TPO, HOA Data, Outsourcing, Due Diligence Tools; Training and Webinars; NAR’s 2023 Forecast

For some reason, companies laying off large numbers of people (most recently Better, Freedom, Mr. Cooper) make headlines, whereas shouldn’t the unusual, like companies that aren’t laying off anyone or who are hiring, be more newsworthy? There are indeed companies that are not laying off anyone, and in fact are hiring to take advantage of slow times. There is other good news. Despite inflation, elevated mortgage rates, and slowing sales activity, severely limited housing inventory will prevent large home price drops for most of the country next year according to NAR Chief Economist Lawrence Yun in his 2023 outlook. “For most parts of the country, home prices are holding steady since available inventory is extremely low. Some places are experiencing price gains, while some places, most notably in California, are seeing prices pull back… Housing inventory is about a quarter of what it was in 2008, distressed property sales are almost non-existent, at just 2%, and nowhere near the 30% mark seen during the housing crash. Short sales are almost impossible because of the significant price appreciation of the last two years.” (Today’s podcast is available here and this week’s is sponsored by MCT Investor Services, which helps investors scale their seller base, automate the bid process, source whole loan and flow co-issue production, automate AOTs, and analyze performance all in a cost-effective manner. Listen to an interview with Jason Cave, Deputy Director/Chief Fintech Officer, Division of Conservatorship Oversight and Readiness (DCOR), Federal Housing Finance Agency (FHFA), on how to better channel tech in a way that reduces closing times and costs.)

Lender and Broker Services, Software, and Products

Those of you who love a challenge will be pleased to hear that Costco has released a ​​60,000-piece jigsaw puzzle that, when complete, is nearly 30 feet long. Of course, few people have 232 square feet of free puzzle space (or the patience, for that matter) to take on such a project. Similarly, it’s challenging for mortgage professionals to juggle attracting new leads, processing loans, AND staying connected with real estate referral prospects simultaneously. Fortunately, SimpleNexus, an nCino company, gives loan officers a hands-free way to engage borrowers earlier, build stronger relationships with real estate agents, and keep them updated on loan progress in one easy-to-share mobile app. Learn how SimpleNexus tools can help you be the perfect fit for real estate agents’ referral business!

“According to the MBA, while purchase applications are down, they did tick up slightly in the first week of November. While originators aren’t jumping for joy, business is still to be had, and getting it right the first time is even more critical. So, if you’re acquiring or selling securitized assets or your HELOC business has taken off, our data-driven process identifies issues before they become problems. Consolidated Analytics (CA) is an agency-approved, Third Party Review Firm (TPR) with comprehensive loan level and portfolio due diligence services that address the most stringent regulator and agency requirements for various asset types, including HELOC asset review. Contact us to see how Consolidated Analytics can help your business keep up with the current market conditions.”

MBA presented its 2023 outlook at this year’s Annual Convention and Expo. The message: buckle up for another challenging year. Marina Walsh, CMB, Vice President of Industry Analysis, stated, “Origination volumes have declined, revenues have dropped, and expenses continue to rise.” But here’s a bit of good news: you can instantly turn your climbing fixed operational costs into controllable variable expenses by outsourcing your processing, underwriting, and closing functions to Computershare Loan Services (CLS). CLS has over twenty years of experience helping clients lower costs and improve productivity on first mortgages and home equity products. Contact Computershare Loan Services today to find out how their expertise and discipline change everything.

Click n’ Close (formerly known as Mid America Mortgage) understands the challenging market independent mortgage bankers (IMBs) are facing. For those exiting the business or in acquisition discussions, Click n’ Close is uniquely positioned to help fund IMBs’ pipelines while they seek alternatives. Through its partnership with Spectrum Mortgage Holdings, it has the capacity to offer warehouse funding for loans being liquidated. Click n’ Close has been purchasing lenders’ pipelines, as well as scratch and dent loans, for more than a decade. If you need assistance, please reach out to our Director of Marketing, Julas Hollie.

With over 27 million housing units impacted by HOAs in the U.S., collecting HOA-related data can be costly and time consuming. And today, more than ever, lenders need to lower operating costs and streamline processes. Black Knight offers a full suite of HOA solutions reduces the time, cost and resources associated with procuring HOA data. From identifying properties in an HOA, to collecting condo data, retrieving CC&Rs, and more, our reliable solutions are cost-effective and provide fast turnaround times. You can select a solution on a standalone basis or combine them, based on your business needs. Plus, you’ll benefit from the efficiencies of working with just one provider. Learn more about our comprehensive HOA solutions and why HOA data is so critical throughout the stages of the mortgage life cycle by downloading our complimentary eBook: The Importance of Homeowners Association Data Across the Mortgage Life Cycle.

