt Lake City, UT Branch ......................http://www.legacylendinggroup.com
LenderCity Home Loans ..............................................................................http://www.lendercity.com
Lenox Financial Home Loans ............................................................http://www.lenoxhomeloan.com
Liberty Home Mortgages LLC ..........................................................................http://www.myLHM.com
Loan Republic Financial, Inc. ................................................................http://www.loanrepublic.com
Loan Simple Inc of Dallas ............................................................http://www.northdallaslending.com
LoanCentral, LLC ......................................................................................http://www.LoanCentral.com
Loanontime ..............................................................................................http://www.loanontime.com
LoanSifter Inc. ............................................................................................https://www.loansifter.com
Long Grove Mortgage ............................................................................http://longgrovemortgage.com
Lynx Financial Group..............................................................................http://www.lynxfinancial.com
MAAG ............................................................................................................http://www.maagllc.info
Main Street Home Loans..........................................................http://www.mainstreethomeloans.com
Mainstream Funding Network, Inc. ........................................................................http://www.mfninc
Manhattan Mortgage..................................................................................http://www.mmcloans.com
Market Consulting Mortgage ............................................................................http://www.macmtg.biz
Marketplace Home Mortgage, LLC- Omaha, NE ............................http://www.marketplacehome.com
Merit Finance Inc ..................................................................................http://www.meritfinance.com
Metropolitan Funding Group Inc - Jenkintown PA ..........http://www.metropolitanfundinggroup.com
Michael Scott Properties & Finance......................................................http://www.resourcerealty.com
Mid Nation Mortgage Corp ............................................................................http://www.mnmgo.com
MidCountry Bank (MN) ....................................................................http://www.MidCountryBank.com
Midwest Family Lending Corporation, Iowa, Nebraska, and South Dakota ......http://www.midwestfamilylending.com
Mortgage Brokers Network Corp, Inc ..........................................http://mortgagebrokersnetwork.com
Mortgage Cadence, LLC.................................................http://www.mortgagecadence.com/home.aspx
Mortgage Financial Group ......................................................................................http://mfglends.net
Mortgage Investors Corporation ....................................................http://www.mortgageinvestors.com
Mortgage Resources......................................................................http://www.mortgageresources.com
Mortgage Security ................................................................................http://www.mtgsecurityinc.com
Mortgage Solutions Financial ......................................................................http://www.msfhome.com
Motown Financial, LLC..............................................................................http://motownfinancial.com
Mount Olympus Mortgage Company ..........................................................http://momco.com/careers
Mountain West Bank....................................................................http://www.mountainwestbank.com
MSource Training & Consulting, Inc. ........................................................http://www.msource24.com
MyCityLender..........................................................................................http://www.mycitylender.com
National Mortgage Alliance................................................http://www.nationalmortgagealliance.com
National Mortgage Staffing ................................................http://www.nationalmortgagestaffing.com
National Mortgage Staffing LLC ..........................................http://www.nationalmortgagestaffing.com
Nationwide Equities Corporation ..................................................................http://www.nwecorp.com
Nationwide Title Clearing, Inc.............................................................................http://www.nwtc.com
Neighborhood Loans ..................................................................http://www.NeighborhoodLoans.com
netbranchology.com ..........................................................................http://www.netbranchology.com
Network Funding LP ..........................................................................http://www.networkfunding.net
New American Mortgage ......................................................................http://www.newamerican.com
New England Home Mortgage LLC ............................................................http://www.nehmloans.com
New Horizon Funding ..................................................................http://newhorizonfundingcorp.com
New Penn Financial LLC ................................................................http://www.newpennfinancial.com
New York Community Bank ..........................................................................http://www.mynycb.com
NewDay USA........................................................................................http://www.newdaycareers.com
Noble Home Loans ........................................................................http://www.NobleHomeLoans.com
NOLA Lending Group ..............................................................................http://www.nolalending.com
Norcom Mortgage............................................................................http://www.norcommortgage.com
NOVA Home Loans ............................................................................http://www.novahomeloans.com
Omega Financial Services, Inc.....................................................................http://www.fhaomega.com
First International Bank & Trust - Fargo, ND ..........................................http://www.firstintlbank.com
First Mortgage Corp-Ontario-Euclid Branch ..........................................http://www.firstmortgage.com
First Mortgage Company..........................................................................http://www.allaboutfmc.com
First Mortgage Group..........................................................................................http://www.fmgllc.net
First Priority Financial ..............................................................................http://www.joinfpfiowa.com
First Priority Financial Solutions................................................................http://www.loansbykat.com
First Priority Financial, Inc ........................................................http://www.joinfpfnorthcarolina.com
First Priority Financial, Inc.................................................................................http://joinfpfohio.com
First State Mortgage Company, LLC ..................................................................http://www.thefsb.com
First Valuation ......................................................................................http://www.FirstValuation.com
FirstBANK Mortgage Partners ............................................................http://www.firstbankonline.com
Flagstar Bank ..................................................................................................http://www.flagstar.com
Foundation Financial Group ..................................................................................http://www.ffg.com
Franklin First Financial ....................................................................http://FranklinFirstFinancial.com
Freedom First Credit Union ....................................................................http://www.freedomfirst.com
Garret Associates, LLC ........................................................................http://www.garretassociates.com
Gateway Funding..............................................................http://www.gateway-funding.com/Mortgage
Gateway Funding Diversified Mortgage Services, L.P. ......................http://www.joingatewaynow.com
Gemstarr Mortgage Services ..................................................................http://gemstarrmortgage.com
Generation Mortgage Company ......................................http://www.generationmortgage.com/recruit
Golden Empire Mortgage Inc ........................................................................http://gemmortgage.com
Good Friend Mortgage Inc. ..........................................................http://www.goodfriendmortgage.biz
gotmortgage.com....................................................................http://www.gotmortgagewholesale.com
Greenlight Financial Services..............................................................http://www.greenlightloans.com
GSF Mortgage..............................................................................................http://www.gsflending.com
Guardian National Bank....................................................................................http://www.gnbkc.com
Gum Tree Mortgage........................................................................http://www.gumtreemortgage.com
Hall Lending Group, LLC ................................................................http://www.HallLendingGroup.com
HALO Capital ..................................................................................................http://www.sayhalo.com
Hamilton Group Funding..............................................................................http://www.hgfdirect.com
Hancock Mortgage Partners, LLC ............................................................http://www.hancockmtg.com
HKA Staffing Services ................................................................................http://www.hkastaffing.com
Home Loan Investment Bank ............................................................http://www.HomeLoanBank.com
Home Source Mortgage....................................................................................http://homesource.com
Home Star Mortgage Capital Corp. ................................................http://www.homestarmortgage.org
HomePlus Mortgage ....................................................................http://www.homeplusmortgage.com
HomeServices Lending ......................................................................................http://www.hsl-ga.com
Hometown Lenders ........................................................................http://www.hometownbranch.com
Hometown Lending/Bay Equity LLC ....................................................http://www.sedonalending.com
HomeTown Lending, a Division of Bay Equity................................................http://www.HTLend.com
Hyperion Bank......................................................................................http://www.hyperionbank.com
ICON Residential Lenders, LLC..............................................................http://www.iconwholesale.com
Ind Home Loans, LLC ..........................................................................http://www.indhomeloans.com
Inlanta Mortgage ............................................................................................http://www.inlanta.com
Innova Mortgage Services ..........................................................................http://www.innovamtg.com
Innovative Lending Solutions ......................................................................http://www.innolend.com
Integrity Mortgage & Financial Services, Inc...................................http://[email protected]
Interbank Mortgage Company ....................................................http://www.interbankwholesale.com
Interthinx, Inc ............................................................................................http://www.interthinx.com
Intertrustbanc ......................................................................................http://www.intertrustbanc.com
Invicta Finance INc ..............................................................................http://www.invictafinance.com
J. Stevens Mortgage ........................................................................http://www.jstevensmortgage.com
Kiel Lending (a Division of Mortgage Broker Services, Inc.) ......................http://www.kiellending.com
LeaderOne Financial Corporation ..........................................................http://leaderonefinancial.com
JANUARY 2013 v
56
One Mortgage, Inc. ..........................................................................http://www.OneMortgageInc.com
Open Mortgage ......................................................................................http://joinopenmortgage.com
