July 13: LO jobs; construction, warehouse products; free LO comp webinar; shifting UW criteria

Here’s a quiz. The demand demographics for housing in the U.S. aren’t letting up – people want a roof over their head. But, in this market, figure out (a) and (b) where a huge pipeline of new condos, a dwindling number of foreigner buyers, volatile stock markets, and tax changes that make ___a___ less attractive may be hurting ____b____ real estate sales. 1) California, San Francisco, 2) Washington, Seattle, 3) Florida, Miami, 4) New York, Manhattan. Here’s your answer. Yes, lumber, labor, and regulations continue to provide hurdles for builders in many places around the U.S. – even where lumber isn’t used much.

Jobs & personnel moves

Caliber Home Loans, Inc. is excited to welcome back Danny Horanyi, who will join its production team as SVP of Retail Innovation. In this role, he’ll focus on implementing systems that increase retail sales volume and improve our borrowers’ experience. On his return to the leading national lender, Horanyi said, “Caliber is by far the best-positioned company in the retail space. Caliber has been open to doing what it will take to win the retail purchase game by committing to get behind critical initiatives while others pull back. I’m so excited to be back!” His background as a nationally ranked Loan Officer will be an asset to Caliber. Loan Consultants interested in joining Danny and the national network of producers can contact Jeremy DeRosa.

National MI is excited to introduce our newest team member in the South-Central Sales Region, Beverly Kerbow. Beverly brings a wealth of mortgage lending and mortgage insurance experience to National MI. Most recently Beverly worked in the Pittsburgh area for Citizens Bank.  Prior to moving to Pittsburgh, Beverly achieved much success as an Account Executive with PMI covering Austin and San Antonio. Additionally, she was very involved in the National APMW and the local MBAs in both Austin and San Antonio. In 2011 Beverly was the recipient of the TMBA James Wooten Scholarship. Beverly will be working with Adam Isbell covering Austin, San Antonio, West Texas, and New Mexico. She should be a familiar face to many as she has spent most of her mortgage career in the territory she will now be covering. Please feel free to reach out to Beverly Kerbow (512.663.3579).”

More Retail growth for PRMG as they expand their national footprint by opening 2 new branch locations during the month of June!  Along with the drive and ambition to bring the American Dream of Homeownership to all cities across the country, PRMG has now opened its doors in Berwyn, IL and Orlando, FL. Built by Originators for Originators PRMG is devoted to growing their retail platform and is always looking for Motivated Loan Originators to support the mission to being “Progressively Better in All that They Do”. Voted TOP 5 of the 50 Best Companies to Work for in America, No. 2 Best in the Desert 2018, OC Register Top Workplace 2017, NMP Visionary Organization 2017, CAMP Corporate Affiliate of the Year 2017 and TOP 25 of 100 Mortgage Companies in America!  PRMG employs over 1,800 people! If you’re ready to join a top-tier team and company, then it’s time to talk! Contact Chris Sorensen at 909.262.0452.

Movement Mortgage, a top 10 retail mortgage lender, is expanding in New York with its first branch on Long Island. The new branch in Huntington is led by New York mortgage veteran Quentin Hardy, a top producer and purchase and renovation specialist. The licensed office on Long Island is part of a concentrated effort to expand Movement’s origination presence in the Northeast. Movement’s Northeast expansion has included record growth in New York, New Jersey, Pennsylvania and surrounding areas. Learn more about opportunities to join Movement in the Northeast by emailing Regional Director Mike Brennan.

Lender products

Bank of Hope Mortgage Warehouse Lending is looking forward to the upcoming 46th Annual CMBA Western Secondary at the Westin St. Francis Hotel in San Francisco! Bank of Hope lends nationwide to mortgage bankers of all size. For more information on our competitive warehouse terms, please contact Louis Politi or Nicole Thomsen.

Industry-leading multi-channel LOS and mortgage fintech provider, OpenClose®, announced the release of DecisionAssist™ Mobile, placing the power of its proprietary product and pricing engine (PPE) at your fingertips. With DecisionAssist™ Mobile, Originators can compare eligible products, pricing and deliver results directly to their borrowers from anywhere and from any device.  The company’s ability to implement and maintain custom non-QM programs and instantly decision them provides immediate insight on sellable loans under agency or non-agency guidelines. OpenClose’s DecisionAssist™ PPE is leveraged by direct lenders, investors and portfolio lenders using the OpenClose LenderAssist™ LOS or as a standalone web-based solution. Custom rate sheets are also generated and distributed. Learn more about the full suite of OpenClose® products and services at the Western Secondary conference on July 16th-18th. OpenClose provides a unique, boutique-style, hands-on approach to LOS and software implementations, training, and support. For more information on the OpenClose difference, visit the company’s website www.openclose.com.

