How about something interesting but non-mortgage related for a Saturday (despite thousands, including myself, heading to the Denver conference), and near and dear to everyone’s heart: food. A 3D printer works by a robotic arm spreading the raw material paste in precise layers, forming whatever shape you want. We have 3D-printed plastic, metals, and wood fiber. And now that same technology is being used to make chocolates and pizza. Yes, plastics and metals can be substituted with edible food products. Are printers the future of food preparation, able to be filled with the exact nutrients and taste that we need and want? My cat Myrtle seems to wonder about custom-made salmon kibble.
Employment and recruiting trends
As companies continue to expand and contract, or close or open business channels, the need to employees that fit (culturally and economically) continues. Along those lines, Sonya Brewer, the National Director of Sales & Recruiting with The Mortgage Recruiter, Inc., penned a note about the current lender employment situation.
“Today’s is a moving market! People are beginning their process early this year to find their next ‘Great Adventure’ for Jan 1st., 2018. I am glad to see that a lot of our clients are starting to invest in their talent more. In the last 9 months we are seeing that companies have stepped up and are offering their production candidates a realistic time frame to make the transition from one company to another to make themselves whole; instead of the “Eat what you Kill” mentality that has been the precedent. Retail Loan Officers are being offered a small salary, (not a draw) plus a guarantee for the initial 3+mths.
“On TPO side, Lenders are also offering their Account Executives, a small continual base salary (not a draw) plus 6-9 months for initial startup guarantees. I still think they are missing the mark, however, with good solid talent on the production side. For instance, the normal request is ‘Retail Branches’ with a group making a minimum of 5-10mil a month, well; 50% of the candidates we interview are looking to make a move because there is a reason their production is off with their current employer: Not able to close loans due to back end issues, product lines are being reduced, no management support, etc. – the list is endless. It is sad because those candidates/groups are moving on to their competitors and are indeed becoming a profitable branch to those clients who see the BIG picture.
“In addition, talented management candidates wanting to make a move and then build is beginning to be something clients are seeing. This process does work, versus they must bring a team with them from the start. Hybrid branches, offering a mix of leads & self-generated business, are becoming a more commonplace, and the candidates love this trend. We are at the time of year where Mid & Upper level management roles are becoming in need, as well as candidates in these positions are searching.”
Sonya finished up with, “Overall I believe our industry is finally seeing the BIG picture of how to attain and RETAIN talent, instead of the gerbil on the wheel mentality any more, which is really refreshing. We currently have a large influx of clients, which is great and in addition we have a talent pool growing by the minute. If you are wanting to have your team excel in 2018; do not hesitate to call us, we are here to help!”
Maria Vergara with NAHREP Consulting sent, “With Latino homeownership being the fastest growing segment in housing, more and more companies are thinking about how they can develop their market strategies to Latino buyers. Often, the strategy starts and ends with translations of a few flyers. Few financial transactions are as big or as emotionally significant than our first home. Imagine that sentiment amplified by cultural nuances! NAHREP Consulting Services offers its firsthand knowledge in housing and Latino culture through our Cultural Competency training. Our training is focused on: Hispanic beliefs, values and attitudes, Individualism vs. collectivism and other relevant socio-demographic variables that impact the buying decision. This is perfect content for any sales meeting or strategic planning for 2018 growth initiatives. Contact NAHREP Consulting for more information.
Note from the Northern California fires
Rachel Dollar, an attorney north of San Francisco, sent a note echoing what others have felt in any disaster area. “In Sonoma County, we are in mourning. We are mourning the loss of our friends, our homes, our businesses. We ask random people if they are okay and hear ‘stay safe’ a hundred times a day. We are a strong community and this tragedy has bound us to one another in a way that words cannot express. We offer consolation and assistance constantly. And, always, the questions – ‘do you need anything?’ – ‘what can I do?’ I have a strong network across the country of financially stable businesses that have investments in this community. What can I do? I can try to leverage that network to bring work and income into our area.
“I think people outside a disaster stricken community don’t often realize that there is a cascading impact – especially on income. Our local service providers and tradespeople have customers who have lost their homes or businesses resulting in a cancellation of contracts and a loss of clients. This doesn’t just affect ‘luxury’ type services, it impacts day to day people with real life jobs. The structures that our housekeepers, landscapers, pool maintenance contractors and many others used to service are gone. And that income is gone as well, seemingly, up in smoke.
“I know that there are many financial service businesses that have investments or ties to this area which will result in the need for services in this community soon. For anyone in any area hit by a natural disaster, please use services local to the area rather than outside contractors. We need your help. Now, more than ever, we need those outside our community to use our local service providers so that we can stay employed, keep our employees working, and maintain our income streams so that we can rebuild. I have been inundated by emails and calls from people who want to help. #SonomaCountyStrong.” (If you need a referral, contact Rachel – 707.522.1108 – and she will find someone to assist you with your needs in the Napa, Sonoma, Santa Rosa area.)
Illinois State changes of note
If you think the regulatory costs (both monetary and hassle) is tough when you’re doing business in only one state, try lending and servicing in several states. Things escalate quickly. Let’s play some catch up on relatively recent changes in just one state (Illinois) impacting lenders & vendors.