Open Mortgage Home Lending ....................................................................http://openmortgage.com
Open Mortgage Home Lending ......................................................http://www.openmtg.com/jimvani
Open Mortgage LLC................................................................................http://[email protected]
Open Mortgage, LLC ..............................................http://www.openmtg.com/home/dianebrayden.epl
Opus Capital Markets Consultants ................................................................http://www.opuscmc.com
Pacific Residential Mortgage ............................................................http://www.pacresmortgage.com
Pacor Mortgage Corp ..........................................................................http://www.pacormortgage.com
Paramount Equity Mortgage ..............................................http://www.paramountequity.com/careers
Paramount Residential Mortgage Group ......................................................................http://prmg.net
Partners Mortgage Corporation ......................................................http://www.partnersmortgage.com
PennyMac Home Loan Solutions..............................................http://www.pennymacusa.com/careers
Peoples Home Equity ....................................................................................http://phewholesale.com
Peoples Home Equity (Virginia Beach) ........................................http://www.peopleshomeequity.com
PHH Corporation............................................................................................http://www.phhjobs.com
Pinnacle Lending Group, Inc. ............................................................................http://www.plgnv.com
Pinnacle Mortgage Group, Inc. ....................................................http://www.pinnacle-mortgage.com
Pinnacle Mortgage Group, LLC ..................................................http://www.mortgagebypinnacle.com
Plant City Mortgage Corporation ..................................................http://www.PlantCityMortgages.com
Platinum Home Mortgage Corp - Rolling Meadows, IL Corporate Branch..............http://www.platinumhomemortgage.com
Plaza Home Mortgage, Inc ........................................................http://www.plazahomemortgage.com
PMAC Lending Services Inc.................................................................................http://www.pmac.com
PRC Funding Corp......................................................................................http://www.prcfunding.com
Premier Lending ................................................................................http://www.PremierLending.org
Prestige Home Mortgage LLC ................................................http://www.prestigehomemortgage.com
Primary Residential Mortgage ..............................................http://www.DelawareMortgageLoans.net
Primary Residential Mortgage - Southern California ............................http://www.PrimeResWest.com
Primary Residential Mortgage, Inc........................................http://www.primarymortgagelender.com
Primary Residential Mortgage, Inc.........................................http://www.bestcoloradomortgages.com
Prime Appraisal Services ................................................................http://primeappraisalservices.com
PrimeSource Mortgage ....................................................................http://www.wewalkyouhome.com
Professional Mortgage Associates, Ltd.......................................http://professionalmortgageassoc.com
Professional Mortgage Lending Services ......................................http://www.myfinancingonline.com
Quality First Mortgage ..............................................................................http://www.qfmortgage.com
Quality Mortgage Lending ........................................................http://www.qualitymortgage4you.com
Rate One, Inc. The Mortgage People ..................................................http://www.rate1mortgage.com
RatePro Mortgage ............................................................................http://www.ratepromortgage.com
RealEstateBestJobs.com ................................................................http://www.RealEstateBestJobs.com
Regional Mortgage Corporation ....................................................http://regionalmortgageonline.com
Reliance First Capital, LLC ............................................................http://www.reliancefirstcapital.com
Republic State Mortgage Co. ..................................................http://www.republicstatemortgage.com
Residential Finance Corporation ............................................................http://www.myrfccareers.com
Residential Home Funding Corp. ................................................................http://www.rhfunding.com
ReverseMortgageOne, Inc. ........................................................http://www.reversemortgagesone.com
RFC Residential Finance Corp.........................................................http://www.residentialfinance.com
RPM Mortgage, Inc...................................................................http://www.rpm-mtg.com/careers.html
Rushmore Loan Management Services....................................................http://www.rushmorelm.com
SAFE Credit Union ..............................................................................................http://www.safecu.org
Sagamore Home Mortgage,LLC..............................................................http://www.sagamoremtg.com
Satori Mortgage ..................................................................................http://www.satorimortgage.com
Seaway Community Bank ....................................................................http://www.seaway-online.com
Service First Mortgage ........................................................................http://www.ServiceFirstMtg.com
Shield Field Services ......................................................................http://www.shieldfieldservices.com
Sierra Pacific Mortgage ............................................................................http://www.swmortgage.com
Sierra Pacific Mortgage Warwick Rhode Island ........................................http://www.myloan123.com
Silvercreek Finance Corp. ..............................................................http://www.silvercreekfinance.com
Sistar Mortgage ............................................................................................http://sistarmortgage.com
Skyline Home Loans ......................................................................http://www.skylinehomeloans.com
Smart Mortgage Centers, Inc. ............................................http://www.smartmortgagecentersinc.com
Smith Broady & Associates, Inc...............................................................http://www.smithbroady.com
Southeast Mortgage ....................................................................http://www.southeastmortgage.com
Southern Funding Alliance..................................http://www.southernfundingalliance.com/Innerloop
Southern Trust Mortgage, a subsidiary of Middleburg Bank ................http://www.southerntrust.com
Stearns Lending, Inc. ......................................................................................http://www.stearns.com
Stokes Mortgage Capital ..................................................................http://stokesmortgagecapital.com
Stonegate Mortgage ..............................................................................http://www.stonegatemtg.com
Stonehill Group....................................................................................http://www.stonehillgroup.com
Strock & Tanner Mortgage ..........................................................................http://www.stmcloans.com
suman khanna ....................................................................................................http://primerica.com
Summit Funding, Inc. ..................................................................................http://summitfunding.net
Summit Mortgage Corporation ......................................................http://www.summit-mortgage.com
Sun West Mortgage Company ............................................................................http://www.swmc.com
Syracuse Securities, Inc-Western New York ....................................http://www.syracusesecurities.com
Texas Reverse Mortgage, Inc. ....................................................................http://www.reversefacts.org
The Lending Company ..........................................................http://www.jointhelendingcompany.com
The Lending Company San Diego ..........................................................http://www.thelendingco.com
The Lending Partners ................................................................................http://www.tlpwebsite.com
The Mortgage Firm ..........................................................................http://www.themortgagefirm.com
The Mortgage House, Inc ....................................................................http://www.mortgagehouse.org
The Mortgage Lending Group, Inc. ....................................................................http://www.mlgla.com
Todays Realty Group & Loan Solutions............................................http://www.lendingandhome.com
Total Mortgage Services........................................................................http://www.totalmortgage.com
TotalChoice Financial Services......................................................http://www.totalchoicenetwork.com
Towne Mortgage Company ................................................................http://www.townemortgage.com
Unicor................................http://www.manta.com/c/mmnnfpc/unicor-global-limited?referid=10145
Union National Mortgage Co. ....................http://www.unionnationalmortgage.com/rancho/tdoherty
Union Savings Bank ..............................................................https://www.unionsavings.com/page.cfm
United Wholesale Mortgage................................................................................http://www.uwm.com
Urban Lending Solutions ....................................................................http://www.urban-ls.com/home
US Mortgage......................................................................................................http://usmortgage.com
USA Mortgage Solution, LLC ..............................................................http://usemortgagesolution.com
V.I.P. Mortgage Inc. ....................................................................................http://www.vipmtginc.com
VanDyk Mortgage Corporation ........................................................http://www.vandykmortgage.com
Vantage Mortgage Group, Inc. ..............................................http://www.VantageMortgageGroup.com
Versatile Mortgage L.L.C. ....................................................................http://versatilemortgagellc.com
Vitek Mortgage Group ................................................................http://www.vitekmortgagegroup.com
Volunteer Mortgage, Inc. ..................................................................http://volunteermortgageinc.com
W.J. Bradley Mortgage Capital, LLC ............................................................http://www.wjbradley.com
W.J. Bradley Mortgage Capital, LLC - Fresno Branch ......................http://mywjb.com/wjbfresno-team
Waukesha State Bank..........................................................................http://www.waukeshabank.com
Webster Bank ........................................................................................http://www.websterbank.com
West Town Savings Bank ..........................................................http://www.westtownsavingsbank.com
Weststar Mortgage ........................................................................http://www.weststarmortgage.com
Willow Bend Mortgage Company ..............................................http://www.willowbendmortgage.com
Wintrust Mortgage ..................................................................................http://wintrustmortgage.com
Zenith Mortgage Advisors, Inc. ............................................................http://www.zenithadvisors.com
FEATURED LISTINGS
Company Name: 360 Mortgage Group
Website: www.360mtg.com
Phone Number: 512-418-6000 or 866-418-2997
Email: [email protected]
Company Name: Calyx Software
Website: www.calyxsoftware.com
Phone Number: (800) 362-2599
Company Bio: Established in 2007, 360 Mortgage Group LLC is a privately owned mortgage
bank with a 100 percent focus on third party origination that has successfully utilized its hightechnology platform to provide better communication and customer service to business partners. An approved Fannie Mae seller/servicer and Ginnie Mae Issuer, 360 Mortgage Group is
headquartered in Austin, Texas and provides services in 31 states across the country. 360 Mortgage Group is emerging as a leader in refinancing under Home Affordable Refinance Program
(HARP) 2.0.
