Daily Mortgage News & Commentary

Apr. 12: Sec. mktg., MLO jobs; customer support, servicing products; upcoming webinars cover everything from origination to servicing

I received this over the weekend: “I just want to make enough money to live a life that doesn’t include Microsoft Teams in my work life.” Many people in residential lending began their careers before Teams even existed, and I love it when I am listening to someone in their 60s or 70s talking about a lack of people in their 20s and 30s entering our biz. One could make the argument that people in their 60s or 70s are holding onto jobs that someone in their 30s wants or would be better at… But experience is important. Speaking of time and money, recall that it has already been four years since one of the biggest effects of the financial crisis rolling off: Those who had short sales and foreclosures in 2009-2010 reached the end of the 7 year no-mortgage period and became eligible to borrow again, in time for this huge increase in appreciation. Capital is certainly being deployed: Just look at Softbank investing $500 million in Better Mortgage. (By the way, the audio version of today’s commentary is available here and is sponsored by FBX, an Informa Financial Intelligence business.)

Employment

2-hour underwriting turn times! Recently named a Top 10 Large Mortgage Company to Work For by National Mortgage News, Geneva Financial Home Loans is filling Branch Manager and Loan Officer positions in 44 states. With in-house operations, Division Manager Breton Macdonald is actively delivering 2-hour UW turn-times with purchase transactions closing in as fast as 10 days and is looking for branches and LOs to replicate the model nationwide. Pair the operations speed with GenevaGO Human Friendly Homebuying™ Mobile Mortgage App and highly competitive rates and Geneva and you’ll be closing your deals rapidly while getting paid 175+ BPS! Geneva was also recently named the #1 Mortgage Lender by consumers in Arizona, home of its Corporate Office, on the annual Ranking Arizona Consumer Poll of best businesses. Explore Branch and Originator opportunities.

Assurance Financial is continuing to grow production, add retail branch offices, and expand its production reach into the midwestern U.S., particularly the Colorado, Arizona, Kansas, and New Mexico markets. “We are searching for an established Regional Production Manager to help create and develop mortgage origination branches in the new midwestern territory, someone who is an outstanding talent and proven retail sales leader with a demonstrated track record of hiring and managing multiple production offices across several states. We are a profitable and well-capitalized full-service mortgage banker offering an entrepreneurial, customer-focused sales support environment, FNMA/FHLMC/GNMA direct status, and well-positioned to compete for more growth with state-of-the-art operations/support technology. This new Regional Production Manager position will report to the CEO. If you are interested in joining a dynamic group of mortgage bankers and building a dynamic production team, please contact Paul Peters, CMB or visit AssuranceMortgageLO.com to learn more.”

Lender & broker products and services

Imagine how productive you could be if you started each morning with the day’s game plan already mapped out by a team of professionals! With Top of Mind’s Surefire CRM, LOs never have to wonder where to start. Surefire has poured more than 450 years of industry expertise into developing artificial intelligence that helps LOs focus on their most valuable leads first, every day. See for yourself during MBA’s Spring Conference & Expo next Wednesday, April 21 (the Tech Solutions showcase starts at 12:30 pm). Prefer a firsthand look under the hood? Request your 1:1 demo here.

Some things leave an impression. It’s been more than 40 years and residents of Petaluma, California, are still talking about Christo’s Running Fence. And Bank of England Mortgage felt such an impact from their first 90 days with Sales Boomerang, they’re still talking about it, saying “We recovered $45M in closed loan volume over the first 90 days… That could have been closed by a competitor but were saved thanks to Sales Boomerang’s timely data intelligence.” Lenders using Sales Boomerang see an average 20-40% lift to loan volume and 65% borrower retention rate for around $299 per acquired loan: a 20x ROI. Make a mark on your pipeline today.

