National Mortgage Professional Magazine August 2018 by ambizmedia

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table of

N A T I O N A L

NMP’s Legends of Lending: United Wholesale Mortgage … Building a Better Future for Wholesale Lending By Rick Grant

A U G U S T

30 The Mortgage Godfather: How Could I Dare Compare Myself to Simon Sinek and His Golden Circle? By Ralph LoVuolo Sr.

2 0 1 8

M O R T G

V O L U

A SPECIAL FOCUS ON “BACK TO SCHOOL: EDUCATION & PROFESSIONAL DEVELOPMENT”

Why Instructor-Led Training Beats Online Learning By Nick Mantia ..................................................................................52

Are You Ready for the Gig Economy Worker’s Application? By Vance Edwards, CMB ..................................................................56

B R

How Education Is Key to a New Model’s Success By Jaime Steinman ............................................................................58 “Eating the Elephant …” By Joseph Grunebach ..............................60

A a

My Education, My Way By Tyna-Minet Anderson ............................62

Son of a, Son of a, Son of a Clone By Eric Weinstein ......................64

E o

Recruiting Tomorrow’s Loan Officers: Training and Education Are Critical For Young Professionals and Other New Hires By David Loeser ................................................................................66

42 Preparing for Storm Season By Denis Brosnan

48 It’s Time to Widen the Origination Pool: New Loan Products Could Extend Homeownership to More Borrowers By Ray Brousseau

Developing All Leaders to Lead By Michelle Choquette ..................68

L I

Onboarding Secrets for Thriving Recruits By Shirleen Von Hoffmann..................................................................70 Compliance Doesn’t Take a Summer Vacation By Mary Kamelle ..72

M C

FEATURES

ARMCP Membership Hits the 1,600 Mark ........................................6

Use Non-QM Expertise to Win Realtors’ Trust By Tom Hutchens ....8

The Elite Performer: Rally! By Andy W. Harris, CRMS ......................8

Recruiting, Training and Mentoring Corner: Passing the Test By Dave Hershman ............................................................................10

A Message From E. Robert Levy ....................................................16

V I S I T Company

Web Site

O U R

A D Page

Angel Oak Mortgage Solutions ............................ www.angeloakms.com ......................................Back Cover Brokers Compliance Group.................................. www.brokerscompliancegroup.com ..................................17 Caliber Home Loans.............................................. www.caliberwholesale.com ..............................................37 Carrington Mortgage Services, LLC ...................... www.carringtonwholesale.com ................................9 & 54 Citadel Servicing Corporation .............................. www.citadelservicing.com ................................................5 DocMagic .......................................................... www.docmagic.com ......................................................11 FAMP-Miami ...................................................... www.miamifamp.org ....................................................70

76 Success in Mortgage Lending: How to Bring Back the Profit By Jorge Ponce

Fund Loans........................................................ www.fundloans.com ........................................................7 Greenbox Loans, Inc........................................... www.greenboxloans.com ..............................................IFC Lykken On Lending ............................................ www.lykkenonlending.com ............................................66 MBANJ .............................................................. www.mbanj.com ..........................................................55 MBS Highway .................................................... www.mbshighway.com/MNN ..........................................59

Mortgage Assurance, Inc. .................................. www.maibroker.com ......................................................15

of contents

R T G A G E

L U M E

P R O F E S S I O N A L

1 0

N U M B E R

California Passes Enhanced Consumer Protections By Gavin T. Ales ................................................................................18 Marketing: Late Summer 2018 ........................................................20

NAMB Perspective ............................................................................22 NAMMBA Presents the CONNECT 2018 Tour ................................28 Putting Your Best Self Into Your Business Plan By Bubba Mills ....32 BrokerNATION: Independent Mortgage Originators: Amanda Rawls, Answer Home Loans By Andy W. Harris, CRMS ..................36 Addressing Post-Housing Crisis Issues: A “Millennial” and a “Boomer” Team Up for a Webinar … By Pam Marron ..................40 Compliance Matters: Rental Property Rule By Jonathan Foxx ......46 Everything You Need to Know About the NMLS Adoption of Electronic Surety Bonds By Vic Lance ........................................50 OCR Technology: An Old Tool Is New Again By Alok Bansal ........74 NAPMW in the News ........................................................................78 Lead-Based Marketing Is Dead … People-Based Marketing Is Thriving By Mike Eshelman ..........................................................80 MBA’s Mortgage Action Alliance: A Message From MAA Chairman Gene M. Lugat ................................................................82

COLUMNS New to Market...................................................................................12 News Flash: August 2018..................................................................14 Heard on the Street...........................................................................34 Outstanding Places to Work.............................................................84 NMP Calendar of Events...................................................................85 NMP Resource Registry....................................................................86

A D V E R T I S E R S Company

Web Site

Page

Mortgage Bankers Association ............................ www.mba.org/believe ....................................................39 Mortgage News Network (MNN) .......................... www.mortgagenewsnetwork.com ............................44 & 45 NAMB+ ............................................................ www.nambplus.com ......................................................19 NAPMW ............................................................ www.napmw.org ....................................................60 & 69 NAWRB ............................................................ www.nawrb.com ............................................................63 New American Funding ...................................... www.newamericanfunding.com ......................................88 NMP U .............................................................. www.nmpucoaching.com ..................................21, 61 & 73 NRMLA.............................................................. www.nrmlaonline.org ....................................................79 OSI Express........................................................ www.osiexpress.com/mlslink ............................................1 Paramount Residential Mortgage Group, Inc. ...... www.prmg.net ..........................13, 57 & Inside Back Cover REMN................................................................ www.remnwholesale.com ..............................................35 TagQuest .......................................................... www.tagquest.com ........................................................65 The Bond Exchange............................................ www.thebondexchange.com ..........................................71

are you nominated? We are seeking nominations from our readers for National Mortgage Professional Magazine's "40 Under 40" feature, slated to appear in our December 2018 edition. Anyone who is under the age of 40 and has had a major impact on the industry can qualify for this feature. This could be through innovation, association participation, sales force automation, community activism, management techniques, technology or any other significant method that has influenced our industry. We would need a short, three-line bio on the nominee, along with a color photo and company contact info to complete the profile. To nominate yourself or someone else, visit https://nationalmortgageprofessional.com/under-2018.

NMP Media Corp. 1220 Wantagh Avenue Wantagh, New York 11793-2202 p 516.409.5555 f 516.409.4600 e advertise@MortgageNewsNetwork.com w www.NationalMortgageProfessional.com