Company Bio: Calyx® is the industry leader in integrated, end-to-end mortgage solutions designed to help close more loans quickly and accurately with one system of record.
Positions Available: Mortgage Banking Consultant
Locations: Dallas, TX
Positions Available: Account Executives
Locations: Nationwide
57
Company Name: Campbell Financial Services, Inc.
Website: www.campbellfinancial.com
Phone Number: (951) 689-2511
Company Bio: American Financial Network Inc. is a direct lender with an experienced staff offering expertise in every area of mortgage lending. We have delegated authority to underwrite
and fund FHA, VA, USDA and conventional loan products in-house. But that’s just the beginning
of our service. Throughout the lending process, we provide regular loan updates and progress
reports so you always know the status of your loan. We also offer a special Mortgage Manager
service if you are considering refinancing your mortgage.
Company Bio: Campbell Financial Services, Inc. is a full-service mortgage company serving
California homeowners, buyers, sellers and Realtors since 1989. We are a professional firm
with experienced staff, and a commitment to providing top-notch service, a strong product
knowledge, and a depth of programs & investors. We seek driven team players with professional
attire, an excellent attitude, and the willingness to succeed and grow.
Positions Available: Loan Officers, Underwriter, Funder, Processor, Doc Drawer
Locations: Corona, Lake Forest, Huntington Beach, La Mirada, Tempe, Las Vegas
Positions Available: We are currently seeking experienced Loan Officers for our
Riverside/Corona office. Modern facilities, desk, phone & computer. In-house processor, inhouse DO/DU approvals, along with the support & experience to get your deals closed on time
and get you paid. Competitive BPS compensation. Must have NMLS license or be currently enrolled, and must possess strong customer service skills and a positive attitude.
Locations: Riverside, CA
Company Name: CBC National Bank
Website: www.cbcnationalbank.com
Phone Number: (678) 485-3933
Company Bio: Founded in 2002, AmeriSave offers competitive salary, good benefits and
work-from-home opportunities. AmeriSave is one of the nation’s leading and fastest-growing retail and third party mortgage lenders, closing over $8 billion in 2012 and servicing customers in all 50 states with over 700 employees nationwide. AmeriSave is positioned for
growth in the industry by combining expert technology with experienced leadership and
unparalleled innovation.
Company Bio: At CBC National Bank, we put our customers first. Since we opened our doors
in 1999, our commitment has always been to provide nothing less than an exceptional experience in everything we do. It is because of that unwavering dedication to service and our customers’ resulting loyalty that we remain a thriving regional bank. The experienced banking
professionals of CBC National Bank are active members of the community who have a vested
interest in the success of its citizens and businesses. We invite you to experience CBC National
Bank for yourself, where our dedicated professionals and array of banking conveniences ensure you always come first.
Positions Available: Correspondent Sales Managers (multiple positions) and Wholesale Account Executives (multiple geographies)
Positions Available: DE Underwriters, Loan Officers, Branch opportunities
Locations: Atlanta, GA
v JANUARY 2013
Locations: Nationwide opportunities
Company Name: AmeriSave Wholesale/Correspondent
Website: www.AmeriSaveTPO.com
Phone Number: (866) 970-7283
Company Name: American Financial Network, Inc.
Website: www.lowerpmt.com
Phone Number: (310) 993-9744
FEATURED LISTINGS
Company Name: CMG Financial
Website: www.cmgfi.com
Phone Number: (925) 498-6647
Email: agallow@cmgfi.com
Company Name: Equity Loans LLC
Website: www.equityloansllc.com
Phone Number: (877) 255-3554
Company Bio: CMG Financial is a multi-billion dollar lender focused on continuing to expand
our national footprint. Our lending channels include Wholesale, Retail, Correspondent and Strategic Field Engagement. Established in 1993, CMG Financial is a privately held nationwide Mortgage Bank, headquartered in San Ramon, CA and lends in 43 states. Our competitive
advantages include FNMA/FHLMC Direct Lender, HARP 2.0 Unlimited LTV Authority, top tier pricing and product mix, operational superiority, compliance and regulatory support as well as forward-thinking leadership.
Company Bio: Equity Loans LLC is a leader in the residential mortgage industry whose operations extend to more than 30 states.Headquartered in Atlanta, Ga., Equity Loans provides a full
array of lending resources when making Conventional, FHA, VA, Jumbo, Reverse Mortgages
and USDA loans. With a dedicated staff of experienced professionals, Equity Loans provides
exceptional pricing for thousands of clients annually, without compromising follow through and
customer service.
Positions Available: CMG Financial is strategically expanding our origination network. We are
currently recruiting NMLS licensed Loan Officers in various locations as well as remote opportunities nationwide!
Positions Available: Underwriters, Underwriting Managers, Funding Managers, Loan Officers,
Post Closers
Locations: Positions available in all licensed states.
Locations: San Diego, CA, Northern California, Phoenix AZ, St. Louis, MO
58
JANUARY 2013 v
Company Name: Data Facts Inc.
Website: www.datafacts.com
Phone Number: (800) 264-4110
Company Bio: Data Facts Inc is a 23 year old company that provides information you trust
and rely on to make sound lending, hiring and other business decisions. We work with many
banking & mortgage companies and employers nationwide. Our management team has over
100 years of combined industry experience. Data Facts’ CEO is the current NCRA president, and
we were awarded the prestigious NAPBS accreditation in 2012. We are committed to offering
the best customer service in the industry.
Company Name: First Guaranty Mortgage Corporation
Website: www.fgmc.com
Company Bio: Nation GNMA / FNMA Direct Lender in 40+ states offering Retail,
Wholesale, and Correspondent.
Positions Available: All Sales and Operational Positions in all channels
Locations: MD, VA, and Virtual
Positions Available: Marketing Design Manager, Employment Screening Account Executive,
Banking Solutions Account Executive, Compliance & Training Manager
Locations: Memphis, TN; Nationwide
Company Name: DocMagic, Inc.
Website: www.docmagic.com
Phone Number: (800) 649-1362
Company Name: Gateway Mortgage Group, LLC
Website: www.gatewayloan.com
Phone Number: (888) 360-3773
Company Bio: DocMagic is a leading provider of document preparation, delivery and compliance technologies for the National Mortgage Industry.
Company Bio: Gateway Mortgage Group is one of the nation’s largest, privately held full service mortgage companies. Founded in 2000, Gateway has consistently demonstrated industry
leadership and has been recognized for its overall revenue growth and creation of new jobs (INC
Magazine, INC 500 List – 2006). We believe in customers for life and everything happens in
house; from origination to underwriting, funding, and servicing. Gateway Mortgage Group is a
direct issuer with GNMA, a direct seller-servicer with FNMA and is licensed to originate and
service mortgage loans in 23 states. With robust lines of business and a strategic eye on the future, Gateway Mortgage Group delivers on its tradition of success and performance. Gateway
Mortgage Group, LLC is an equal housing lender. NMLS 7233
Positions Available: Compliance Analyst
Locations: Torrance, California
Positions Available: Area and Branch Managers, Loan Originators and Loan Assistants
Locations: Any state where Gateway holds a license.
FEATURED LISTINGS
Company Name: Guaranteed Home Mortgage Company, Inc.
Website: www.joinGHMC.com
Phone Number: 888-329-4462
Company Name: HUNT Mortgage
Website: www.huntmortgage.com
Phone Number: (716) 633-3700
Company Bio: Guaranteed is adding mortgage offices nationwide. Join a lender who invests in YOU! In our 20-year history, we’ve grown to include hundreds of mortgage professionals lending coast-to-coast. Our solid reputation, strategic planning and exponential growth
have resulted in Guaranteed being named in Inc.’s 500 list of fastest-growing U.S. companies.
Why join Guaranteed? - Wide-ranging products that include FHA, FNMA, FHLMC, VA, USDA,
203K, Reverses and Jumbos - We pay state licensing & training - Immediate marketing and/or
infrastructure investment - Aggressive compensation plans and volume bonuses - Sales, marketing, accounting/payroll, IT, training support.