The refinance market is more competitive than ever, and Caliber Home Loans gives our brokers the edge with Sprint. The innovative program uses groundbreaking technology to streamline the underwriting process and gets qualified borrowers refinancing quicker and easier than ever before. Consider it the fast lane for simple, easy-to-use conventional loan refinancing. Caliber Sprint is a win for you and your customers. Email Caliber today to find out how to become an approved wholesale lender.”

The old adage “March winds and April showers bring May flowers,” highlights the beauty that can emerge when two forces work together. Similarly, within a lender’s servicing efforts, servicing/subservicing operational reviews and servicing QC should be working together to create a comprehensive servicing risk management strategy. A comprehensive servicing risk management strategy might not be the first thing that comes to mind when you’re thinking of beauty, but for MQMR and its sister firm Subsequent QC, the Holland tulip fields (which are in bloom right now) don’t hold a candle to a comprehensive servicing risk management strategy. In fact, this free white paper outlines the ways in which a lender can plant the seeds to ensure their servicing risk management strategy blooms bright and strong.

Enjoy 3 business day priority purchase underwriting and a (.250) LLPA incentive for all Conventional, VA, and FHA purchases with the Freedom Mortgage Wholesale Division’s Big Spring Purchase Tee Off! Offer a hole in one experience with every new Conventional, VA, and FHA purchase! Plus, offer more buying power for your Jumbo VA borrowers with no maximum loan amount and no down payment for eligible* VA borrowers. To learn more, check out Freedom’s rate sheet or email AskFreedom@FreedomWholesale.com to have an Account Executive contact you. *Subject to credit approval, requires full entitlement; for purchases and cash-out refinances only and not applicable for loan amounts<= $144,000. For IRRRLs, VA will continue to guaranty 25% of the loan amount without regard to the Veteran’s available entitlement and/or county loan limits.

When your borrowers need assistance, who do they turn to? How does your team enable borrowers to get the information they want, when they need it? Mortgage companies such as AmeriSave, APM, and PRMG turn to Capacity to ensure borrowers find the information they need and receive a more personalized experience. By connecting to your knowledge base and disparate information, Capacity provides 24/7 level-0 support for borrowers. Capacity correctly and instantly answers more than 84% of all prospective and current borrower questions without any human intervention. Bottom line, Capacity allows you to take care of borrowers with superior customer experience and 24/7 automated support. Deploy within 30 days. Request a demo.

Events & training

5 demos, 3 stack shares, 1 convenient session! No need to spend hours researching vendors. No headache around scheduling multiple demos. We built OriginatorTech to bring you the best in the industry, in a way that works for you. The rapid-fire format ensures you make the most of your time, so you can move on to making more business. Hear from Mortgage Cadence, Capacity, Sales Boomerang, Zenly by Calyx Software, and Blueprint Solutions as well as directly from your peers. Register here to join tomorrow, Tuesday, April 13 at 11AM ET.

 

Join MIAC on Thursday, April 22 at 2:00 PM EST for its latest webinar: Understanding MSRs in Today’s Volatile Market. With rising rates having such a positive impact on MSR values, liquidity is at a high, with prices not seen since 2018. In this webinar, you will learn how to navigate the MSR market in this rising rate environment. Topics include current MSR values, MSR liquidity, the pandemic’s lingering impacts on the MSR market and expectations for 2021. This webinar will feature presentations and discussions by MIAC’s experts: Dick Kazarian, Managing Director of MIAC’s Borrower Analytics Group, with Mike Carnes and Jennifer Howell, Managing Directors of MIAC’s MSR Valuations Group. Hosted by MIAC Analytics. Webinar registration is complimentary: Reserve your spot today!

As you know the market is changing and with fewer refi’s, Lower inventory, and tougher competition from Fintech, mortgage lenders and agents are faced with several challenges with buyers. Barry Habib and Real Estate Connection (REC) will be working together to provide a path for lenders to “Pivot to Purchases” and grow their business in the new digital mortgage environment. We are hosting the first of several webinars and training on May 3rd, at 12PM ET, in which we will go over both tactical and practical strategies for the future.