AUGUST 2018 Volume 10 • Number 8

FROM THE

publisher’s desk

Back to School? Why Did We Ever Leave? One of the best things about being the publisher of the magazine you’re now holding (or reading 1220 Wantagh Avenue • Wantagh, NY 11793-2202 online) is that I’m afforded the luxury of learning from some of the smartest, most successful Phone: (516) 409-5555 • Fax: (516) 409-4600 people in the industry. Every month, we bring you the information you need to be more Web site: NationalMortgageProfessional.com successful, but I get to read it first! STAFF Eric C. Peck Joel M. Berman Most of the great leaders I have met in this industry share my love for near constant learning. Editor-in-Chief Publisher - CEO (516) 409-5555, ext. 312 (516) 409-5555, ext. 310 That’s why I always smile when it comes time to publish our annual “Back to School” issue. I can ericp@mortgagenewsnetwork.com joel@mortgagenewsnetwork.com never go back because I never left … and neither should you. Joey Arendt Beverly Bolnick Of course, that’s a generalization I don’t mean you to take that literally. If college champion Art Director VP-Sales & Marketing (516) 409-5555, ext. 323 (516) 409-5555, ext. 316 basketball player Mat Ishbia had stayed in school when he had the opportunity to coach joeya@mortgagenewsnetwork.com beverlyb@mortgagenewsnetwork.com basketball, we might not be writing about this month’s Legend of Lending. Scott Koondel Phil Hall VP of Operations Managing Editor Thankfully, for thousands of Mortgage Brokers around the country, Mat chose to give up that (516) 409-5555, ext. 324 (516) 409-5555, ext. 312 game and take over the helm at United Wholesale Mortgage (UWM). The story of how he turned scottk@mortgagenewsnetwork.com philh@mortgagenewsnetwork.com a small wholesale lending arm of a larger lender into the number one wholesale lender in the Richard Zyta Francine Miller Social Media Ambassador Advertising Coordinator country reads like the stuff of legend. Don’t miss that story and see what you can learn from one (516) 409-5555 (516) 409-5555, ext. 301 richardz@mortgagenewsnetwork.com francinem@mortgagenewsnetwork.com of the youngest, most innovative leaders in our industry. Rick Grant Dylan Pollock One thing we know to be true about building great teams is that you must encourage Special Reports Editor Administrative Assistant everyone in the company to embrace self-development. To that end, we bring you a number of (570) 497-1026 (direct) (516) 409-5555, ext. 314 (516) 409-555, ext. 311 dylanp@mortgagenewsnetwork.com great articles in this month’s issue, devoted to not only helping you keep your team “in school” rickg@mortgagenewsnetwork.com and learning, but to also help you set the right strategy for creating a culture of continuous ADVERTISING To receive any information regarding advertising rates, deadlines and requirements, please contact learning and improvement in your company. VP-Sales & Marketing Beverly Bolnick at (516) 409-5555, ext. 316 or e-mail beverlyb@mortgageStart with your strategy. To help with that, we bring you, “How Education Is Key to a New newsnetwork.com. Model’s Success,” by Jaime Steinman, Vice President of Operations for Motto Franchising. ARTICLE SUBMISSIONS/PRESS RELEASES To submit any material, including articles and press releases, please contact Editor-in-Chief Eric C. Peck As you consider how to deliver the training your team will need to develop into industry at (516) 409-5555, ext. 312 or e-mail ericp@mortgagenewsnetwork.com. The deadline for submissions leaders, check out “Why Instructor-Led Training Beats Online Learning” by Nick Mantia, Vice is the first of the month prior to the target issue. President of Training at Angel Oak. SUBSCRIPTIONS To receive subscription information, please call (516) 409-5555, ext. 301; e-mail orders@mortgageAnd don’t forget your staff. They will want to have some say in how they receive the training newsnetwork.com or visit www.nationalmortgageprofessional.com. Any subscription changes may be made to the attention of “Circulation” via fax to (516) 409-4600. they need. Don’t miss “Eating the Elephant …” by Joseph Grunebach, Senior Mortgage Coach Statements, articles and opinions in National Mortgage Professional Magazine are the responsibility of the at Mountain West Financial, and “My Education, My Way” from Tyna-Minet Anderson, Vice authors alone and do not imply the opinion or endorsement of Mortgage News Network Inc., or the offiPresident of Mortgage Educators and Compliance (MEC), for more on that. cers or members of National Association of Mortgage Brokers and its State Affiliates (NAMB), National Association of Professional Mortgage Women (NAPMW), National Consumer Reporting Association (NCRA) Training isn’t just critical for the staff you have today. It’s also one of the keys to attracting and/or other state mortgage trade associations. Participation in NAMB, NAPMW, NCRA, and/or other state mortgage trade associations events, activyour future workforce. And that’s not just me saying that. See the article “Recruiting Tomorrow’s ities and/or publications is available on a non-discriminatory basis and does not reflect the endorsement Loan Officers: Training and Education Are Critical for Young Professionals and Other New Hires” of the product and/or services by Mortgage News Network Inc., NAMB, NAPMW, NCRA, and other state mortgage trade associations. by David Loeser, Vice Chairman and Executive Vice President of Human Resources at NewDay National Mortgage Professional Magazine, NAMB, NAPMW, NCRA, and/or other state mortgage USA, a nationwide VA mortgage lender. trade associations do not make any misrepresentations or warranties concerning the regulatory and/or compliance aspects of advertisers, products or services and/or the editorial content contained in Mortgage So many of the young professionals who will be working in our industry in the years ahead are News Network Inc. publications. National Mortgage Professional Magazine and Mortgage News Network Inc. reserve the right to edit, reject and/or postpone the publication of any articles, information or data. now part of what’s known as the gig economy. Recruiting and training these young people will require a different approach. For more on that, read “Are You Ready for the Gig Economy Worker’s Application? Training on underwriting the self-employed borrower more important than ever,” by Vance Edwards, CMB, Marketing Program Director for MGIC. And then, once you get these new stars on your team, it’s time to make sure you integrate them effectively into your existing organization and then get them started on the path of self-development. For help with all of that, we bring you “Onboarding Secrets for Thriving Recruits,” by Shirleen Von Hoffmann, a nationally-known top producer, author, speaker and writer for many real estate magazines, and “Developing All Leaders to Lead,” by Michelle Choquette, Chief Human Resources Officer at Gateway Mortgage Group. If you look at the curriculum in use by just about any trainer working in the industry today, you’ll find it heavy on compliance, and for good reason. One reason, as pointed out in this issues article by Mary Kamelle, Marketing Manager at Mortgage Equity Partners, is that “Compliance Doesn’t Take a Summer Vacation.” And for a completely different angle on this topic, as usual for this expert, we bring you Eric Weinstein’s article, “Son of a, Son of a, Son of a Clone.” Of course, we’re not just going to talk about the importance of learning in our special issue on learning, we’re going to provide you plenty of additional material to learn from. If that doesn’t sound completely clear, let me put it this way: Our August issue also includes: l ”OCR Technology: An Old Tool Is New Again” by Alok Bansal, Managing Director of Visionet Systems Inc. l ”Preparing for Storm Season” by Denis Brosnan, President and Chief Executive Officer of Dallas-based DIMONT l ”Lead-Based Marketing Is Dead … People-Based Marketing Is Thriving” by Mike Eshelman, Head of Consumer Finance at Jornaya l ”Everything You Need to Know About the NMLS Adoption of Electronic Surety Bonds” by Vic Lance, Founder and President of Lance Surety Bond Associates l ”The Mortgage Godfather: How Could I Dare Compare Myself to Simon Sinek and His Golden Circle?” by Ralph LoVuolo Sr. l ”Success in Mortgage Lending: How to Bring Back the Profit” by Jorge Ponce, Director of Product and Vendor Management at FirstClose Inside this month’s issue, you’ll also find all of the trade organization news and compliance updates that you’ve come to expect and plenty of monthly departments from the best group of industry experts anywhere. We learned a lot putting this month’s issue together for you and I know you’re going to take away some lessons that will help you continue to build a great company and achieve great success. In fact, it is my sincere wish for you that you do just that. Enjoy this issue. Sincerely, Joel M. Berman, Publisher-CEO Mortgage News Network Joel@MortgageNewsNetwork.com

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BEFORE HARD MO ONEY

NM MLS ID 144549 FFo or mortgage t professionals f i l only. l Thi This iinformation f ti is i intended i t d d for f the th exclusive l i use off liliccensed d reall estate t t and d mortgage t llendin di g prrofessionals f i l in i accordance d with ith local l l laws l and d regulations. l ti Distribution Di t ib ti to t the th generall pu ublic is prohibited. Rates and programs are subject to change without notice. Citadel SServicing Corporation is an Equal Opportun nity Employer and does not discriminate against individuals on the basis of race, ge ender, color, religion, national origin, age, disability, veteran status, or other classificatio on protected by law.

n National Mortgage Professional Magazine n AUGUST 2018

ODFÂŽ â&#x20AC;&#x201C; O Outside ide Dodd-Frank D dd F k

NAMB 601 Pennsylvania Avenue NW, South Building l Washington, D.C. 20004 l Phone: (202) 434-8250 l Fax: (530) 484-2906 l Web site: NAMB.org l E-mail: Membership@NAMB.org

NAMB 2017-2018 BOARD OF DIRECTORS E X E C U T I V E

John G. Stevens, CRMS President JohnGStevens@NAMB.org

Richard Bettencourt, CRMS President-Elect Rick.Bettencourt@NAMB.org

Nathan S. Pierce, CRMS Vice President Nathan.Pierce@NAMB.org

B O A R D

Michelle Velez, CMC Secretary Michelle.Velez@NAMB.org

Rocke Andrews, CMC, CRMS Treasurer Rocke.Andrews@NAMB.org

Fred Kreger, CMC Immediate Past President Fred.Kreger@NAMB.org

D I R E C T O R S

Linda McCoy, CRMS Linda.McCoy@NAMB.org

Chris Bettis, CMC, CRMS Chris.Bettis@NAMB.org

Wayne King, CMC, CRMS Wayne.King@NAMB.org

Michael DeSantis Mike.DeSantis@NAMB.org

Olga Kucerak, CRMS Olga.Kucerak@NAMB.org

George Burkley, CRMS George.Burkley@NAMB.org

Valerie J. Saunders, CRMS Executive Director ValSaun@NAMB.org

Harry H. Dinham, CMC Chief Operating Ofﬁcer HDinham@NAMB.org

National Association of Professional Mortgage Women 6000 Gisholt Drive, Suite 200 l Madison, WI 53713 l Phone: (608) 886-9817 l E-mail: Admin@NAPMW.org l Web site: NAPMW.org

2018-2019 NAPMW NATIONAL BOARD OF DIRECTORS

Laurel Knight-Keane National President President@NAPMW.org

Glenda Mooney President-Elect PresElect@NAPMW.org

Tobi Libbra Vice President NVP1@NAPMW.org

Rolanda Legg Vice President NVP2@NAPMW.org

Jaclyn Weedin Secretary NatSecretary@NAPMW.org

Nicole Shea Treasurer NatTreasurer@NAPMW.org

Robin Hart Parliamentarian Parliamentarian@NAPMW.org

National Consumer Reporting Association 6

701 East Irving Park Road, Suite 306 l Roselle, IL 60172 l Phone: (630) 539-1525 l Fax: (630) 539-1526 l Web site: NCRAInc.org

AUGUST 2018 n National Mortgage Professional Magazine n

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2017-2018 BOARD OF DIRECTORS