Company Bio: Hunt Mortgage was founded in 1984 as the Devere Capital Corporation. We are
a wholly owned subsidiary of Hunt Real Estate Corporation, one of Western New York’s largest
real estate firms. Hunt Real Estate Corp. was founded in 1911. It is currently under the leadership of Peter F. Hunt, grandson of the founder. In addition to Hunt Mortgage, Hunt Real Estate
Corporation affiliates include: Network Title, Fisher Homes, Realty Club, Realty Express, Hunt
Vanner Insurance and Hunt Columbus Era.
Positions Available: Retail branches, bank managers, loan originators
Locations: Buffalo, Rochester, Syracuse, Albany, Arizona, Florida
Positions Available: Mortgage Consultants, Processors, Underwriters, Closers
Locations: 22 states coast-to-coast; headquarters in White Plains, NY
59
Company Name: Integrity Home Loan of Central Florida, Inc.
Website: www.inthomeloan.com
Phone Number: (407) 688-4122
Company Bio: HomeBridge is a national wholesale lender offering both conventional and government products. We are committed to providing the highest value to our clients through competitive pricing, unique product offerings, superior customer service, and state-of-the-art
technology.
Company Bio: Integrity Home Loan is a Direct Lender on all residential real estate. We are A+
rated with the Better Business Bureau. Currently, we are licensed in eleven states including
AL, CA, CT, FL, GA, MD, MI, NJ, PA, TN, and VA. Integrity Home Loan is Florida’s largest fully integrated privately owned mortgage company, and is the fastest growing direct lender in Florida.
We are actively seeking licensed loan originators to assist us in cultivating our realtor purchase
business. Experience necessary!
Positions Available: Currently expanding and hiring experienced Wholesale Account Executives
nationwide
Positions Available: Currently hiring licensed loan officers & originators with experience in
handling realtor purchase business for the mortgage industry.
Locations: Lake Mary, Florida; Orlando, Florida; Maitland, Florida; Southfield, Michigan
Company Name: Interthinx
Website: jobs-interthinx.icims.com/jobs/intro
Positions Available: Branch Managers
Positions Available: Underwriters, Auditors, Team Leads/Supervisors, Processors.
Locations: AL, TN, FL, GA, TX, NC/SC, MS, LA, KY, CO
Locations: Tempe, AZ, Agoura Hills, CA, Santa Ana, CA, Winston Salem, NC, St. Louis, MO,
Austin, TX, Jersey City, NJ, Colorado Springs, CO
v JANUARY 2013
Company Bio: “Hometown Lenders Helps you Grow Your Branch and Skyrocket Your Income!”
Our Corporate Recruiting Team puts the producers that you want in your branch and our Marketing Gurus work closely with you to help implement our proven marketing maps in your
branch. Our Support Team set the industry standard for branch support, and is headed up by a
DE underwriter. Call us today and find out how we can help you grow your branch and skyrocket
your income this year!
Company Bio: Interthinx, a Verisk Analytics subsidiary, with more than 20 years of experience,
is a leading national provider of comprehensive risk mitigation solutions focusing on mortgage
fraud, collateral risk and valuation, regulatory compliance, forensic loan audit services, loss
mitigation, and loss forecasting. Winner of multiple awards for technology, Interthinx helps
clients reduce risk, increase operational efficiencies, satisfy regulator demands, manage data
verification, remain compliant and mitigate loan buybacks. We are experiencing tremendous
growth and are looking for qualified, experienced and talented underwriters, auditors and
processors to join our world class team.
Company Name: Hometown Lenders
Website: www.hometownbranch.com
Company Name: HomeBridge
Website: www.homebridgewholesale.com
FEATURED LISTINGS
Company Name: LENDirect Mortgage, Inc.
Website: www.LENDirect.com
Phone Number: (860) 829-5363
Company Bio: LENDirect Mortgage is an industry leader in the Connecticut marketplace. Providing Conventional Fannie Mae/ Freddie Mac, FHA, VA, HARP, and Jumbo loans we have grown
with the reputation of being a low rate leader while providing an exceptional customer experience. Our marketplace consists of internet, local print, and a vast local referral network. As a
result of this growth, LENDirect Mortgage has an immediate need for experienced originators
that are looking to provide the very best for their book of business. LENDirect Mortgage is
dedicated to providing you the tools you need to succeed with aggressive compensation plans,
program availability, marketing support, extremely low rates and an in house support staff.
Take your business to the next level and call us today!
Company Name: New Day USA
Website: newdayusa.com
Company Bio: NewDay USA is a nationwide VA, FHA and reverse mortgage lender that helps
active military personnel, veterans and their families and seniors achieve their financial and
housing goals. NewDay operates a builder-correspondent lending division, is the exclusive
provider of mortgage lending for VFW members and is among the nation’s top reverse mortgage lenders. NewDay USA University trains new and established professionals and the company is a philanthropic partner of Purple Heart Homes and the National Coalition for Homeless
Veterans.
Positions Available: Loan Officers, Underwriters, Processors
Locations: Fulton, Maryland; Chicago, Illinois; Newark, Delaware
Positions Available: Branch Managers, Sales Managers, Loan Officers, Loan Officer Assistants
Locations: Connecticut
JANUARY 2013 v
60
Company Name: McLean Mortgage Corporation
Website: www.mcleanmortgage.com
Phone Number: (301) 440-4261
Company Name: OnQ Financial
Website: www.onqfinancial.com
Phone Number: (303) 221-1386
Company Bio: Top 100 independent lender headquartered in the Northern Virginia area. In four
years, McLean Mortgage has grown to a $1.5 billion organization because of our focus on production support. Our leaders are former producers and our operations department works as a
team to support high levels of customer satisfaction.
Company Bio: On Q is a retail-only independent mortgage banker founded in 2005. Based in
Scottsdale, AZ, we currently have 30 offices in AZ, CA, WA, CO, TX, NC, and GA, are approved
to lend in a total of 21 states, and are a Fannie Mae approved seller/servicer. We will fund
nearly $2 billion in residential mortgages in 2012 and we are seeking experienced mortgage
professionals to join us.
Positions Available: Loan Officers and Branch Managers looking to join a leading lender in the
Mid-Atlantic region. We look for quality team players who thrive in a culture which is independent
with major levels of support — including technology, marketing and training. Great pricing, compensation plans and product lines combined with a team-oriented service culture which gets purchases closed on time. We look for those who want to help grow our tradition of quality in an
independent non-bank environment. Contact Troy Toureau. Equal opportunity employer.
Positions Available: Mortgage Consultant
Locations: Greater Denver Area
Locations: Virginia, DC, Maryland and North Carolina.
Company Name: Meadowbrook Financial Mortgage Bankers
Website: www.mfmbankers.com or mortgagesalesjob.com
Company Name: PB Financial Group Corp
Website: www.pbfinancialgrp.com
Phone Number: (323) 935-5555
Company Bio: Meadowbrook is expanding nationally and looking to hire for all positions.
Company Bio: Direct Private Money/Hard Money Lender
Positions Available: Branch Managers, Team Leaders, Mortgage Loan Originators, Processors, Underwriters, Closers, Shipping
Positions Available: Office Assistance/Office Processor
Locations: Mid-Wilshire Los Angeles, CA
Locations: Hauppauge, Garden City, NYC NY, Denville NJ, Iselin NJ
FEATURED LISTINGS
Company Name: Real Estate Mortgage Network
Website: www.remnwholesale.com
Phone Number: 866.409.4381
Company Bio: Real Estate Mortgage Network is a national wholesale lender, servicing brokers
and bankers across the country.
Company Name: TagQuest
Website: www.tagquest.com
Positions Available: Account Executives, Underwriters
Company Bio: TagQuest is a marketing firm created specifically for the ever changing mortgage industry. We know what it takes to produce quality marketing campaigns and, most importantly, how to turn these campaigns into sales leads that convert to customers.
Positions Available: Sales and Production
Locations: Medford, OR - Seattle, WA
61
Company Name: Residential Home Funding Corp.