According to the ARMCO Mortgage QC Trends Report, in 2017, the majority of critical defects centered around issues associated with core underwriting and eligibility issues, which is reflective of the deeper complexity of purchase transactions, as compared to refinances. The fourth quarter 2017 critical defect rate increased slightly, from 1.65% to 1.68% while the percentage of purchase transactions declined for the second consecutive quarter. The latest report provides loan quality findings for mortgages reviewed by ACES Audit Technology™ during the fourth quarter of 2017 as well as the 2017 calendar year. “When you see how much the issues that impact quality can change quarter to quarter and year over year, it becomes apparent why lenders should use the most current data for strategies going forward,” said Phil McCall, president of ARMCO.

Olympia Federal Savings (Oly Fed) has chosen Built Technologies to bring its construction loan administration process online and into the digital age. Oly Fed has received a 5-star rating from Bauer Financial for over 30 years and is known for providing modern online banking and innovative lending programs. The portfolio lender is migrating its manual construction loan administration process to Built’s cloud-based platform for real-time collaboration, faster disbursements, risk mitigation, and more efficient processing. “The transition to a digital construction lending experience gives us the ability to provide even more customers with personal service,” said Richard Pitts, EVP, Chief Lending Officer, Oly Fed. Built allows Oly Fed customers to apply for construction loans online and monitor project inspection and draw process with a digital, consistent experience. “We’re excited to welcome Olympia Federal Savings,” said Chase Gilbert, CEO, Built. “With its 110-year history and status as a leading portfolio lender, it’s a great compliment to be chosen as part of its customer service mission.”

Events and learning

Don’t miss out on the Lenders One 2018 Summer Conference in Salt Lake City, Utah, August 5-8, at The Grand America. In an age of disruption, it’s never been more important to learn from peers and industry leaders. Keynote speakers Alison Levine and David Robertson will share ways to get ahead in a tough market, and attendees will be able to select from 16 curated education sessions led by industry experts. Topics include:  improving margins, generating business through MarTech, rethinking your compliance strategy and five Secondary Market panels. Touted as the most valuable part of conference, Lenders One has expanded networking opportunities for members to connect with peers and explore best practices. Reserve your spot by this Friday, July 13, or contact Lauren Ketchum to learn more about becoming a member.

James Brody, Chair of Johnston Thomas’s Mortgage Banking Practice Group, is hosting a complimentary webinar at 10:30 AM PST, on Thursday July 26, titled Loan Officer Compensation Tips and Trends: How to Gain a Competitive Edge While Remaining Compliant”. Per Mr. Brody, given companies ever shrinking margins and the always present pressure being placed on them to maximize profits, this webinar is meant to provide all such companies with invaluable tips on how to ensure their LO Comp packages remain both highly competitive and defensibly compliant. In addition, if you were not able to attend and would like to access a complimentary recording of Johnston Thomas’s most recent webinar program, click on “Repurchase and Indemnification Claims in 2018 and Beyond: A Comprehensive Update on the RMBS Wave, Significant Rulings from the Courts, and Successful Resolution Strategies”. Qquestions regarding either of these two programs? Contact Mr. Brody or, if possible, meet with him and his colleagues in person at the CMBA’s upcoming Western Secondary Market Conference in San Francisco on July 16-18.

As a giant of our industry plans for retirement next month, Mortgage Bankers Association (MBA) President Dave Stevens sat down to discuss his view of the future of mortgage lending with XINNIX CEO Casey Cunningham on a very special episode of Inside the Mortgage Mind, a XINNIX podcast. With the perspective of a 30+ year career in housing finance and 7 years at the helm of the MBA, Dave’s insights are relevant, direct, and vital—covering everything from government to technology to his ideas on how loan officers will succeed in the future. To hear this podcast, CLICK HEREInside the Mortgage Mind is produced by XINNIX, a sales and leadership development company dedicated to “Energizing People and Elevating Results” for the mortgage industry.