Paul Wohkittel President (410) 644-5020 PWohkittel@CISInfo.net

Mary Campbell Vice President (701) 239-9977 Mary@AdvantageCreditBureau.com

Julie Wink Ex-Officio (901) 259-5105 Julie@DataFacts.com

William Bower Director (800) 288-4757 WBower@Continfo.com

Janet Curtis Director (210) 224-6121 JCurtis@SARMA.com

Maureen Devine Director (413) 736-4511 MDevine@StrategicInfo.com

Brian McKinney Director (706) 373-2200 McKinney@MCBUSA.com

Helen Meyers Director (800) 782-9094 Helen@CreditInfoSystems.com

Mike Thomas Director (615) 386-2285, ext. 285 MThomas@CICCredit.com

Debbie Loyning Director (425) 264-1024 Debbie@Alliance2020.com

Delia Zuniga Director (623) 889-8999 Delia@AdvantagePlusCredit.com

Terry Clemans Executive Director (630) 539-1525 TClemans@NCRAInc.org

Jan Gerber Office Manager/Member Services (630) 539-1525 JGerber@ NCRAInc.org

Roy Goodwin Compliance Services Director (630) 539-1525 RGoodwin@ NCRAInc.org

Gary Glucroft Director (800) 877-3908, ext. 100 GaryG@TheScreeningPros.com

ARMCP Membership Hits the 1,600 Mark The Association of Residential Mortgage Compliance Professionals (ARMCP) has reported that its membership is now at approximately 1,600 members. ARMCP is the first and only independent, national organization in the United States devoted exclusively to residential mortgage compliance professionals. “This year will be special for us, because we will be launching our very own Web site, a state-of-the-art site designed specifically to fulfill the needs of residential mortgage compliance professionals,” said Jonathan Foxx, Ph.D., MBA, Founder and President of ARMCP. “Our independence means we are not affiliated with any profit-oriented corporation or enterprise. Our membership consists solely of those members who have joined it on their own and were not solicited to join it via solicitations from third-party lists or subscriptions. Our independence is the key to the value of our advocacy!” If you would like to refer an individual for membership in ARMCP, please use the ARMCP LinkedIn Group to invite them to join. There is no cost for membership and all new members are welcomed. If you want to join directly, send an e-mail to Info@ARMCP.org.

NationalMortgageProfessional.com

n National Mortgage Professional Magazine n AUGUST 2018

Use Non-QM Expertise to Win Realtors’ Trust By Tom Hutchens

AUGUST 2018 n National Mortgage Professional Magazine n

NationalMortgageProfessional.com

oan Officers must offer something new and positive if they want more Realtors to refer business to them. After all, every successful Realtor already has a referral relationship with at least one Originator. To open new doors, you must have a unique, problem-solving approach. Agents will pay attention when you can qualify potential homebuyers who have been turned down by other lenders. Many Realtors are unaware how much lost business results from relying on lenders who only handle agency loans. Despite the tremendous growth and reliable performance of non-QM mortgages during the last five years, most Real Estate Agents remain unaware that excellent alternatives exist for people who fail to prequalify with their preferred lenders. According to “Coach” Bob Williamson, who trains mortgage professionals, Realtors have no incentive to talk to a new Originator unless they are either unhappy with the ones they have or believe that you “could offer them more than they are currently getting from the lender they already have.” That’s where expertise in non-QM loans can differentiate you from your competitors. “I cold-call Realtors every day and I’d say that 80 percent are either unaware of non-QM loans or never before heard from an Originator who specializes in them,” said John Ribbler of Custom Mortgage Services in Cumming, Ga. “My intro is simple: ‘Do you have a point person for people who have trouble pre-qualifying?’” Mr. Ribbler told me that his opening query often draws out detailed stories about lost business opportunities. He says that even Realtors who have basic knowledge of non-QM loans are unaware how many different products are available to accommodate the diverse range of people who need them. “Realtors always want to learn new ways to grow their businesses,” Mr. Ribbler said. “When talking about non-QM mortgages, I get quality time on the phone and make those conversations memorable. That’s the key to establishing longterm relationships.” Mr. Ribbler is among a growing number of independent Loan Officers who rely on Angel Oak Mortgage Solutions (AOMS) for core knowledge about alternative loans and the tools he needs to manage the mortgage finance process from pre-qualification through closing. After establishing that allimportant personal relationship, he follows up with personalized flyers. When a Realtor wants to know what they can do for a client, they use the AOMS Quick Quote (AngelOakMS.com/QuickQuote) tool to instantly gauge the prospect’s potential. Most importantly, he says his AOMS Account Executive is available by phone day and night. To learn more about building unique, value-driven Realtor relationships, contact your Account Executive by calling (866) 837-6312 or at AngelOakMS.com/Map.

Tom Hutchens is Executive Vice President, Production at Angel Oak Mortgage Solutions, an Atlanta-based wholesale and correspondent lender leading the non-QM space for four years and licensed in over 35 states. Tom has been in the real estate lending business for nearly 20 years. He may be reached by phone at (855) 539-4910 or e-mail Info@AngelOakMS.com.

SPONSORED EDITORIAL

new to market

continued from page 13

and tested by consumers. “Increasing engagement and providing tools that add value are key to deepening the servicercustomer relationship,” said Joe Nackashi, President of Black Knight. “By providing anytime, anywhere access to an array of customer-specific information and functionality, LoanSphere Servicing Digital enhances the consumer’s servicing experience and adds value on an ongoing basis, which results in higher retention rates.” LoanSphere Servicing Digital provides customers with easy access to specific information about their mortgages, such as type of loan, interest rate and estimated PMI drop date. It allows mortgage customers to make payments, view detailed payment history and perform other selfservice functions within the application. Customers can also explore various “What-If” scenarios, including options for building equity more quickly or the relative benefits of paying down or refinancing their loan. In addition, LoanSphere Servicing Digital provides up-to-date and valuable neighborhood information, such as recent sales, local school data and demographics, as well as transaction and lien history on the property. Clopton Capital Debuts Commercial Mortgage Calculator

Clopton Capital, a Chicagoheadquartered commercial mortgage lender, is now offering a free commercial mortgage calculator app for Android and iPhone devices. According to the company, the calculator can provide results including downpayment, monthly and yearly payments, cash flow after debt service, debt service coverage ratio, debt yield and return on investment. “The commercial mortgage calculator will give the user the ability to generally analyze the financing and returns on any commercial property,” said Jake Clopton, President of Clopton Capital. “The layout of the calculator is set up for acquisition scenarios and you will be able to see potential equity returns and coverage based and different levels of financing.”

Ernst’s New Date Forward Offering Ensures TRID Compliance

Ernst has released a new offering, Date Forward, that allows lenders to accurately disclose closing costs to borrowers even if the fees are scheduled to change before the closing date, thus protecting them from TRID violations. Date Forward allows the lender to estimate fees accurately as of the expected closing date, not just the application date. “Fees change all the time. Last year we saw over 12,000 fee changes, a record high from previous years,” said Gregory E. Teal, President and Chief Executive Officer of Ernst Publishing. “This exposes the lender to significant risk, especially in a purchase money environment where taking the time to re-disclose is subject to the three-day change of circumstance requirement. Not redisclosing means lender cures. Date forward gives the lender the confidence to disclose the fees accurately from their first quote, even if they will change before the loan gets to the closing table.” Last year, Ernst’s systems found that fee changes handed down by County Recorders in the state of Louisiana alone resulted in millions of dollars in additional fees for consumers. Lenders that failed to disclose these additional fees were forced to choose between delaying the closing or paying the difference themselves. Ernst’s patented monitoring program works together with its date forward calculator to validate for the lender and title closing agent that the anticipated fee change actually went into effect. Together the two programs provide a complete solution for disclosing accurate closing costs, even if they change during loan processing. Gateway Mortgage Group Debuts LinkStep Digital Tool

Gateway Mortgage Group, a Jenks, Okla.-headquartered fullservice mortgage company licensed in 42 states, has introduced LinkStep, its new Webbased digital mortgage experience continued on page 38

NAMB+ is an independent, wholly-owned, for-profit marketing subsidiary of NAMB, The Association of Mortgage Professionals. Dear Mortgage Professional, Are you a NAMB Member? Did you know that taking advantage of the money-saving discounts and offers available from even one of the NAMB+ Endorsed Providers listed below will likely pay for your NAMB membership for an entire year? As mortgage loan originators ourselves, we know how important it is to have the right tools and technology to help us remain compliant, serve our clients and close loans faster and more efficiently than our competition. This is why we volunteer our time to serve on the NAMB+ Board of Directors and build relationships with NAMB+ Endorsed Providers, so we can help deliver added value to your business through your membership in NAMB. Each of the NAMB+ Endorsed Providers featured below wants to help you become more successful, and in addition to offering significant money-saving

discounts and other benefits to NAMB Members each of these companies will provide you with exceptional customer service and support. If you are already working with one or more of our NAMB+ Endorsed Providers, please thank them for their support of your Association, and if you aren’t yet working with any of our NAMB+ Endorsed Providers call them today and learn how they can help you and save you money. Sincerely,

Mike DeSantis President, NAMB+, Inc. mike.desantis@namb.org

See below for a complete listing of the current NAMB+ Endorsed Providers and visit NAMBPlus.com for more information. Full-service mortgage credit reporting company serving the nation’s financial community. Avantus provides custom mortgage credit reports, fraud and compliance solutions, and innovative lead generation products available exclusively to Avantus customers. NAMB members receive a discount off Brokers Compliance Group compliance support programs.