Registration is now open for the second annual virtual Mortgage Industry Pandemic Summit (MIPS 2.0) hosted by Altisource® in partnership with Five Star, MBA, IMN, and HousingWire. It is now one year later since the first MIP Summit, and the mortgage industry continues to undergo numerous changes, some good and some bad.  Now, as vaccinations continue to be rolled out and moratoriums come to a close, this summit will address what this will mean for the industry over the coming year. The second annual full-day virtual event will be held on May 6, and feature numerous insightful sessions and panels addressing the impact that the COVID-19 pandemic continues to have on the mortgage and real estate industry. Over 30 industry leaders will discuss what to expect in originations, servicing, government, and the single-family rental market as we move toward both a health and economic recovery. Register now.

Register for Angel Oak Mortgage Solutions upcoming webinar on Tuesday, April 13th “Learn To Save Deals And Increase Referrals With Non-QM”. This webinar focuses on each individual non-QM product offered by Angel Oak.

On Wednesday, April 14th, discover how to give Real Estate Investors the tools and flexibility they need to start or grow their real estate investment business with recent enhancements to Carrington Investor Advantage. Register for Non-QM Course 104: Getting The Advantage With Investment Loans.

Join the Build for Rent Expert Panel on April 14th at 10:00AM PT as they discuss the BFR market and different strategies to acquire, build and grow rental portfolios in 2021 and beyond.

 

Lunch and Learn with AzAMP: on April 14th for a Social Media Training. This training will count towards one hour of RI credit. Register HERE and get ready to learn. *This class is free to AzAMP members and $10 for non-members.

Register for the Federal Reserve of Atlanta webinar “Light at the End of the Tunnel??” on April 15th Key Discussion Points will look at economic recovery, dynamics impacting CRE, what is driving the rise in 10YR Treasury yields and will it impact CRE Cap Rates?

Ameris Bank Wholesale invites you on April 21st at 4:00 PM EST/1:00 PM PST to a Zoom webinar with Shelley Golden, Personal Branding Image Consultant & Zoom Makeover Expert. Shelley created a timely and innovative 5 step ZOOM MAKEOVER process to improve your online screen presence. This Zoom Makeover will help companies, professionals and speakers transform and improve their online presence for business, speaking or videos by increasing trustworthiness, improving engagement, and elevating your personal brand.

Vice Capital Markets will be sponsoring the next Mortgage Collaborative’s Rundown with Rich and Rob, featuring Chris Bennett. Rich Swerbinsky, the COO of The Mortgage Collaborative, Chris, and I will be discussing current events in the mortgage market for 30 minutes on April 23rd: “The Rundown with Rob and Rich.”

Register for the TMBA Southern Secondary Market Conference, May 2-4 at the Omni Ft. Worth Hotel, Ft. Worth, Texas. Industry-related speakers, numerous networking opportunities, priceless industry information and updates at THE “must attend” event of 2021. Keynote Speaker Michael Lewis, Best Selling Author of The Fifth Risk, Moneyball, The Blind Side, and The Big Short.

Register here for the Mortgage Action Alliance. And a link to register for the May 11-12 National Advocacy Conference can be found here. The MBA’s Mortgage Action Alliance (MAA), the mortgage industry’s grassroots lobbying effort, has grown to over 70,000 members, nearly tripling in size in 2020! We must keep the growth and engagement going with many key industry issues on our plate now and coming at us. MAA “Action Week” is May 3-14 and coincides with the National Advocacy Conference on May 11-12. MAA Action Week is an industry-wide, dedicated campaign aimed at getting real estate finance professionals involved in advocacy. Contact MAA Chairman Steven Plaisance or Rosie Sheehan at the MBA.