Lenders, how do you take advantage of strategic data while avoiding the risk of abuse? Register for October Research’s upcoming webinar, Title Data: Opportunities and Risks to learn the building blocks for big data thinking using tax, deed, mortgage and foreclosure data and how to use it to assess borrower risk. Ensure your vendors and partners are maintaining control of the information responsibly. ATTOM Data Solutions’ Daren Blomquist and compliance expert Marx Sterbcow will discuss the compliant applications for and management of data Thursday, July 19th.

A sampling of changes to various underwriting criteria

Excelerate Capital is now offering a new program feature: NonQM 3-Month Bank statement Option. Only 3 months of business bank statements is needed to support 24-month P&L. (P&L preparation requirements apply). For more information contact rto@exceleratecapital.com. And it has added a new NonQM VOE feature to its Platinum Shake Up. Call 844-432-3685 for details.

Land Home Financial Services Elite Jumbo Product provides a unique option for borrowers. Conforming High Balance loan amounts are accepted using Elite guidelines. Contact Mark Sheridan with questions.

PRMG posted product updates for its Platinum Jumbo and TCF HELOC.

HomeXpress is now accepting Borrower Prepared P&L on its Bank Statement Programs.

Angel Oak has announced its New Commercial Lending Unit. Angel Oak Commercial Lending will provide both short- and long-term financing for projects across the commercial sector, including multifamily, industrial, mixed use, retail, office, self-storage and other specialized segments.

Citadel Servicing Corp. is offering a VOE Only Qualification Program. Qualify your W2 Borrowers with Only a Verification of Employment Form Executed by the Employer. You can qualify your borrowers with only ONE Year of W2s or ONE Year of Tax Returns if Self-Employed with loan amounts to $3 million.

Caliber Home Loans offers a Physician Loan Program. Newly licensed medical residents or physicians, both permanent and non-permanent resident aliens may qualify. Contact Caliber for qualification details.

United Wholesale Mortgage has increased the maximum allowance on cash-out refinances from 80% LTV to 85% LTV. The program also offers reduced mortgage insurance premiums and is available for borrowers with a 740+ FICO, only applicable on primary loans.

Capital markets

I am not going to waste your time. Rates are been flatlining for some time now, and, aside from a little intra-coupon and maturity changes of a few ticks (32nds) – not enough to move rate sheets, Thursday was a snoozer. There just isn’t much going on out there.

The highlight of today’s session might be the release of Fed Chair Powell’s prepared remarks, that will be read at next week semiannual monetary policy testimony which kicks off on Tuesday before the Senate Banking Committee at 10:00am. We’ve had the June import / export

prices (-.4%, +.3% respectively) – hardly market movers. The University of Michigan Sentiment Index (pJuly) will be released at 10AM ET. Chase released its earnings – impressive, and more next week. Friday the 13th starts with the 10-year yielding 2.83% and agency MBS a couple ticks better than last night’s close. Once again, probably another snoozer of a day for rates.

For you country music lovers! (A repeat; unrated, but don’t read if you’re offended by anything.)


10. I Hate Every Bone in Her Body but Mine.

9. I Ain’t Never Gone to Bed with an Ugly Woman but I Woke Up With a Few.

8. If the Phone Don’t Ring, You’ll Know It’s Me.

7. I’ve Missed You, But My Aim’s Improvin’.

6. Wouldn’t Take Her to A Dogfight ‘Cause I’m Scared She’d Win.

5. I’m So Miserable Without You It’s Like You’re Still Here.

4. My Wife Ran Off with My Best Friend and I Miss Him.

3. She Took My Ring and Gave Me the Finger.

2. He’s Lookin’ Better with Every Beer.

And the Number One Country & Western song is:

1. It’s Hard to Kiss the Lips at Night That Chewed My Ass All Day

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, “With Regulations, Be Careful What You Wish For.” If you have both the time and inclination, make a comment on what I have written, or on other comments so that folks can learn what’s going on out there from the other readers.


(Market data provided in partnership with MBS Live. For free job postings and to view candidate resumes visit LenderNews. Currently there are over 300 mortgage professionals looking for operations, secondary and management roles. For up-to-date mortgage news visit Mortgage News Daily. For archived commentaries, or to subscribe, go to www.robchrisman.com. Copyright 2018 Chrisman LLC. All rights reserved. Occasional paid job listings do appear. This report or any portion hereof may not be reprinted, sold or redistributed without the written consent of Rob Chrisman.)

Rob Chrisman