PreApp 1003 Founded in 2015, Houston-based PreApp 1003 was created to fill a growing need for mortgage loan originators to easily and securely prequalify mortgage prospects from the convenience of their mobile devices. Sarma gives you access to their extensive resources including: merged reports from the three top credit bureaus, CreditXpert tools, AVM Reports, SocialValidate, TRV Verification, Interface with over 30 LOS, Fannie and Freddie connection, Verification of employment/deposit and much more.

If you want a social and mobile marketing strategy that gets noticed contact Social5 today for a FREE consultation and demo and to receive your NAMB member discount pricing SYNCRO connects mobile 19 salespeople to their office website leads. NAMB Members receive a 10% discount off regular prices for monthly unlimited SYNCRO Web Chat packages. USA Business Lending, Inc. USA Business Lending is your complete resource for everything commercial lending. With our extensive network of funding sources and specialized loan programs, you can be sure that your clients have access to the most competitive rates and terms available on the market.

NAMB Members will receive a Twenty-Five Percent (25%) discount off of the regular price with their NAMB Membership. MortgageHippo Swift allows loan originators of all sizes to deliver a modern borrowing experience, significantly improve borrower conversions, reduce origination costs and integrate with other innovative technologies in the mortgage industry.

Simplii VOIP business phone solutions include all the features and functionality of a high end business phone system

If you are not a NAMB member please visit NAMB.org and join today to gain access to NAMBPLUS.com and the many beneﬁts NAMB members receive!

n National Mortgage Professional Magazine n AUGUST 2018

MassMutual Disability Income Through an arrangement with Massachusetts Mutual Life Insurance Company (MassMutual), NAMB members have an opportunity to apply for individual disability income insurance (DI) at discounted rates.

MySMARTblog.com The way your prospects think has changed and that is where the massive shift occurred. At MySMARTblog.com we build a complete, dynamic and Profitable Online Presence™ in order to protect you and your valuable repeat and referral business from your competition.

without the high costs. We offer all NAMB members a 10% discount off their phone services.

NationalMortgageProfessional.com

CalSurance® offers competitively priced Professional Liability Insurance for NAMB members. Multiple coverage options and an easy application process are available.

NAMB members will receive a 25% discount.

Marketing: Late Summer 2018

ates are increasing, which means there is a shift occurring from refinance to purchase. Every time rates go up, the industry moves to a purchase market.

Fact … rates are going back up, and it might be a while before the housing market increases enough for another refinance boom.

The difficulty with marketing for purchase business The difficulty with marketing for purchase business is that there’s really no way to tell when someone’s “interested” in purchasing anything. It’s a thought, and it cannot be read. Even Google’s algorithms cannot read people’s minds … yet. So the real question is: How do you find people who are genuinely interested in purchasing a home? The simple answer is you can’t. But luckily, we’re moving into Web 3.0 which brings the Internet and traditional marketing techniques together. What this does for you as a mortgage professional is that it provides people who are genuinely interested in purchasing a home because they have gone online and asked to be contacted by a Loan Officer.

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Now you have people interested in buying, but how do you know if they qualify? The solution to this key problem lies in cutting-edge software systems that marketing companies have. It’s within these systems that Internet leads can be combined with traditional data files and thus traditional marketing strategies. This process produces a lead that is interested in purchasing a home, and qualified to buy (we know this from a combination of Internet data, traditional data files and consumer surveys). How do you put all this together to produce quality, interested prospects for yourself? That’s completely up to you. One of the best parts about this new style of marketing is the versatility that it offers. Depending on how you best close new business, there are several places to get quality Internet leads for purchase prospects in all 50 states. You can partner with a call center to call on past and current leads to produce live transfers. You can buy bulk-aged Internet leads also called (OPT-IN DATA) and send direct mail to them. Or you can call a marketing firm that combines all of these verticals and is already producing leads throughout the nation. In all of the above referenced scenarios, you get a quality lead that closes at a higher rate, producing closed loans in your area at profitable acquisition costs.

TagQuest Inc. is a full-service marketing firm specializing in marketing for the mortgage industry. Call (888) 717-8980 or visit www.tagquest.com.

IMAGINE • INNOVATE • SUCCEED SPONSORED EDITORIAL

nmp news flash

continued from page 16

were above the increases of 2.2 percent and 3.9 percent in March respectively. Among the 20 metro areas tracked by CoreLogic, Las Vegas had the highest year-over-year increase in single-family rents in April at 5.9 percent, followed by Phoenix with a 5.5 percent increase and Orlando with a 5.3 percent increase. For the sixth consecutive month, Honolulu was the only metro with decreasing rent prices, dropping 0.3 percent year-over-year in April. “Rent prices increased significantly across the country in April, with the southwest region showing the highest growth rates,” said Molly Boesel, Principal Economist at CoreLogic. “National employment growth has remained steady in 2018, which could be a driver of continued rent increases.” Separately, Zillow reported that African-Americans renters could only afford less than one-third of the rentals during 2017 than white or Asian-American renters. Last year, a renter making the median black household income of $39,647 could afford 16.2 percent of the available rentals on Zillow without putting more than 30 percent of their pre-tax income toward housing costs. If they spent 45 percent of their income on rent, they could afford 42 percent of the listed rentals. In comparison, renters earning the median Asian-American household income of $83,007 could afford 67.4 percent of rentals while spending 30 percent of their income on housing, while white renters with a median income of $64,944 could afford 49.7 percent of listed rentals. Renters earning the median Hispanic household income $48,210 could afford 27.3 percent of rentals last year. “Perhaps more so than any other factor, income determines where and how we live in the United States today. Income disparities across racial and ethnic groups in the United States have remained stubbornly persistent, and as a result, Black and Hispanic families encounter far fewer affordable rental options than white and Asian families,” said Zillow Senior Economist Aaron Terrazas. “With fewer affordable options, these households are likely to have to make sacrifices elsewhere, whether that means putting a higher share of their income toward rent and cutting back on saving, cutting costs elsewhere in

their budgets, moving further away or living with more people. The desire to own a home is similar across all races, but the difference in homeownership rates between races is wide—a lasting legacy of the historical income gap.” Builder Confidence Holds Steady for July

Builder confidence in newly-built single-family homes remained unchanged at a 68 reading in July on the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI). The HMI index measuring current sales conditions remained unchanged at 74 while the component gauging expectations in the next six months dropped two points to 73 and the metric focused on buyer traffic rose two points to 52. Looking at the three-month moving averages for regional HMI scores, the Northeast rose one point to 57, the Midwest remained unchanged at 65 and the West and South each fell one point to 75 and 70, respectively. “Builders are encouraged by growing housing demand, but they continue to be burdened by rising construction material costs,” said NAHB Chief Economist Robert Dietz. “Builders need to manage these cost increases as they strive to provide competitively priced homes, especially as more firsttime home buyers enter the housing market.” Your turn National Mortgage Professional Magazine invites you to submit any information on regulatory changes, legislative updates, human interest stories or any other newsworthy items pertaining to the mortgage industry to the attention of: NMP News Flash column Phone #: (516) 409-5555 E-mail: Newsroom@MortgageNewsNetwork.com

Note: Submissions sent via e-mail are preferred. The deadline for submissions is the 1st of the month prior to the target issue.

NationalMortgageProfessional.com

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Message From NAMB 2017-2018 President John G. Stevens, CRMS NAMB Announces New Legislative Action Fund NAMB’s Government Affairs team continues to fight for the interests of consumers and mortgage professionals by exhausting every possible avenue to make improvements to rules and regulations that are negatively impacting our industry and our customers. With the launch of our new Legislative Action Fund initiative, NAMB is asking for your help to bolster the association’s Government Affairs activities and ensure that NAMB maintains its stature and position in Washington, D.C. as the national voice of the mortgage professional. How will NAMB use funds contributed to the Legislative Action Fund? Contributions to the NAMB Legislative Action Fund will provide much-needed additional financial support for NAMB’s Government Affairs efforts. These contributions will not be used to contribute to political campaigns. Why should you contribute to the Legislative Action Fund? NAMB remains the recognized and respected voice of mortgage professionals in Washington, D.C. NAMB is the only national organization specifically looking out for the unique needs and interests of small business mortgage professionals and the consumers we serve. The federal government has assumed unprecedented regulatory oversight of our profession, and both Congress and the CFPB continue to have a huge impact on our businesses. NAMB must double-down on its Government Affairs efforts to maintain its critical seat at the table and continue fighting to protect the businesses and the consumer. Millions of dollars are spent by countless organizations working against you and your interests. NAMB needs your support to make sure we can remain effective and continue to help you and your business succeed.