Website: www.rhfbranch.com
Phone Number: 866.319.4442
Company Bio: TD Bank, America’s Most Convenient Bank® is one of the 10 largest banks in
the U.S., with deep roots in the community dating back more than 150 years. The Bank offers
a broad array of retail, small business and commercial banking products and services to nearly
8 million customers through its extensive network of nearly 1,315 convenient locations throughout the Northeast, Mid-Atlantic, Metro D.C., the Carolinas and Florida. TD Bank operates in 15
states and the District of Columbia. In addition to banking products,TD Bank and its subsidiaries
offer customized private banking and wealth management services through TD Wealth® and
vehicle financing and dealer commercial services through TD Auto Finance.
Positions Available: Loan Officers
Company Name: Titan List & Mailing Service, Inc.
Website: www.titanlists.com
Company Bio: Silvercreek Finance is a Chicago-based mortgage lender focused on providing
efficient financial solutions to loan officers looking to succeed in today’s mortgage industry.
Our value proposition is simple:
Provide our Loan Officers the tools and support systems they need to help them focus on their
clients while being more efficient throughout the loan origination process. Transparent pricing,
sales and marketing support, great bonus plan and the opportunity to grow within a company
that’s built around you – the loan officer.
Company Bio: What started out as a data list broker in 1999, Titan List and Mailing has evolved
into a premier provider of direct mail and data for the mortgage industry. With no maximum capacity restrictions, Titan List and Mailing can accommodate clients of all sizes, from the simple 3,000 piece postcard order to complete drops of over 100,000 pieces in as little as 2 days
processing, all handled under one roof.
Positions Available: Silvercreek is currently looking for qualified licensed mortgage loan originators throughout the State of Illinois in various sales positions including Loan Officers, Sr.
Loan Officers, Sales Managers and Regional Managers.
Locations: Deerfield Beach, FL
Locations: Open territories throughout the State of Illinois.
Positions Available: Marketing, SEO & Sales
v JANUARY 2013
Company Name: Silvercreek Finance
Website: www.silvercreekfinance.com
Locations: CT, DC, DE, FL, GA, MD, NC, NJ, NY, PA, SC, VA
Locations: DC Market, Florida Market, Massachusetts and Rhode Island, Metro PA, (Greater
Philadelphia, Suburban PA, South Jersey), Metro Suburban NY (Long Island, Suburban NY and
CT),Northern NE and Upstate NY and South Carolina Market
Positions Available: Branch Managers, Loan Officers, Team Leaders, Processors, Closers, Underwriters
Company Bio: Residential Home Funding was established in 2000 by former loan officers who
together possess more than 50 years of banking experience. In addition, every Residential Home
Funding manager has more than 20 years average experience for each of their respective departments of sales, underwriting, closing, secondary, quality control, and accounting services. Residential Home Funding is a direct lender that currently staffs close to 300 employees nationwide.
We are one of the fastest growing companies in the and we are licensed in 16 states with 25 licensed branch offices on the east coast. Its Corporate Headquarters is located in White Plains, NY,
and its Operational headquarters are located in Parsippany, NJ. We are a HUD direct endorsed
lender and have an outstanding rating with the Better business Bureau (BBB).
Company Name: TD Bank
Website: www.td.com
FEATURED LISTINGS
Company Name: Total Mortgage Services, LLC
Website: www.totalmortgage.com
Phone Number: (203) 707-5712
Company Name: WCS Lending
Website: www.wcslending.com
Phone Number: (916) 996-1620
Company Bio: For the past fifteen years, Total Mortgage has combined the personal service and
integrity of a local lender with the low rates, convenience, speed, and know-how of a national
lender. Our mortgage experts work with clients individually to create financing options that
make the most sense for them. We are one of the fastest-growing financial services companies in America: Total Mortgage has made Inc. Magazine’s list of the fastest-growing U.S. companies for three consecutive years, from 2009 to 2012.
Company Bio: We are a fortune 5000 company, opened in 2001. We close both retail and
wholesale loans. Our headquarters are in Boca Raton, FL, but we are opening a very large fulfillment center in Concord, Ca and looking for all positions. We originate/close conforming,
jumbo, government and USDA loans.
Positions Available: Experienced Underwriters - Traditional, FHA DE, VA, Loan Officers, Loan Originators, Sales Assistants (recent college grads), Account Executives, Set Up Associates - Retail and
Wholesale, Processors, Processing Assistants, Appraisal Processors, Funders, Closing Associates,
Closing Support, Post-Closing / Suspense, Post-Closing / Shipper, Broker Coordinators, Internet Marketing Specialists (recent college grads), Mortgage Banker Trainees , Entry Level Web Developers
Positions Available: Wholesale Account Executives, underwriters, funders, doc drawers, set
up/submission specialists, funding asst’s, quality control specialist, CSR’s, HR generalist, I.T.
desktop support, receptionist, administrative assistant.
Locations: The positions are available in our Concord, Ca location.
Locations: Milford, CT
JANUARY 2013 v
62
Company Name: United Mortgage Partners
Website: www.umpresmac.com
Phone Number: (407) 574-8827
Company Name: W.J. Bradley Mortgage Capital, LLC
Website: www.wjbradley.com
Phone Number: (303) 825-5670
Company Bio: National Lender Looking to add Branches Nationwide
n Direct Fannie Mae Seller/Servicer - No Overlays
n Direct Endorsed Mortgagee for FHA, VA and USDA
n One of the Best Compensation Plans in the Industry
n No Company Imposed Caps on Earnings
n Full Suite of Products Including HARP 2 with Unlimited LTV
n 24 - 48 hour turn times
n Branch Coordinator Available for Personalized In-Office Assistance. We’ll Come to Your Location.
Company Bio: W.J. Bradley Mortgage Capital, LLC is a privately held independent mortgage
banking firm headquartered in Centennial, Colorado with centralized fulfillment operations in
Salt Lake City, Utah. With more than 67 branch locations, located predominantly in the Western region of the United States, the Company is licensed in 20 states and currently operates with
more than 1,300 professionals.
Positions Available: Branch Managers, Loan Officers
Positions Available: Loan Officers, Sr. Mortgage Loan Processors, Mortgage Loan Processors,
Underwriters, Branch Support Representatives, Doc Prep Specialists, Document Review Specialists, File Room Coordinators, Funding Coordinators, Java Software Developers, Mortgage
Funders, Pre-Closing Auditors, VOE Coordinators
Locations: Colorado, California, Texas, Arizona, Utah, Nevada, Illinois, Washington
Company Name: United Wholesale Mortgage
Website: www.uwm.com
Company Name: XINNIX
Website: www.xinnix.com
Phone Number: (678) 325-3500
Company Bio: Headquartered in Troy, Michigan, United Wholesale Mortgage (UWM) underwrites and provides closing documentation for residential mortgage loans originated by mortgage brokers, banks, credit unions and correspondents. UWM provides unparalleled service
with its deep understanding of the mortgage process using its talented team of account executives, underwriters, closers and funders, who have years of experience with intricate knowledge in wholesale. UWM’s positive teamwork and dedication to exceptional customer service
has resulted in continued success and growth that has spawned expansion.
Company Bio: XINNIX is a national sales and leadership training company with a sole focus on
the mortgage industry. XINNIX offers web-based instructor led interactive training, self-study
courses, live in-branch trainings, keynote speeches, sales and leadership coaching along with
accountability and measurement tools. XINNIX serves mortgage companies all over the nation;
from the very largest to the individual loan officer. XINNIX assists organizations and individuals
in growing and enhancing their business through various mortgage training programs.
Positions Available: Inside Account Executive, Senior Underwriters, Junior Underwriters,
Closers
Positions Available: Course Developer, Sales Trainer, Marketing Manager, Operations Assistant,
Inside Sales, Outside Sales
Locations: Alpharetta, GA
Locations: Troy, Michigan; Remote opportunities available.
360 mortgage group
What are the top challenges that
mortgage brokers need to be prepared for in 2012 and beyond?
Mark: Obviously, we have been in an
extended refinance boom, and eventually we are going to see interest
rates increase. The Federal Reserve
has committed to keeping interest
rates low through 2015, although
that is always subject to change.
When rates do turn around and start
to increase to normal levels, mortgage brokers and originators need to
be prepared to go back to more traditional marketing. They will need to
once again engage in channel marketing through builders and real
estate agents and make sure there is
a large focus on generating purchase
business, as opposed to refinance
business.
I do want to emphasize that the
mortgage broker will remain an integral part of financing the American
dream of owning a home. Mortgage
brokers that have good relationships
operate at the highest standards of
integrity, and partner with a wholesale lender like 360 Mortgage will be
very successful. I have no doubt that
the hyper-local relationships mortgage brokers have in their communities will remain and grow stronger,
especially as they adopt best practices and reposition themselves as
advocates for borrowers.
