03
APR
2017
game-has-changed-play-different-robot-man-hand-crystal

The Game Has Changed. Are You Prepared to Play Different?

I just returned from speaking at the ABA Real Estate Lending Conference in Orlando. It was a great conference and the Hyatt Regency was a great venue. I only regret I couldn’t spend more time in Orlando. The conference offered a myriad of information, products, and services...
31
MAR
2017
Hispanic-housing-Market

Where Will You Get New Business?

According to recent MBA forecasts, loan originations will drop in 2017 by about 15%. This shouldn’t be a big surprise. This decline is mainly due to a drastic decrease in refinances, resulting from the gradual rise in rates, and a potential for a rate spike, if the Fed...
30
MAR
2017
what-is-your-plan-profit-production-mortgage-paper

What’s Your Plan to Offset the Production and Profit Drop?

We knew it would come sooner or later. It looks like it may have started. For the 4th quarter 2016 Independent Mortgage Bankers reported a decline in production and with it a drop in profits. On average, the net gain on loans originated in the 4th quarter was about $575, a big...
29
MAR
2017
consumers-rejected-mortgage-hand-stamp

Are More Consumers Being Rejected for Mortgages?

Consumers who are discouraged to apply for a mortgage because of fear of rejection increased to 7.1% from 5.7% in October of 2016, according to the Federal Reserve Bank of New York’s February 2017 survey. That means that more consumers are not looking for homes, or applying for...
28
MAR
2017
future-of-loan-originators-mortgage-clouds

The Future of the Loan Originator

I’ve heard it said over and over that the mortgage banking business may be in jeopardy as the average age of a loan originator is somewhere north of 55. The industry just ain’t attracting any new talent these days. This was one of the main topics of discussion that I participated...
27
MAR
2017
defect-rates-up-4-percentage-points

It’s Not Just Interest Rates That Are On The Rise

According to First American Financial Corporation’s latest Loan Application Defect Report, the frequency of defects, fraud, and misrepresentations jumped to 4% on loan applications submitted in February. That’s a 1.3% increase above just one year ago. A 4% increase may not seem...
24
MAR
2017

Time To Look at Alt-A Products…Again

By now, I think that mortgage lenders realize the refinance market has run its course. Although some limited refinance opportunities may still exist, for the most part with rates rising and many having already refinanced. Lenders now need to look to the purchase market for their...
23
MAR
2017
technology-consumers-relationships-star-trek-scotty

Technology or Not, Borrowers Want Relationships

Today it’s all about technology; Social media, online information, immediate access to products and services. You name it, it’s better with technology. Mortgage lending, although a little slow to the dance, is now embracing technology like never before, and what tech can do for...
22
MAR
2017
millennials-education-first-time-home-buyer

What’s Holding Millennials Back?

Millennials have been toying with the idea of buying a home for the past year. Many say they want to make the jump, but there are extenuating circumstances still holding them back.  Things like: Student loan debt Limited credit profile Fears leftover from the credit crash of 2008...
21
MAR
2017
repositories-transunion-equifax-experian-reporting-civil-judgment-tax-liens-gavel

Repositories To Change Credit Reporting Policy

Are you aware that on July 1st, the three (3) credit repositories, Equifax, Experian and TransUnion, are going to stop most of the reporting of information on consumer’s civil judgments and tax liens? Yup, that’s their plan and they’re stickin’ to it. Since this information has a...