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How can you contribute? Make a one-time or monthly recurring credit card contribution today by visiting NAMB.org or fill out the Legislative Action Fund Form on the page to the right. Sincerely,

John G. Stevens, CRMS President of NAMB

“NAMB is the only national organization specifically looking out for the unique needs and interests of small business mortgage professionals and the consumers we serve.”

John G. Stevens, CRMS is President of NAMB and Vice President of Cornerstone Mortgage Group. John has been actively involved in NAMB and mortgage industry thought leadership since 2010. Feel free to reach John by phone at (801) 427-7111 or e-mail JohnGStevens@gmail.com.

Support NAMBâ&#x20AC;&#x2122;s Advocacy Efforts Donate to the NAMB Legislative Action Fund

Name: ________________________________________________________________________________________ Address: ______________________________________________________________________________________ City/State/Zip: __________________________________________________________________________________ Phone #: ______________________________________________________________________________________ E-mail Address (for receipt): ______________________________________________________________________ Company Name (if making a corporate contribution): ________________________________________________ ______________________________________________________________________________________________ Contribution Amount:

__________________________________________________________________________

Authorized Signature:____________________________________________________________________________ Contributions to the NAMB Legislative Action Fund are used to support and enhance NAMBâ&#x20AC;&#x2122;s Government Affairs initiatives and will not be used to contribute to any political campaign. Legislative Action Fund Contributions are not tax deductible. Completed contribution forms can be faxed to (530) 484-2906 or e-mailed to Ryan.Riesterer@NAMB.org. Checks should be made payable to NAMB and mailed to:

NAMB 601 Pennsylvania Avenue NW, South Building, Suite 900 Washington, D.C. 20004 For Security Purposes, after the transaction is processed, this portion of the form will be detached & destroyed

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q M/C

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N A M B

P E R S P E C T I V E

A Message From NAMB Government Affairs Committee Chair Christopher J. Bettis, CMC, CRMS

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Myth and Mortgage Reality It amazes me when we consider just how much misinformation is shared within every industry. And the “myths” within ours are no different. Here are the most prevalent that I hear daily from Mortgage Loan Officers. First, the CFPB was shut down, and second, the Dodd-Frank Wall Street Reform & Consumer Protection Act was repealed. Have you heard this or repeated either of these? Let’s destroy these myths with some mortgage truth. The CFPB did not shut down. Yes, there is a new Director, and in all likelihood, what most likely spurred this urban myth is the name change to the “Bureau of Consumer Financial Protection” or “BCFP.” BCFP is pronounced “BuC-FuP.” I double dog dare you to say that 10 times fast without swearing! With all levity aside and rightfully due respect to the Bureau, I get the new name with the new Administration. This is not The Bureau of before. I am so appreciative and impressed at the level of communication thus far between the Bureau, the consumer, and now, our industry. Next, the Dodd-Frank Act was not repealed. We, however, saw the passing of S 2155–The Economic Growth, Regulatory Relief, and Consumer Protection Act. The real winners and most significant change occurred in the portfolio money and small bank channels. I’ll list the few provisions that affect all … l The option for a Rural Appraisal Waiver when you cannot find the appraiser (Sec. 103). l Transitional licensing from registered to licensed and licensed to a new state (Sec. 106). l No wait for lower mortgage rate (Sec. 109). l Deletion of personal ID or driver’s license (Sec. 213). l Reducing identity fraud especially for minors and recent immigrants through the creation of a database maintained by the Commissioner (Sec. 215). l National security freeze for consumers extended from 90 days to one year (Sec. 301). l Protecting veterans’ credit through the exclusion of medical debt and removal from their file (Sec. 302). There’s definitely some great change in there, and I look forwarding to digging in deeper in the coming months together. We’ll unpack each of these provisions from “Dodd-Frank 2.0.” Finally, please don’t regurgitate myths/misinformation. I know we are all busy, but I challenge you to get involved with your local, state or national association. In my humble opinion, this is the best way to stay informed and raise your standard as a mortgage professional. Go NAMB! Government Affairs Committee rocks! And to YOUR success! Christopher J. Bettis, CMC, CRMS of Eugene, Ore.based Precision Capital is a member of the NAMB Board of Directors and Chairman of the Government Affairs Committee. He may be reached by e-mail at Chris.Bettis@NAMB.org.

NAMB Certification Committee Update By Linda McCoy, CRMS

I heard from a Loan Originator recently who had her Certified Residential Mortgage Specialist (CRMS) designation and it is no longer on the NAMB Web site under “Current Certified Professionals.” She wants to get back on our list because NAMB certifications are very important to her business. She said she uses her CRMS designation in her advertising and marketing materials. She also told me that she had worked too hard to get her CRMS that she wanted to make sure she was on that list. I have received so many e-mails in the last few months about certifications like this. Thank you for contacting me. I am very pleased that interest is rising in NAMB’s certification offerings, and many of you are planning on getting your certification through NAMB. I have also had several inquiries from mortgage professionals who have their certifications and want to know how they can use them to help get more business. This is a great place for me to help those originators and give them ideas of how important it is to have your certification. Send me your ideas that I can pass on and share here in the pages of National Mortgage Professional Magazine. Your stories just might aspire someone to fill out an application and get certified themselves. I have told you it sets you apart from others who have not pushed the boundaries and educated themselves and researched deeper into the mortgage industry. Some have had their certifications in the past and did not know that their certification is good for three years before you need to recertify. If your name has disappeared from the list, you might need to go to NAMB.org, under Certifications and click on “Recertification Requirements.” The reason that your certification is so important is because we keep you engaged in continuing your education and make sure you are worthy of putting that NAMB certification behind your name. We want you to feel just like the woman mentioned in the beginning of this article who wants her name back on NAMB’s certification Web site. If you are relatively new in the business and want to get started on your first certification, you can start off with the General Mortgage Associate (GMA). The CRMS is for a more experienced mortgage professional and the Certified Mortgage Consultant (CMC) is more advanced by adding commercial lending as well. We are working on rolling out other certifications this year which include VA, and a Certification for Account Executives. Please keep sending me e-mails and sharing your stories. I want to help you take the next step wherever you are in the process. Linda McCoy, CRMS of Mobile, Ala.-based Mortgage Team 1 Inc. is a member of the NAMB Board of Directors, as well as NAMB Certification Committee Chair. She may be reached by e-mail at Linda.McCoy@NAMB.org.

N A M B

P E R S P E C T I V E

NAMB National 2018

Why Do I Need NAMB?

Saturday-Monday, December 8-10 Caesar’s Palace 3570 South Las Vegas Boulevard • Las Vegas NAMB is excited to announce that NAMB National 2018 will be held at the Caesar’s Palace in Las Vegas, from Saturday-Monday, Dec. 8-10. As famous as Las Vegas itself, Caesar’s Palace is the best-known casino resort in the world—and with good reason. What began as a grand casino honoring the indulgent luxuries of ancient Rome has somehow evolved into something even more spectacular. Caesar’s Palace is renowned for impeccable service and attention to detail, and conference exhibitors and attendees can rightly expect the same. In fact, the only thing that can ever surpass their commitment to provide an extraordinary experience for their guests is their commitment to make planning it simple and effortless for you. Limited space is available ... sign up today! For more information, visit NAMB.org.

NAMB Swarms Coming Soon …

l l l l l l l l

NAMB Testifies Before Congress NAMB Works With the CFPB NAMB Participates in Multiple Regulatory/CFPB Panels NAMB Webinars Full-Time NAMB Lobbyist on Capitol Hill NAMB Protects Your Business NAMB Forms Industry Coalitions NAMB Education

For detailed information, visit NAMB.org.

Are You an NAMB Lending Integrity Seal of Approval Holder?

NationalMortgageProfessional.com

(No additional costs to NAMB members)

How to Apply for your National Lending Integrity Seal LendingIntegrity.org Click on EARN the Seal NAMB members ONLY–Log in to the Lending Integrity site with your NAMB User ID and Password (If you do not know your User ID and Password, type in your e-mail and click log-in and the system will send you a password. If you have any issues, please call (202) 434-8250 or e-mail Membership@NAMB.org).

Save the Date … NAMB 2019 Legislative & Conference Thank you to all who attended the 2018 NAMB Legislative & Regulatory Conference in Washington, D.C. Be sure to mark your calendar for Saturday-Tuesday, May 4-7, 2019 at the Liaison Capitol Hill Hotel, 415 New Jersey Avenue NW in Washington, D.C. for the NAMB 2019 Legislative & Regulatory Conference! Details will be made available in the coming months on NAMB.org.

Lending Integrity Requirements The Lending Integrity Seal of Approval is awarded only to mortgage originators who meet specific requirements. To earn the privilege to display the Seal, mortgage brokers and loan officers must: l Be an NAMB member l Meet the requirements of the SAFE Act l Pass a national criminal background check l Attend eight hours (or equivalent) of professional development education each year l Attend two hours (or equivalent) of ethics training every other year or each license renewal cycle l Provide professional references l Subscribe to NAMB’s Best Business Practices l Agree to NAMB’s Code of Ethics l Must be renewed annually

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Join NAMB, the Young Mortgage Professionals Association (YMPA) and National Association of Professional Mortgage Women (NAPMW) for the upcoming “NAMB On the Road” events now titled “NAMB Swarm,” sponsored by United Wholesale Mortgage. This day-long event is filled with a variety of speakers that will provide those in attendance with great information and useful tools that can be used to help grow and improve your business! The cost for this session is only $40 per person and includes breakfast and lunch! Upcoming NAMB Swarms: l Thursday, Sept. 13 at the Boston Marriott Burlington in Burlington, Mass. l Thursday, Oct. 18 at the West Des Moines Marriott in West Des Moines, Iowa For more information on upcoming NAMB Swarm events, visit NAMB.org.