Austin, Texas?
Mark: Yes, we do have a centralized
operation system, which is very efficient. We are 100 percent paperless
and with our technology, it’s unnecessary for us to have underwriters,
closers, and funders among others in
each regionalized marketplace. We
have better efficiency in production
by having our operations team centralized. We believe our team is one
of the best in the business.
What is the breadth of 360 Mortgage’s
product offerings? Is the company
planning on delivering any new products to the marketplace?
Mark: Currently, the bulk of our production is HARP 2.0. However, we also
offer government products. We have
not seen a tremendous, or even
viable, demand for jumbo products in
the secondary market, so we are not
really participating in that product.
We are also offering any and all products offered by Fannie Mae, FHA and
VA.
for
By Greg Frost Jr.
A few years ago, I returned to my home state of New Mexico
and the Frost Mortgage Headquarters with an idea. This idea
was to set an example for our community through fellowship and goodwill towards the people that help protect and
serve us. Months later, we started a “Law Enforcement
Appreciation” cookout. It began as a little BBQ in our office
parking lot to now feeding more than 100 law enforcement officers and support staff at a time, almost twice a month. The result … an appreciative police
force and other companies and neighborhood organizations following our
example, doing right by the men and woman that keep us safe.
A few months ago, my dad (Greg Frost Sr.) my cousin (Chris Frost) and I
were sitting in a room looking back on our accomplishment with the “Law
Enforcement Appreciation” cookouts and thought … how do we do this for
the men and women of our armed forces? How do we show them our
appreciation for their duty, diligence and sacrifice for us?
The first answer was simple. Make sure every one of our loan officers
became Certified Military Housing Specialists through the USA Cares
Program (www.usacares.org). This is a phenomenal program run by great
people who are passionate about making sure our returning military and
veterans can achieve one of the great American dreams, homeownership.
The second answer was to reach out and work with our local active military and veteran community. Find out what they needed and how we
could help. Through a business partner, we were introduced to the
founders of Paws & Stripes (www.pawsandstripes.org). It turns out they
have an appreciation for BBQs as well, and I began personally cooking for
and catering their graduation ceremonies. From there, Frost Mortgage
became an avid supporter of this very important non-profit organization
which provides service dogs for wounded military veterans diagnosed with
Post-Traumatic Stress Disorder (PTSD).
The final answer was simple … “Zero for Heroes.” Starting in December,
Frost Mortgage began an initiative to waive any and all lender closing costs for
any veteran or current member of our armed forces. This program now also
extends to the heroes of our city, including police officers, firemen, nurses, doctors, paramedics, and last but not least, our teachers. The “Zero for Heroes” program has been well-received in our market thus far and we all know numerous
heroes in our respective communities that can benefit from a program such as
this. I urge everyone in our industry to go forth and do likewise this year.
v JANUARY 2013
Greg Frost Jr. is director of business development and marketing for the Frost
Group of Companies. He may be reached by phone at (505) 615-7195 or email [email protected].
“The entire staff at Frost Mortgage is
dedicated to ensuring that our veteran population receives the utmost
care when it comes to purchasing a
home. They work tirelessly to make
sure that the veteran and their families come first. Purchasing a home
is no easy task. Frost Mortgage has
made it possible for my family and
I to be prospective homeowners. As
a disabled veteran who has served
my country, I take great pride in
working with true Americans. Those
who have served their country with honor have a friend in Frost Mortgage.”—
Jim Stanek, co-founder, Paws & Stripes (pictured here on the right with his
service dog “Sarge” and Greg Frost Jr.)
63
What is 360 Mortgage’s current average loan amount and FICO score?
Mark: Our current average loan
amount is about $208,000 and our
FICO score is in excess of 720. There is
an abundance of quality borrowers
looking to refinance or purchase a
home, and we are finding there is a
lot of good business to be written.
What are 360 Mortgage’s primary Our process is being well received.
areas of geographic penetration?
For HARP 2.0 loans funded through
What are the areas that 360 Mortgage Sept. 30, 2012, the average LTV was
will focus on expanding in next?
127 percent, with a FICO of 755 and
Mark: We are currently licensed in 31 for the pending pipeline entering the
states, and we are continuing to hire fourth quarter of 2012, the average
quality individuals within those LTV has increased to 130 percent,
states. We have had the longest pres- with a FICO of 738.
ence in the Southwest and West up
through mountain states, such as On a personal note, how did you get
Colorado and Utah. In 2011, we into the mortgage profession and
began to expand into the Southeast. what are some of your outside interWe expect to continue attracting ests?
higher-quality producers and firm up Mark: I entered the mortgage busiour presence within that region ness in 1992. I had been in the techbefore moving up the Eastern nology sales arena, and a very good
seaboard. The states we currently do friend of mine was doing very well in
business in are Alabama, Arizona, the mortgage industry as a result of
California,
Colorado,
Florida, the early 1990s refinance boom, so I
Georgia, Idaho, Illinois, Indiana, decided to get into that same indusKansas,
Kentucky,
Louisiana, try. I then became one of the top
Maryland, Michigan, Minnesota, salespeople for the company I worked
Missouri, Nevada, New Mexico, North for. In 1995, I opened my own mortCarolina, Ohio, Oklahoma, Oregon, gage brokerage company and built
South Carolina, Tennessee, Texas, that company over the course of the
Utah,
Virginia,
Washington, next fifteen years, becoming a regionWisconsin, Wyoming and the District al retail mortgage banker. In 2007,
of Columbia. Our goal is to enter new with the collapse of the industry, I
states on a selective and strategic saw the opportunity to grow a combasis and become a nationwide pany and fill a void that was in the
wholesale lender in a responsible marketplace, and went out and raised
and reasonable manner.
capital. That company is now 360
Mortgage Group.
Tell us about your operational infraMy outside interests are hunting
structure. Do you have one central- and fishing and I also enjoy sports
ized wholesale operations center in and outdoor events.
Zero
Heroes
Accounting and Audit
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www.UnitedStatesAppraisals.com | (866) 562-0123
We work as hard as you to be America’s Choice for consumers
needing a home loan, and we work just as hard to be America’s
Choice for top branch managers, loan originators and mortgage
professionals.
United States Appraisals combines nationwide coverage with
personalized, world-class service. From fast turn-times to
rigorous quality assurance and delivery guarantees, we bring
much needed confidence to the valuation process.
Fast Turn Times – We guarantee it!
Underwriter-Ready reports – the first time!
100% Compliance with all regulations and guidelines
Customary and Reasonable Fees and a weekly pay cycle
Cutting-Edge Technology provides real time reporting
and full integration for a seamless business process
Call us at (866) 562-0123 for a free consultation.
Or visit www.UnitedStatesAppraisals.com to learn more.
Call 516-409-5555, ext 4,
to register your company.
Are you a mortgage origination professional?
Are you exceptional?
Is your company?
MO
RTGAGE PRO
NMP
SSIONAL
•
•
•
•
•
Branch Opportunities
Call Jonathan Fowler, Director of National Production at 713-821-9750
to learn how you can have a better, more rewarding career.
NATIONAL
Meadowbrook is hiring Branch Managers and Loan Originators.
We are licensed in NY, CT, PA, NJ, MD, FL, MA, NC, pending in
SC, NH, and RI.
FE
NATIONAL MORTGAGE PROFESSIONAL MAGAZINE
Meadowbrook Financial Mortgage Bankers
1-888-MEADOW8 (632-3698)
www.mortgagesalesjob.com
Meadowbrook loan originators make 33% more money with
Meadowbrook than with any other company they worked for.
Enjoy the benefits of a low compare ratio, a lead management system with an endless supply of leads, A tier investors, and much
more.
StreetLinks industry-leading products include LenderPlus™
full-service appraisal management, LenderX™ lender-executed
appraisal management software and SCORe™ appraisal
reviews and a series of valuation analysis tools for services.
Our commitment to quality and service, embodied by our
partnership approach to clients and appraisers, continues to
set us apart as the nation’s premier lending solutions partner.
For more information, visit www.streetlinks.com.
JANUARY 2013 v
We fund your start-up costs
Corporate Recruiting Team that puts producers in your branch
Direct Connection with the branch managers who are crushing it
Proven "Marketing Maps" that will double your business
"Next Level Support" to help keep you growing
Get a BPS payback from our volume incentive, or build a margin
for yourself into your rate!