TPO Products

Expand your business by offering your clients deal-making products with Newrez Correspondent, a member of the Rithm Capital family of companies. With our newly launched buydown loans you’ll be able to offer your clients more options. We are now accepting 3-2-1, 2-1, 1-1, and 1-0 buydowns on both Agency and Non-QM loans so you’ll be able to benefit from a wide range of products that fit each individual client’s need. Once again, thank you to all the lenders and vendors who met with us or attended our recent Newrez event in Nashville. We value your input and feedback so keep an eye out for future product/service enhancements. Ready to become an approved Correspondent lender with Newrez? Apply now or contact us to learn more.

“Strength, Stability and Consistency are a big part of Citizens Wholesale, the largest bank-owned Wholesale Lender in the country, supporting both Brokers and Non-Delegated Lenders. Our tenured Account Executives, who average more 10 years of service with Citizens, are here to serve as your trusted advisors and help unlock opportunities for growth. Whether you need to lock a fully underwritten TBD, access to specific bank products, or desire to work with a lender who retains 100% of servicing and WILL NOT solicit your borrowers for mortgage products, we are here for you in a complex and ever-changing mortgage landscape. If you’re interested in learning more about partnering with Citizens Wholesale, please contact us today.”

Webinars, Training, and Events This Week

There’s a whole batch of events and training ahead of the Thanksgiving week. Given that things are slow, what a great time to learn! Let’s see who’s doing what.

If 43 seasons of “Survivor” have taught us anything, it’s that we love to see people overcome adversity. Mauro Prosperi has an almost unbelievable tale of surviving alone for 9 days in the world’s largest desert. With loan volume drying up, today’s mortgage industry feels nearly as parched as the Sahara; fortunately, surviving these difficult times isn’t something lenders have to do on their own. On Nov. 17 at 2:30 pm ET, join Sales Boomerang and Mortgage Coach’s Alex Kutsishin and Dave Savage, STRATMOR Group’s Sue Woodard and Paramount Residential Mortgage Group, Inc.’s Kevin Peranio as they discuss tips and tricks for not only surviving but thriving in the market during this challenging time. Don’t get lost in the desert, register today for your survival tips.

Please say hello if, on Thursday, November 17th, you come to the MBA Kansas City’s Membership Luncheon at 11:30AM. Come to the Blue Hills Country Club for a fun, educational session!

In Maryland there’s the MMBBA Breakfast & Learn: IPEN -The Simple Way to Close Loans Electronically and Efficiently on Wednesday, November 16. Cost includes breakfast, Members: $25, Non- Members: $35.

Register for TMBA’s next educational webinar, The New Non-QM: How It Works For You, Thursday, November 17th at 11:30 am. Tim Fisher, Deephaven Mortgage; John Jeanmonod, Angel Oak Mortgage Solutions; Sean McGaughey, Michigan Mutual Inc; and Laura Kay Sheely, Arch Mortgage Insurance, will talk about using Non-QM to grow your business in 2023.

Join the weekly live Mortgage Marketing Influencer stream with Mortgage Experts who share what they are doing to market themselves and their business. Every Wed at 1:30 pm ET at www.MortgageInfluecers.com. Join Ginger Bell, Edumarketing, Carl White, Mortgage Marketing Animals, Frank Garay, Loan Officer Breakfast Club, and Scott Schang, Find My Way Home, each Wednesday at 1:30 pm ET, for a 30 minute Mortgage Influencer live stream call. Each week they share what other mortgage influencers are doing on TikTok, YouTube, social media, and more.

Fannie Mae’s 2022 Boot Camp sessions have wrapped up but you can still get all of this great content on-demand. View a replay of Fannie Mae sessions on topics such as quality control, valuation modernization, fraud, and condo underwriting.

Join senior RCLCO consultants and leadership for this RCLCO free webinar – Update and Outlook for Real Estate Capital Markets on Thursday, November 17th at 12:15pm ET / 9:15am PT. Gregg Logan, Managing Director, and William Maher, Director of Strategy and Research, and Kelly Mangold, Principal will be discussing current market trends and the outlook of the real estate industry for the remainder of this year, with a particular focus on the for-sale residential market. If you can’t make the live event, be sure to register to have the recording of the session emailed to you.