NAMB.org … JOIN TODAY!

AUGUST 2018 n National Mortgage Professional Magazine n NationalMortgageProfessional.com

NMPâ&#x20AC;&#x2122;s Legends of Lending: Unite

ted Wholesale Mortgage Building a Better Future for Wholesale Lending s the market continues to turn away from refinance mortgage business and back to the purchase money market, third-party originators (TPOs) are becoming increasingly important. No one has a closer relationship with today’s mortgage borrower than the Mortgage Broker. Companies that realize this and partner with the nation’s Brokers to provide the liquidity required to help more borrowers achieve the American Dream position themselves to become legends in this industry. The nation’s largest wholesale lenders have worked long and hard to maintain their footing over the past three decades, weathering a storm that took upwards of 80 percent of the Mortgage Broker community out of the business. Of the firms that remained true to the wholesale lending model, none has been more successful than United Wholesale Mortgage (UWM) in Pontiac, Mich. A family business founded in 1986, UWM is the wholesale lending arm of United Shore Financial Services. It has been the largest wholesale lender by volume since 2013, largely by providing state-of-the-art technology and unrivaled client service from the industry’s leading account executives. Well, that and having one of the most unconventional CEOs in the business. Mat Ishbia, the son of Shore Financial’s founder, took the helm of the company when it was originating about $100 million annually. He then grew it into a $2.7 billion-a-year powerhouse in the years before the financial crash. After that, the business was tough for everyone in the wholesale lending sector, but UWM, like a handful of its peers, stuck it out and rebuilt. Today, the company ranks seventh among all mortgage originators in the country, with the company estimating that it

By Rick Grant

Putting his company on the same team with the Brokers it partners with has made all the difference. Ishbia coaches his people to put their focus squarely on the third-party loan sources that keep the volume coming in. Brokers are responding to UWM’s approach. The company’s growth is the best measure of that success. “We make Brokers look great all the time because of our great service and partnership tools,” Ishbia said. “We’re consistent across the board and are constantly improving. We’re always making changes to improve our business and make Brokers’ jobs easier.”

“We’re truly partners with our Brokers. We don’t compete with them. We are here to help them protect their business and get more loans because of our great turn times, our amazing technology, our e-closing platform, our doc-less process, and so on.” —Mat Ishbia, President/CEO, United Wholesale Mortgage (UWM)

controls as much as 20 percent of the wholesale lending business. Ishbia told the market last year, when the company ranked further down the list, that he would break the top 10 this year. Those who doubted him are unlikely to do so again. Building a championshipcapable team UWM is known for its highlyefficient, accurate and expeditious lending support. It comes down to exceptional teamwork, something Ishbia knows a lot about. He studied business management at the Michigan State University, but in 1998, made the school’s nationally-ranked basketball team. He was on the championship team in 2000 and almost became a professional coach after graduation. But his love for business and an opportunity provided by his father pulled him into the wholesale mortgage lending business. But he didn’t come into

this business to conform to the traditional norms. He came in to change the way the game was played. “Two big things differentiate UWM in the market,” Ishbia said. “Our service and our partnership with Mortgage Brokers. We help our Mortgage Broker clients wow their borrowers and the real estate agents they work with to help them earn referrals for more business.” Ishbia’s playbook for mortgage lending is geared toward simplicity and customer satisfaction. “Everything is set up to make the loan process so simple and easy that Loan Officers and Processors love us across America,” he said. “We’re truly partners with our Brokers. We don’t compete with them. We are here to help them protect their business and get more loans because of our great turn times, our amazing technology, our eclosing platform, our doc-less process, and so on.”

Growing a better future for brokers Ishbia is not the first wholesale lender to say that the Broker is the focus of its business. But results speak louder than words and UWM has been showing consistently great results for several years. Ishbia says this is because he has built the company in a manner that is different from other lenders, from the core out. “We take great care of our people here and we take great care of our clients,” Ishbia said. “From the standpoint of how we do business, everything starts with our clients. Everything our company does is focused on what our Mortgage Broker clients need to grow their business, and how we help them be successful. Because our business at UWM grows as our clients’ business grows.” And growth is a goal that Ishbia says his company will absolutely achieve. “We’re just getting started in terms of where our company is going,” he said. “The Mortgage Broker channel will continue to grow, and UWM is going to grow with them.” Ishbia maintains that the mortgage brokerage is the best place for a professional Loan continued on page 47

NAMMBA CONNE C O M I N G

The CONNECT 2018 Tour is a one-day conference held in six cities across the country, bringing all of the great educational content you’re used to from NAMMBA CONNECT to a city near you. NAMMBA is the mortgage industry’s premiere educational, networking and professional development experience. These conferences are designed to engage, enlighten and empower real estate and finance professionals from across the country. Come connect with some of the mortgage industry’s most diverse women and minority talent!

NAMMBA CONNECT CHICAGO Thursday, September 6 Hilton Oaklawn 9333 South Cicero Avenue • Oak Lawn, Ill. 9:00 a.m.-5:00 p.m. Highlights of NAMMBA CONNECT Chicago … l An Introduction from Tony Thompson, CEO/Founder, NAMMBA l Building Your Brand With Social Media featuring Andrea Kozak, Digital Marketing Program Specialist, MGIC l Realtor Panel featuring David Porter, Managing Director, Porter Group Real Estate; Ivette Hollendoner, Realtor with Keller Williams; and Jane Lee, President, Jane Lee Homes l The Coaches Corner featuring Jennifer Du Plessis, Principal, Kinetic Spark Consulting; Deryck Cheney, Mortgage Coach, Deryck Cheney Mortgage Coaching; and Stuart Tyrie of Rewire Inc. l LO Top Producer Panel featuring Barry Johnson, LoanDepot, Loan Officer; Brian Weiss, Fairway Mortgage, VP/Area Manager; Catherine Okoroh, Guaranteed Rate, VP of Mortgage Lending; Kelly Price, Wintrust Mortgage, Loan Officer; Melissa Guerra, LoanDepot, Loan Officer; Joy Sinegar, US Bank, Senior Loan Officer; Ramona Brooks, CIBC Bank, Senior Loan Officer; and Tammy Hajjar Miller, The Federal Savings Bank, Senior Vice President-Mortgage

NAMMBA CONNECT D.C.

Tuesday, September 18 Double Tree by Hilton Tyson’s Corner 1960A Chain Bridge Road • McLean, Va. 9:00 a.m.-5:00 p.m. Highlights of NAMMBA CONNECT D.C. … l An Introduction from Tony Thompson, CEO/Founder, NAMMBA l Building Your Brand With Social Media featuring Ben Smidt, MGIC, Digital Marketing Program Manager

T O

l Realtor Top Producer Panel featuring Peter Nguyen, Sotheby’s International Realty, Realtor; Billy Ekofo, Century 21 Redwood Realty, Director; Robert Chevez, The CAZA Group, Chief Visionary Officer; and Janice Spearbeck, RE/MAX Gateway, Realtor l Keynote Luncheon with David H. Stevens, Mortgage Bankers Association (MBA), President/CEO l The Coaches Corner featuring Jennifer Du Plessis, Principal, Kinetic Spark Consulting; Deryck Cheney, Mortgage Coach, Deryck Cheney Mortgage Coaching; and Stuart Tyrie of Rewire Inc. l LO Top Producer Panel featuring Francki DiFrancesco, Apex Home Loans, VP of Residential Lending; Kristi Hardy, Atlantic Coast Mortgage, VP/Senior Loan Officer; Robin McCauley, Caliber Funding, Loan Officer; and Chong Yi, Fairway Independent Mortgage, Loan Officer

NAMMBA CONNECT GREENSBORO Wednesday, October 3 Sheraton Greensboro at Four Seasons 3121 West Gate City Boulevard • Greensboro, N.C. 9:00 a.m.-5:00 p.m. Highlights of NAMMBA CONNECT Greensboro … l An Introduction from Tony Thompson, CEO/Founder, NAMMBA l Building Your Brand With Social Media featuring Zak Stoiber, MGIC, Digital Marketing Specialist l Realtor Panel featuring Patty Gillespie, Keller Williams, Realtor; Valarie Brooks, Love Charlotte Homes, Realtor; and Angie Cole, A Cole Realty, Broker-in-Charge l Keynote Luncheon featuring Tol Broome, BB&T Home Mortgage, President l LO Top Producer Panel featuring Rita Hazell, Movement Mortgage, Loan Officer; Wes Sellew, Renasant Mortgage Lending, Loan Officer; and Chris Roberts, Regions Bank, VP/Senior Loan Officer

NAMMBA CONNECT DALLAS Wednesday, October 24 Addison Conference Center 15650 Addison Road • Addison, Texas 9:00 a.m.-5:00 p.m. Highlights of NAMMBA CONNECT Dallas … l An Introduction from Tony Thompson, CEO/Founder, NAMMBA l Building Your Brand With Social Media featuring Zak Stoiber, MGIC, Digital Marketing Specialist l Realtor Panel featuring Tenesha Lusk, Keller Williams, Realtor and Alicia Vasquez, RE/MAX Best Choice, Associate l A presentation from Linda Davidson, Fairway Independent Mortgage Corporation, Branch Manager l LO Top Producer Panel featuring Pandian Kumar, Mortgage Financial Services, Loan Officer; Jed Anantasomboon, LoanStar

C I

NECT 2018 TOUR C I T Y

N E A R

Y O U !