Full capability to control your loan officers' pricing.
Create, Customize and Optimize your branch's compensation plan.
Full Eagle Lender and In-House Underwriting, Closing and
Fundings
Currently looking for high-quality producers in: TX, CO, NC, SC,
NJ, OH, GA, AL, TN, FL, MS, LA, KY
MAG
A
ZINE
If your ad was here, you
would be seen by 191,181
looking for resources to help
them in their business.
Gateway Mortgage Group has immediate opportunities in 16
states. Our origination teams enjoy:
• A local branch- and origination-centric model
• The perfect balance of corporate support
• Competitive compensation plans
And best of all, our entire platform is built with one thing in mind—
helping local originators take their success to the next level.
Visit our careers page on LinkedIn. Follow us.
Or call us at 888.360.3773.
And we will show you YOUR Gateway to a Great Way of Life™!
Gateway Mortgage Group, LLC
is an equal opportunity employer. NMLS 7233
HQ: 6910 E. 14th Street, Tulsa, OK 74112
Branch Opportunities (Cont’d.)
It’s Time…to join one of the Top Mortgage Bankers as Branch
Managers or Loan Officer NOW! Why? You Have Our Guarantee!
Our Guarantee
We will not leave you stranded and alone on an island. Our
seasoned operational rollout team will ensure you a smooth transition to our branch platform. Our RHF University will train everyone on your staff. We stand by our reputation of providing ongoing support and communication to every branch , every day.
You’re our #1 Priority! We are a Full-Service Banker, a Direct
Endorsed FHA and Fannie Lender. We are a TRUE 48 hours in
Underwriting and Closing. We will close your loans on time. We will give the best service to you and your clients
We will give you full access to all marketing and development
services from loan origination to hiring to specialty products. We
are the Leader in marketing, technology and strategic business
partnerships. We assist our Branch Managers in hiring, training
and motivating their staff. We will help you build your team.
CALL NOW 866-319-4442 or EMAIL [email protected] or
VISIT www.rhfbranch.com
Compliance Consultants
Continuing Education (Cont’d.)
BROKERS COMPLIANCE GROUP
167 West Hudson Street – Suite 200
Long Beach | NY | 11561
[email protected]
www.BrokersComplianceGroup.com
Mortgage Seminars
MortgageSeminars.com
248-403-8181
Division of Lenders Compliance Group, BCG is the first and only
mortgage risk management firm in the U.S. devoted to supporting
the unique compliance needs of residential mortgage brokers.
Leveling the Playing Field for Mortgage Brokers
Low Cost Monthly Membership Includes:
• Free Weekly Hotline
• Access to Subject Matter Experts
• Policies and Procedures
• Webinars
*Special Pricing*
• Quality Control
• Exam Readiness
• Licensing
• Legal Reviews
Jeff Mifsud, a former FHA Direct Endorsed Underwriter trained by
HUD and an FHA Originator for over 15 years, is publisher of The
FHA Originator, a monthly marketing newsletter which gives you…
•
•
•
•
FHA guideline news to keep you updated
FHA Marketing tips and downloads that are easily customized
Personal development tips to help you develop your character
Full access to all previous FHA marketing downloads!
No contracts so sign up today and give yourself the tools to brand
yourself as The FHA Expert in your marketplace.
Cost: Only $19.95 per month per physical office location.
Watch for our 8 Hour NMLS Continuing Education Course
Credit Reporting
Branch Recruitment
LENDERS COMPLIANCE GROUP
167 West Hudson Street - Suite 200
Long Beach | NY | 11561 | (516) 442-3456
www.LendersComplianceGroup.com
Guaranteed Home Mortgage Company, Inc.
Headquarters: 108 Corporate Park Drive Ste. 301
White Plains, NY 10604
(888) 329-GHMC | [email protected]
The first full-service, mortgage risk management firm
in the country, specializing exclusively in mortgage compliance.
Pioneers in outsourcing solutions for mortgage compliance.
Our Compliance Team Will:
Leverage your existing employees.
Improve your productivity.
Collaborate on projects.
Make the most of your current technology.
Bring innovation to your company.
Be a strong cultural fit.
Free you to focus on your core competencies.
Give you access to world-class expertise.
Lower your total operational costs.
Coaching
Credit Plus, Inc.
31550 Winterplace Parkway, Salisbury, MD 21804
800-258-3488
www.creditplus.com
Credit Plus, Inc., a leader in credit information services, is dedicated to providing mortgage professionals with an unsurpassed
level of service and technology. We provide lenders and brokers
the best tools and support to close more loans faster and cheaper. Offering the most innovative, reliable and robust credit reporting platforms on the market, Credit Plus goes BEYOND BUNDLEDTM by combining key products, such as credit reports, scoring tools, Undisclosed Debt Monitoring powered by Equifax, flood
reports, title services, AVMs, Warranted AVMs, tax return verifications and more, while providing stellar customer service. "! ! " ('&%% %
%
$
%
'!#%
('&%""!%
'% %
%%
%
! NMLS approved 20 hour Prelicensing Education
NMLS approved Continuing Education
Live Classroom Instruction, Web Delivery and Private Events
The SAFE-Smart ExamCram, Powerfully Innovative Test Prep
“A Full Service Lending Information Company”
A/E: Jeremy “Judge” Honor
877-MFI- DATA
Jeremy@MfiCreditSolutions.com
www.MfiCreditSolutions.com
Credit reports • Rapid rescore • Reissue • Supplements
IRS & Social verification • VOE / VOI • Title • Flood
Appraisals / BPO / AVM • Fraud alerts • Red Flag • LQI
MOST AGGRESSIVE PRICING!
The Lykken on Lending Radio Program
Sign-on weekly at nmpmag.com/lykkenonlending
v JANUARY 2013
('&%$#"! '%
%
%
'!#%
Abacus Mortgage Training and Education
PO Box 780
Summerfield, NC 27358
888-341-7767 • www.GetYourEd.com
Continuing Education
Immediate investment in your business. We pay licensing, initial
marketing, more. Next Day Pay™. Total support. Easy transition.
Full suite in-house products. Mortgage banker & top-level broker
28 states|20+ years|On Inc.500 list of fastest-growing companies
65
Direct Mail
TagQuest
www.myharpleads.com
TagQuest.com
888-717-8980
TagQuest is a full service marketing firm created specifically for
the ever changing mortgage business. We have tested and proven
campaigns for FHA -VA - HARP - CONVENTIONAL loan types.
TagQuest knows what it takes to generate quality leads whether
through direct mail marketing, telemarketing, internet leads, data
lists, tracking systems, or any combination thereof. TagQuest will
brand your company, prepare targeted marketing campaigns that
generate interest in your company, and most importantly, show
you how to turn sales leads into repeat customers.
Document Preparation
Loan Origination Systems
Robertson | Anschutz
800-343-7160
[email protected]
www.radocs.com/info.html
Calyx Software
800-362-2599
[email protected]
www.calyxsoftware.com
Mortgage Loan Closing Document Preparation & Compliance Services
Fulfillment Services Including Pre-Funding Review & Post-Closing
Interfaces with Leading Loan Origination Software Systems
Foreclosure – Loss Mitigation Services
Document Preparation (SaaS)
Docs on Demand
800-343-7160
[email protected]
www.docsondemand.info
Mortgage Loan Closing Document Preparation & Compliance Software
Loan Documents and Compliance – Web-based/SaaS – Easy to Use
Intuitive – Secure and Reliable – Integrates with Leading LOS
Free Setup and Support – Extensive Compliance Audits
66
JANUARY 2013 v
Titan List & Mailing Services, Inc.
1020 NW 6th St Suite D, Deerfield Beach, FL. 33442
(800) 544-8060
www.TitanLists.com
Employment Services
Titan List and Mailing Services, Inc. is a direct marketing agency
that offers a complete range of advertising and design services.
The firm specializes in data lists (mail/phone), printing, direct mail,
graphic and website design as well as internet and SEO marketing. Starting in 1998, the company has, since then employed highly skilled individuals who have considerable experience regarding
marketing trends. The company manages the complete in-house
campaign themselves including Design, Data Lists, Printing,
Postage, and Mailing.
Calyx Software, the #1 provider of mortgage solutions is dedicated
to offering reliable and affordable software that streamlines, integrates and optimizes the loan process. Find out how PointCentral
can streamline your business and create compliant processes today.