Illinois has modified the Predatory Lending Database Program of the Residential Real Property Disclosure Act, effective immediately. The definition of “Counseling” as applied to the Predatory Lending Database Program has been modified and the definition of “Originator” within this section of the Act has been modified. Section 70(g) of the Act has been modified to require that at least one of the borrower’s names and the property index number be included when a title insurance company or closing agent attaches a certificate of compliance or exemption to the mortgage. Under section 72(2), loan originators are no longer required to include the permanent index number when submitting information for inclusion to the predatory lending database.
When submitting information for inclusion to the predatory lending database, loan originators must also now include all information indicated regarding the TILA-RESPA Integrated Loan Estimate Disclosure or on the Good Faith Estimate and Truth in Lending statement disclosures given to the borrower by the broker or originator.
Illinois has added a provision regarding arrearage payments to its Residential Mortgage License Act. This provision is effective as of January 1, 2018. The new provision states that licensees are prohibited from refusing to accept payments by mortgagors who are in arrears more than one month. Any payments made shall be applied to the unpaid balance in accordance with the licensee’s mortgage with the mortgagor.
Another modification affects two sections of the Illinois Code of Civil Procedure. First, Section 15-1504.1 has been amended to extend its inoperative date from January 1, 2018 to January 1, 2020.
Secondly, Section 15-1507.1 has been amended to extend its inoperative date from January 1, 2017 to January 1, 2020. The repeal date of this section has been changed from March 2, 2017 to March 2, 20202. Also added to this section is a provision stating that all actions regarding the taking and remittance of fees pursuant to this section prior to its effective date are ratified, validated, and confirmed.
Illinois has amended provisions regarding fee schedules under the Counties Code. These provisions are effective immediately. Section 3-5018.1, regarding predictable fee schedules, has been added to the Counties Code. Under this section, counties are required to adopt and implement a predictable fee schedule by January 1, 2019. These fee schedules shall eliminate surcharges or fees based on individual attributes of a standard document to be recorded. The new provision lists some of these prohibited attributes, including page count; number, length, or type of legal descriptions; and number of common addresses. This section also defines standard and nonstandard documents.
This provision also sets out the flat recording fees allowable for each classification of standard document. All standard documents must fall into one of the following classifications at the time of recording: deeds, leases, mortgages, easements, and miscellaneous.
Illinois has modified several provisions under the Condominium Property Act. These provisions are effective as of January 1, 2018. A new provision has been added to Section 1-20 of the Act. The provision states that if community instruments require approval of any mortgagee or lienholder, and such a person receives a request for approval, said person is deemed to have approved unless he or she sends a negative response to the requesting party within sixty days. Requests shall be sent via certified mail.
Several new provisions have also been added to Section 1-45 of the Act. One adopted provision requires that associations consisting of one hundred or more units use “generally accepted accounting principles” when fulfilling accounting obligations under the Act.
Another new provision under Section 1-45 states that at the end of an association’s fiscal year, any surplus of funds may be disposed of by the board of managers at its discretion. The provision then sets out various ways in which the board can choose to dispose of the funds.
A provision has been added to define the term “commercial purpose” as used in Section 1-45 of the Act. A subsequent provision goes on to state that all members of an association have the right to inspect and make copies of association records for purposes relating to the association. Exercising this right for commercial purposes is prohibited.
Illinois has made slight modifications to provisions of its Notary Public Act. These amendments are effective as of January 1, 2018. The Act has moved the requirement that a notary public officially sign every notary certificate clearly and legibly in blank ink from Section 3-101 to Section 6-103.
Section 3-103, which concerns the required notice to be given by certain notaries public, has been expanded to include references to electronic communications. Under former Section 6-104, a notary public was prohibited from affixing his or her signature to a blank form and delivering that form to another person “with the intent that it be used as an affidavit or acknowledgment.” Under the revised Section, the requirement of delivery has been eliminated.
I’m only sending this to the brightest mortgage folks. One only needs 4 correct out of 10 questions to pass.
1) How long did the Hundred Years’ War last?
2) Which country makes Panama hats?
3) From which animal do we get cat gut?
4) In which month do Russians celebrate the October Revolution?
5) What is a camel’s hair brush made of?
6) The Canary Islands in the Pacific are named after what animal?
7) What was King George VI’s first name?
8) What color is a purple finch?
9) Where are Chinese gooseberries from?
10) What is the color of the black box in a commercial airplane?
Remember, you need only 4 correct answers to pass.
Check your answers below ….
1) How long did the Hundred Years War last? 116 years
2) Which country makes Panama hats? Ecuador
3) From which animal do we get cat gut? Sheep and Horses
4) In which month do Russians celebrate the October Revolution? November
5) What is a camel’s hair brush made of? Squirrel fur
6) The Canary Islands in the Pacific are named after what animal? Dogs
7) What was King George VI’s first name? Albert
8) What color is a purple finch? Crimson
9) Where are Chinese gooseberries from? New Zealand
10) What is the color of the black box in a commercial airplane? Orange
What do you mean, you failed? Me, too!
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, “Will User Names and Passwords Go the Way of Thermal Fax Paper?” 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 2017 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.)