Home Lending, Branch Manager; Dee Dee Culpepper, DHI Mortgage, Senior Loan Officer; Alex Varela, Primelending, Branch Manager; and Gracie Morrow, Georgetown Mortgage, Branch Manager

NAMMBA CONNECT IRVINE Wednesday, November 7 Irvine Marriott 18000 Von Karman Avenue • Irvine, Calif. 9:00 a.m.-5:00 p.m. Highlights of NAMMBA CONNECT Irvine … l An Introduction from Tony Thompson, CEO/Founder, NAMMBA l Building Your Brand With Social Media featuring Andrea Kozak, MGIC, Digital Marketing Program Specialist l Keynote Luncheon featuring Casey Cunningham, XINNIX, The Mortgage Academy, Founder/CEO

NAMMBA CONNECT ORLANDO Thursday, November 15 Doubletree by Hilton Orlando Seaworld 10100 International Drive • Orlando, Fla. 9:00 a.m.-5:00 p.m. Highlights of NAMMBA CONNECT Orlando … l An Introduction from Tony Thompson, CEO/Founder, NAMMBA l Building Your Brand With Social Media featuring Ben Smidt, MGIC, Digital Marketing Program Manager l Realtor Panel featuring Juliana Boseli-Neves, Glasstone Group, Broker/Owner and Veronica Figueroa, RE/MAX Innovation, Owner l The Coaches Corner featuring Kevin McGovern, Fairway Independent Mortgage Corporation, Mentor Coach/Area Manager and Tobi Moyle, Life is a Ladder Inc., President l LO Top Producer Panel featuring Rocio Portella, Annie Mac Home Loans, Loan Officer and Dario Jimenez, Union Home Mortgage, Luxury Home Lending Specialist

For more information on all NAMMBA CONNECT Tour events, visit CONNECT2018.org.

DON’T MISS OUT! SEPTEMBER 2018 IN THIS ISSUE:

Who’s Who in Wholesale & An Update on the Wholesale, TPO & Correspondent Markets IN OUR OCTOBER 2018 ISSUE: Mortgage Banking’s Most Powerful Women & The Future of Mortgage Banking

How C Myself His Go t is beyond question that the secret to the success of any company, any group of people who gather together with a similar purpose, is that they have the same goals. A vision of the overall purpose for which they were created. They need to know why they exist. Imagine if you will that the people you work with all have a different set of goals, donâ&#x20AC;&#x2122;t understand what the other people in the company do, are confused about the purpose of their company, and act as if they were the most important spoke in the wheel that supports the supposed purpose of the existence of the company? I propose that most mortgage companies are structured that way. The background and proof of that concept is garnered from a video I watched a couple of years ago. In the video, approximately 14 senior officers of various mortgage companies were asked why their company was so special. What was it, they were asked, that separated them from all the other mortgage companies that had offices, Loan Officers, Processors, Underwriters, Closers, and more. Invariably, that question was answered in almost verbatim language. In addition, I donâ&#x20AC;&#x2122;t believe that the video ever came to light. Why? Because they all said the same thing. They all talked about the tremendous service that they gave their customers. How they trained all the people who worked at their company, the importance of service. There was a bit of talk about the unique programs they offered, but as you know, that would be a moot subject having a half-life of about two weeks. Not one

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The

Mortgage

Godfather

Could I Dare Compare elf to Simon Sinek and Golden Circle? BY RALPH LOVUOLO SR.

of the interviewees understood what their company was formed for, why it existed and who it was that they served. Simon Sinek is a BritishAmerican author, motivational speaker and organizational consultant. He is the author of four books, including Start With Why. Simon Sinek’s Golden Circle shows how some leaders are able to inspire action instead of manipulating people to act. The center of Simon Sinek’s Circle is “WHY.” And the word leads to look at the various companies that exist and have had such tremendous success: Apple, Amazon, Dell, Microsoft, and so many others. When we look at these companies and their leadership, the people who made them the behemoths that they became, we all think of their initial leadership, the person who understood why the company existed. The most outstanding example in my mind is Apple, because when Steve Jobs was exited from Apple and the standard type of leader had him ousted, the company became an almost non-entity. Steve understood that whatever they did, he was firmly in in hands of WHY the company existed and upon his “getting the gate” the company lost its focus as to WHY it existed. My contention is that almost every mortgage company has no understanding as to WHY it exists other than to make money. I say that at the center of my golden circle, a mortgage company has as its primary purpose to bring value to the people who do business with them. It matters not that the company that does business with them is a direct consumer, a Realtor, an Attorney or any other referral source. Find me one and I’ll make them the exception that they already are. The WHY and BRING VALUE are

equivalents. They dance with each other as partners. Although I have yet to meet the leader of a company that understands the concept of “bringing value” I yearn to have that encounter. Just look at the next part of the golden circle, Sinek says it is HOW a company functions, HOW it does what it does. This is difficult to understand because HOW is closely related to the third part of the circle: WHAT! HOW is, in my mind, the function of how a company is formulated, put together, and you’ll find that almost every mortgage company has HOW they perform pretty much nailed down. BUT, and it’s a big BUT … the How is wrong in the mortgage industry. How never seems to infringe on the “Law of Reciprocity,” which is the second part of my circle. Noone, I have found understands this simple concept. If I give you an IDEA that helps you do more business, it is a law of human reaction that you’ll feel indebted to me and return the favor by giving you something that will help you. In the mortgage business, this is such a simple concept that everyone avoids. How I (a mortgage company) perform should be to give you, freely, an idea that will help you grow your business. In return we will act in concert with each other to grow the concept of WHY we both exist. In the end, we never forget that our WHY is the basic concept of putting the customer, the end user, the borrower first. That entity is the reason why we all exist. The third part of the circle is so simple because it is understood to be WHAT we do. And as I mentioned above, almost every company believes they know what they do so when asked for the differentiating concept they fall into the WHAT is it that they see themselves

“Imagine if you will that the people you work with all have a different set of goals, don’t understand what the other people in the company do, are confused about the purpose of their company, and act as if they were the most important spoke in the wheel that supports the supposed purpose of the existence of the company?”

doing. They perform a service better than the next company. They teach their sales staff that they must do what they do consistently with the profit motive never to be forgotten. My explanation of the outer portion of the three concentric circles is simple beyond words. If we have a firm grasp on the concept of WHY and HOW, we only need to perform over and over. It is a known fact that persistence is the most important part of success. But in the Golden Circle of the mortgage business, it becomes natural for us to want to perform why we do what we understand is our purpose. Therefore, although we must

implement our why and link it to our how, What we do becomes an act that we want to impart. This philosophy is embodied in the books of Simon Sinek, whose first book, Start With Why, has become almost an extension of my body. I encourage you to buy it and also to buy my own book that can be found on my Web site, MortgageGodfather.com. I refer to it constantly when discussing certain parts of the performance of the people I coach. These books are not instructional manuals, and neither is mine. If you are unclear on your direction or question as to WHY you do what you do, please feel free to discuss your inquisitions with me.

Ralph LoVuolo Sr. has nearly 60 years history in the mortgage business. He was a Co-Founder/President of the NYAMB and a long-term member of the Board of Directors of NAMB. The Mortgage Godfather is available to help your salespeople do more business. He does sales rallies, Webinars, personal coaching. Call, text or e-mail (917) 5761230 or e-mail Ralph@MortgageGodfather.com.