Capital markets

Black Knight, a premier provider of integrated technology, services data, and analytics, is seeking a senior level secondary markets professional to maintain and grow strategic client relationships. The Senior Hedge Account Manager will work with Black Knight’s clients employing Compass Analytics’ robust, market-leading hedging solution, CompassPoint, to oversee trade execution, risk management, best execution analysis and loan sales. This role will also act in a leadership capacity by mentoring junior trading analysts and providing clients with strategic guidance, model training and hedge advisory services. The ideal candidate must have a strong background in secondary marketing, pipeline hedging and securitization. Please click here for the detailed job description and to apply or contact Bridget Drumm for more information.

Turning to the economy, and therefore interest rates, recently released economic data reflected a rapidly improving U.S. economy as more people become vaccinated, social mitigation restrictions are lifted, and stimulus hits bank accounts. The ISM Services Index jumped in March, which is a record headline number dating back to the inception of the series in 1997. Similar to data from the manufacturing index, services are also facing significant price pressures, strong demand, and supply chain constraints. Job openings were also strong at 4.9 percent, the highest since the series inception in 2000. Openings were predominantly high in professional and business services, healthcare and leisure and hospitality. One negative from last week was that initial jobless claims increased to 744,000 although many market participants looked past this number given the other positive news surrounding the economic rebound. Mortgage applications fell for the week ending April 2 as the average rate for a 30-year fixed ticked up. Lastly, meetings from the last FOMC meeting indicated that most members view the present inflationary pressures as temporary, however they cautioned that data towards the end of the year will determine if they will be forced to change monetary policy.

On Friday U.S. Treasury yields ended last week rising slightly, though little was attributed to a delayed PPI report for March showing a significant increase in inflationary pressure at the producer level. On a year-over-year basis, the index for final demand was up over 4 percent, the highest since September 2011, while processed goods for intermediate demand posted the largest jump since August 1974 and the index for unprocessed goods for intermediate demand surged to its highest since November 2006. The talk now will be if or when we see those inflationary pressures potentially spill over into consumer prices.

Before Fed Chair Powell appeared on 60 minutes last night, Vice Chair Clarida had a wait-and-see message for investors, saying the central bank is looking for “hard numbers” on reaching price stability and employment goals before adjusting rates.

This week’s economic calendar includes CPI tomorrow, the Fed’s Beige Book Wednesday, retail sales on Thursday, and Michigan sentiment on Friday. There are a few housing-related releases as well with homebuilder sentiment on Thursday and housing starts and building permits on Friday. Supply should be the main story today, with a $38 billion 10-year Treasury note auction this afternoon. On the demand side of the equation, today’s MBS purchase schedule by the Desk of the NY Fed is tied for the smallest daily support on the current schedule at $4.8 billion over two operations. We begin the week with Agency MBS prices down/worse a tick or two from Friday and the 10-year yielding 1.67. Lastly, for those that like forecasts, Dallas Fed President Kaplan said Friday he wouldn’t be surprised to see 10-year Treasury yields rising to pre-pandemic levels of 1.75 percent to 2 percent as the economy recovers.

For some fun on a Sunday, I went skydiving yesterday for the first time.

This guy strapped himself to me, we jumped out of the plane.

As we plummeted, he yelled over the wind, “So… How long have you been an instructor?”

Visit www.robchrisman.com for more information on our industry partners, access archived commentaries, or to subscribe to the Daily Mortgage News and Commentary. If you’re interested, visit my periodic blog at the STRATMOR Group web site. The current blog is, “Ops: Reducing Friction for the Borrower”. The Commentary’s podcast is live and at any place you obtain your podcasts (like Apple or Spotify).

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(Market data provided in partnership with MBS Live. For free job postings and to view candidate resumes visit LenderNews. This newsletter is designed for sophisticated mortgage professionals only. There are no paid endorsements by me. For up-to-date mortgage news visit Mortgage News Daily. For archived commentaries, or to subscribe, go to www.robchrisman.com. Copyright 2021 Chrisman LLC. All rights reserved. Occasional paid job & product listings do appear. This report or any portion hereof may not be reprinted, sold, or redistributed without the written consent of Rob Chrisman.)