Marketing Services
8520 Macon Rd. Ste 2
Cordova, TN 38018
[email protected] | 615-477-7118
MCMF developed My Guide, a Premier Credit & Financial
Education Magazine that you can customize with your LOGO
and Ad Pages to feature your organization as well as provide
your borrowers a go-to-guide for credit and financial resources,
empowering them to make the most informed financial
decisions.
This 16 page, full color, quarterly publication, provides financial
literacy tools in a concise, unbiased, easy to understand format.
My Guide is offered in traditional magazine print, as well as our
newest electronic flipbook version, bringing “flipping through a
magazine” experience right to your desktop
Contact me today to learn more about this one of a kind
opportunity!
Recruitment
If your ad was here, you would be seen by
191,181 Mortgage Professionals looking for
resources to help them in their business.
The Resource Registry is a directory of lenders (wholesaler or retail that are
recruiting), affiliated services and resources that is seen by more than
191,181 active Professionals.
Call 516-409-5555 ext. 4 to register your company.
Leads
TagQuest ................................................................888-817-8980
CUSTOMIZE YOUR CAMPAIGNS! FHA - HARP - VA Leads,
Loan Modification, Debt Consolidation, Direct Mail, Data List,
Live Transfers, Internet Leads – tagquest.com
Valuation Services
Veros Real Estate Solutions
2333 North Broadway, Suite 350 • Santa Ana, CA 92706
(866) 458-3767
www.veros.com • @verosres (Twitter)
Veros Real Estate Solutions is a premier technology leader in the mortgage industry and proven leader in enterprise risk management and
collateral valuation services. Veros combines the power of predictive
technology and data analytics for advanced automated solutions.
Wholesale/FHA
Wholesale Lenders (Cont’d.)
Wholesale/Residential
Real Estate Mortgage Network, Inc.
www.remnwholesale.com
866-933-6342
CBC National Bank
3010 Royal Boulevard South, Ste. 230
Alpharetta, GA 30022
888-486-4304
REMN has FHA, USDA, 203k, VA and Conventional solutions to fit
the needs of your customers. But, at REMN, our most valuable
product is our people. The REMN Sales and Operations Teams
give you - and your loans - the time and attention that you
deserve. Even better, at REMN, same-day approvals are guaranteed.* You can rely on us to get the little, yet vital, things taken
care of on time.
CBC National Bank is one of the nation’s fastest growing
wholesale lenders offering Conventional, FHA, VA, and USDA.
The most important aspect of being a leader in today’s market is
the ability to build and maintain a meaningful relationship with
each customer. We understand that these meaningful relationships coupled with competitive pricing and efficient technology
are the pillars of today’s lending environment.
Interested in joining our Wholesale Division?
Send your resume to
[email protected]
We are hiring Loan officers in the Southeast. GA, FL, AL, TN,
NC,SC.
Contact Gabe Santiago our Corporate Recruiter at
[email protected] for further details.
Big Enough to MATTER…Small Enough to CARE
Icon Residential Lenders
(888) 247-4207
www.iconwholesale.com
Icon Residential, a wholly owned subsidiary of Grand Bank N.A.,
is one of the nation’s leading Conforming, FHA and VA
wholesale lenders. Our strength, success and longevity is
derived from delivering customers service that exceeds our
valued business partners expectations. With deep industry
knowledge, financial stability and innovative technology we
provide the solutions for our business partners to fund loans
while avoiding risk.
•
•
•
•
•
Direct Access to Underwriters
Competitive Pricing
Innovative Technology
Paperless Solution
Bank Funding
67
United Wholesale Mortgage
800-981-8898
www.uwm.com
Wholesale Lenders
HomeBridge is a national wholesale lender offering both
conventional and government products. We are committed to
providing the highest value to our clients through competitive
pricing, unique product offerings, superior customer service,
and state-of-the-art technology.
The Lykken on Lending
The Resource Registry
is a directory of lenders
(wholesaler or retail that are
recruiting),
affiliated services and resources
that is seen by more than 191,181
active Professionals.
Sign-on weekly at
Call 516-409-5555, ext. 4
nmpmag.com/lykkenonlending
to register your company.
v JANUARY 2013
RADIO PROGRAM
HomeBridge
5 Park Plaza, 10th Floor
Irvine, CA 92614
www.homebridgewholesale.com
Mortgage
Professional
Resource
Registry
UWM has a full set of mortgage products to meet all of your
lending needs with Conventional, FHA, USDA (Rural
Development), VA, Jumbo, HARP 2.0 and DU Refi Plus. With
UWM’s ELITE program, you will receive the most aggressive
conventional rates and pricing in the industry for your elite
borrowers! Discover Lending Made Easy with United Wholesale
Mortgage!
calendar
NATIONAL MORTGAGE PROFESSIONAL
OF EVENTS
To submit your entry for inclusion in the National Mortgage Professional
contact information, to [email protected].
Tuesday-Thursday,
February 12-14
Texas Mortgage Bankers Association
Annual Southern Secondary
Marketing Conference
“Connections Focused
on Your Future”
Marriott Woodlands Waterway
Hotel & Convention Center
1601 Lake Robbins Drive
The Woodlands, Texas
For more information,
call (512) 480-8622
or visit TexasMBA.org.
Sunday-Tuesday, March 10-12
2013 NAMB Legislative &
Regulatory Conference
Washington, D.C.
call (972) 758-1151
or visit NAMB.org.
Tuesday-Friday, February 19-22
Mortgage Bankers Association (MBA)
2013 National Mortgage Servicing
Conference & Expo
Gaylord Texan Hotel
& Convention Center
1501 Gaylord Trail
Grapevine, Texas
call (800) 793-6222
or visit MortgageBankers.org.
Thursday-Saturday,
February 21-23
National Short Sale and REO
Summit 2013
Gaylord Texan Hotel
& Convention Center
1501 Gaylord Trail
Grapevine, Texas
call (800) 793-6222
Sunday-Thursday, March 10-14
30th Anniversary … 2013 Regional
Conference of Mortgage Bankers
Associations
Trump Taj Mahal Casino Resort
1000 Boardwalk
Atlantic City, N.J.
call (732) 596-1619
or visit MBANJ.com.
Sunday-Wednesday, April 14-17
2013 National Fraud Issues
Conference
Westin Diplomat
3555 South Ocean Drive
Hollywood, Fla.
call (800) 793-6222 or visit
MortgageBankers.org.
MAY 2013
Sunday-Wednesday, May 5-8
2013 National Secondary Market
Conference & Expo
New York Marriott Marquis
1535 Broadway
New York, N.Y.
call (800) 793-6222
Wednesday, March 13
Florida Association of Mortgage
Professionals Broward Chapter
2013 Annual Trade Show
“It’s Mardi Gras Time”
Broward County Convention Center
1950 Eisenhower Boulevard
Fort Lauderdale, Fla.
call (954) 205-0022
or visit www.browardfamp.org.
2013 Commercial/Multifamily
Servicing & Technology Conference
Arizona Biltmore
2400 East Missouri Avenue
Phoenix, Ariz.
call (800) 793-6222
Wednesday, March 13
2013 Maryland Association of
Mortgage Professionals Annual
Conference
Maritime Institute
692 Maritime Boulevard
Linthicum Heights, Md.
call (410) 752-6262
or visit www.mdmtgpros.org.
2013 Legal Issues/Regulatory
Compliance Conference
Boca Raton Hotel
501 East Camino Real
Boca Raton, Fla.
call (800) 793-6222
RTGAGE PRO
O
M
NMP
SSIONAL
JANUARY 2013 v
MARCH 2013
Wednesday-Saturday, March 6-9
2013 Mid-Winter Housing Finance
Conference
The Ritz-Carlton Bachelor Gulch
130 Daybreak Ridge • Avon, Colo.
call (800) 793-6222
FE
68
FEBRUARY 2013
Sunday-Wednesday, February 3-6
2013 CREF/Multifamily Housing
Convention & Expo
Manchester Grand Hyatt San Diego
1 Market Place
San Diego, Calif.
call (800) 793-6222
APRIL 2013
Sunday-Wednesday, April 14-17
2013 National Technology in
Mortgage Banking Conference
& Expo
Westin Diplomat
3555 South Ocean Drive
Hollywood, Fla.
call (800) 793-6222 or visit
MortgageBankers.org.
NATIONAL
Calendar of Events, please e-mail the details of your event, along with
MAG
AZIN
E

W - National Mortgage Professional Magazine

Transcription

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