Free webinar at 1PM ET on 11/17: “Planning for 2023: How to Recoup Revenue, Save Costs & Drive Loan Volume in an Uncertain Market.” Now is the time to plan for a strong 2023. In this webinar from Maxwell in partnership with TMC, industry veterans, including Maxwell’s Jim Smith, Peggy Rubadue, and Alan Parris, along with Thrive Mortgage VP of Operations Donielle Geiser, combine expertise from past downturns with insight into today’s unique market. Tune in to uncover outside-the-box ways to save costs and bolster revenue.

Join the MBA of Metropolitan Washington at Congressional Country Club on Tuesday, November 15, 11:30 am – 2 pm. Lunch and Learn about Mortgage Mindset: Selling in a Changing Market with presenter Jason Abell, President, Rewire Coaching.

Registration is now open for FreddieMacCONNECT, November 15-16, Single-Family’s premier annual event that provides you with an opportunity to network with industry leaders and peers while learning more about our latest programs, products and initiatives.

Registration is open for the NALHFA 2022 Fall Educational Conference, November 15-17 in Washington D.C. There’s a brand-new preconference workshop: Local Housing 101: Getting Back to the Basics, intended for those either new to the industry or for those simply interested in learning more on the topics discussed which will help guide the discussions for the rest of the conference.

Join COAMP on November 17th from 2pm-4pm at 7979 E Tufts Ave in Denver, 1st Floor Conference Room for a self-employed income analysis seminar. Not your standard class on how to calculate self-employed tax return, hear from underwriting on the TOP Pitfalls. One class pricing for Member’s is $29, non-Members is $79.

Join your industry colleagues at ALFN FORECLOSURE INTERSECT, November 16-17 at the Marriott Dallas Las Colinas focusing on the intersection of mortgage servicing and the ever-changing foreclosure process. ALFN FORECLOSURE INTERSECT’s event will include detailed sessions on national issues and trends, and additional issues that have a broad impact on the industry.

This Friday at 3PM ET is the next edition, co-hosted by MGIC, of The Mortgage Collaborative’s Rundown with Rich Swerbinsky and me. We’ll will be covering current events in the mortgage market for 45 minutes starting at noon PT in “The Rundown with Rich and Rob”!

Capital Markets

Markets trade off of psychology and expectations. Slowing U.S. inflation data last week dominated sentiment in the bond markets. Even though consumer prices rose 7.7 percent in the year through October, it was less than expected and now sits below 8 percent for the first time since February. At the core level, prices increased 5.8 percent between July and October. While this is still significantly higher than the Fed’s target of 2 percent, it is moving in the desired direction and has shifted expectations for December’s rate hike from 75-basis points to 50-basis points; mortgage rates dropped as a result.

A hard landing? While the cooler inflation gave investors hope that the Federal Reserve may temper rate increases, expectations are that the committee will err on the side of over-tightening rather than pause early in their battle against persistent inflation. Market expectations for the peak Fed Funds Rate are now between 5.00 and 5.25 percent with the final rise of this cycle following March’s meeting.

Unfortunately for news junkies, this week opens with no major releases scheduled. Over the remainder of the week, economic highlights include the Producer Price Index and NY Fed manufacturing tomorrow, import prices, retail sales, and homebuilder sentiment on Wednesday, housing starts/building permits on Thursday, and existing home sales and leading indicators on Friday. All will provide more clues on how the aggressive actions by the Fed are filtering into inflation and the economy and what that ultimately means for the terminal fed funds target range. We begin the week with Agency MBS prices worse .125-.250 versus Thursday night and the 10-year yielding 3.89 after closing last trading week at 3.83 percent.

MLO Jobs

“Equity Resources is a private (family) owned mortgage banker that has continued to expand even in a challenging environment. We are very excited about our future and adding talented Loan Officers to our team! If you are a mortgage banker or broker and you have concerns about the viability of your current company, we should talk. We are an agency direct lender that is currently licensed in 19 states with a strong presence along the east coast and mid-west. We are proudly celebrating our 30th anniversary next year and positioned for continued growth. We are committed to the residential lending market and have launched over 10 new lending programs in 2022. For confidential inquiries to join our award- winning team, please contact Tom Piecenski, Executive Vice President of Sales and Development at 614.327.5353 or via email.”