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’m just going to put this out there plain and simple: Life is often brutally hard. In a matter of moments, thousands upon thousands of our fellow citizens can be blindsided with near unimaginable horror. We witnessed exactly that with Hurricanes Harvey and Irma. The horrific images are etched in my mind: Mothers holding their crying children in waist-deep flood waters; the elderly in submerged wheelchairs; and homeowners surveying what little remains of their former dwellings. The silver lining to the cloud that brought all that destruction is, of course, the response from so many who gave money, time and donations of necessities. That’s what made all the pain tolerable. And I know your heart–like mine–goes out to every single person affected by the storms. But let me move into the heart of my article. I remind you that suffering and need are everywhere. Our own communities are not immune to quieter woes. Woes that don’t get the media coverage of large scale disasters: High schoolers dropping out of school, spouses being abused, hunger, mental illness, drugs, gangs, and as mortgage lenders know all too well, even homelessness. My point? You are needed in your community. And my challenge to you is simple … add community service to your business plan. Make it just like any other item in the plan– marketing, budgeting, operations, etc.– whatever you typically put into your plan– add an equal amount of space for helping ease the needs in your farm area or beyond. Why? Because you’re more likely to do the tasks you’ve taken time to write down. And the answer to why you should do community service? Well, answers are nearly endless. First and foremost–and I know you’ll agree–it’s the right thing to do. In essence, you’ll be putting your best self into your business plan–and in my opinion– that’s the greatest item you can add to any plan. But beyond that, it’s simply good for business. Many studies have shown the consumers will gravitate toward, and often

By Bubba Mills buy from, community-minded businesses. That’s not my opinion–that’s just a cold hard fact backed up over and over again by legitimate and scientific surveys. So, with all of this in mind, here are some tips to add to your community service section of your business plan: 1. Think problems: Pinpoint the area in your city where you want to focus your service–maybe your neighborhood or where some of your past clients live. Then research what problems exist there that interest you and that you can help solve. Education, homelessness, community revitalization, disaster preparedness–if you have trouble finding one, see what local non-profits are working on.

Bubba Mills is Chief Executive Officer and Owner of Corcoran Consulting & Coaching Inc. He may be reached by phone at (800) 957-8353 or visit CorcoranCoaching.com.

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3. Think action: Now, just as you would in any other section of your business plan, write out what specific actions you need to take to help ease the issue you’ve chosen to solve: Mission, goal, objectives, strategy and tactics. Again, the more specific, the better.

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2. Think relationships: Grab a piece of paper and put you in the middle with a circle. Then, draw lines away from the circle and add an important potential partners who can help you solve those problems. It might be a church, a civic organization, a professional association, a bank, other businesses, on and on. And don’t forget co-workers, friends, family and even past clients or current prospects. Give yourself a solid hour with that piece of paper or until it’s full.

heard street on the

Our Heard on the Street column is a chronicle of events, changes and passages in the lives of the people and companies shaping the mortgage industry.

Record-Setting Year Continues for Angel Oak

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Angel Oak Mortgage Solutions has bolstered its roster of employees as the firm responds to increasing demand. In the past few months, Angel Oak Mortgage Solutions promoted five current employees, added six new Account Executives and outgrew its recently-opened operations center in Dallas. Among the Angel Oak Mortgage Solutions leadership team, Tom Hutchens was promoted to the role of Executive Vice President, Production, charged with continuing the expansion of Angel Oak’s Wholesale and Correspondent channels. Mel Freyre takes over management of the Wholesale Sales Channel as Senior Vice President of Wholesale Sales. In addition, John Jeanmonod, John Wise and Moises Bonet have all been promoted to Regional Sales Managers. Jeanmonod will oversee Florida and Texas, Wise will be responsible for the Northwest region, and Bonet takes over managing the Inside Sales Team. “The increase in demand has put us in a position where we are struggling to find enough high quality mortgage professionals to keep up,” Hutchens said. “We’ve been saying for years that the nonQM market has incredible upside. Now lenders are finally starting to take notice, which is why we are breaking production records quarter after quarter.”

That growth trajectory has also led Angel Oak Mortgage Solutions to hire six new Account Executives in the past 45 days alone. Coming on board are Mark Dombrowski in Arizona, Tim Saucier in Maine, Gil Moran in Chicago, Shawn Hartman in Indianapolis, Robyn Smith-Manchas in Oregon and Jennifer Hernandez in Southern California. In addition to the new staff, Angel Oak Mortgage Solutions is in the process of expanding its Dallas operations center. “As the non-QM market continues to grow, Angel Oak is well-positioned to continue to lead,” said Hutchens. “We’ve always sought the best and brightest in our hiring. As we’ve grown, we’ve stayed dedicated to that philosophy, and I firmly believe it’s been a major factor in our success to date.” New American Opens New California Branch in Van Nuys, Tapped by Kavison as a Recommended Lender

New American Funding has expanded its reach across the Greater San Fernando Valley with the grand opening of its Van Nuys, Calif. branch. The Van Nuys location will be a fullservice branch, providing a range of purchase and refinance loan options, offer first-time homebuyer programs and help facilitate downpayment assistance programs. The branch will offer jumbo loan

programs and service the needs of those looking to finance homes over conforming loan amounts. “We’re committed to helping our clients and finding the right loan program for them,” said New American Funding Branch Manager Ed Banuelos. “We’re excited to bring New American Funding’s presence to the San Fernando Valley and offer a wide range of loan options that will fit our clients’ needs.” Banuelos, a native to the area, was identified to lead the expansion due to his track record in the mortgage industry. He brings more than 30 years of experience to the company and will lead the market expansion as branch manager. “I came on board with New American Funding because we operate differently from other lenders and we have a get it done mindset, which fits my personality,” said Banuelos. New American Funding has also been named a recommended lender by Kavison Homes, a home builder in Nevada’s Las Vegas Valley. “We have had a long and productive relationship with Todd Stratton, owner of Kavison Homes,” said Chris Garza, Regional Vice President at New American Funding. “As a longterm resident of the area, I am well aware of Todd’s proud history of building in the valley. His newest endeavor will serve a niche in the affordable housing market, so for his company to place its continued trust in us to assist its buyers

throughout the home financing process is very gratifying.” Maxwell Partners With HomeServices Lending to Enhance the Digital Mortgage Experience

Digital mortgage software provider Maxwell has announced a new partnership with HomeServices Lending of Des Moines, Iowa. HomeServices Lending LLC—a subsidiary of HomeServices of America, a Berkshire Hathaway Affiliate— selected Maxwell as their technology partner to streamline the mortgage lending process and provide a relationship-driven digital mortgage experience for the hundreds of Loan Officers, thousands of Real Estate Agents, and tens of thousands of homebuyers who are served by HomeServices of America every year. “We started by looking for an online application tool with secure document upload capabilities. What we uncovered was a partner that has a much larger vision to transform mortgage lending. Now that we’re working with Maxwell, we’re excited to bring attention to how HomeServices intends to differentiate ourselves in the marketplace,” said HomeServices Lending President and Chief Executive Officer Maureen Sammon. “We are beyond pleased to partner with the outstanding team at HomeServices,” said John Paasonen, Chief Executive Officer and Co-Founder of

Maxwell. “We built Maxwell on the premise that technology should empower humans, not replace them—a mantra that HomeServices not only believes in, but uses to guide their own business. In every relationship, we go beyond the typical vendor-client relationship to establish partnerships with mortgage lenders, like HomeServices Lending, who share our dedication to working together to craft an experience that’s truly exceptional.” Startup LoanSnap Promises “First Smart Loan Technology”

Total Expert has been named one of the “Top Workplaces for 2018” by the Star Tribune. “We are honored to be recognized by the Star Tribune as a ‘Top Workplace for 2018’ and are thankful to our employees who truly make Total

Mortgage Network Opens Three New Branches, Adds 40 New Hires

Mortgage Network Inc. has announced that it has opened new branch offices in Philadelphia; Moorestown, N.J.; and Tampa, Fla., adding a total of 40 Branch Managers, Loan continued on page 82

FHA 203(k), FNMA HomeStyle®, a d an VA RENO R .

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Total Expert Recognized by the Star Tribune as a “Top Workplace”

on employee opinions measuring engagement, organizational health and satisfaction. More than 2,400 companies were invited to participate. Rankings were composite scores calculated purely on the basis of employee responses. “The companies in the Star Tribune Top Workplaces deserve high praise for creating the very best work environments in the state of Minnesota,” said Star Tribune Publisher Michael J. Klingensmith. “My congratulations to each of these exceptional companies.”

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LoanSnap Inc., a San Francisco-based direct lender startup that promotes itself as offering “the world’s first smart loan technology that protects people against dumb loans,” has opened for business. According to the company, LoanSnap can instantly analyze a person’s financial situation using artificial intelligence technology. The company then claims it can sort through “through thousands of loan options to identify the best choice.” LoanSnap also insists that it is offering the “first loan technology that accounts for important factors, including the U.S. financial environment, to ensure that people have the best available loan now and into the future.” LoanSnap has raised $12.3 million in investors, including high-profile entities such as Sir Richard Branson’s Virgin Group and Joe Montana’s Liquid 2 Ventures. The company is cofounded by serial entrepreneurs Karl Jacob and Allan Carroll, both with histories of launching companies that are acquired by larger corporations. In 2014, Branson’s Virgin Money entered the wholesale mortgage business.

Expert a special place to come to work every day,” said Joe Welu, Founder and Chief Executive Officer at Total Expert. “We are proud to be one of the fastest growing SaaS companies in the country and we work every day to develop a great product and support our clients in the financial services industry. Our motto is ‘Move Fast and Innovate’—so it’s part of our DNA to accomplish what we have in just a few short years.” Top Workplaces recognizes the most progressive companies in Minnesota based

Independent Mortgage Originators By Andy W. Harris, CRMS

Amanda Rawls Answer Home Loans NMLS#: 1729528/NMLS#: 256126 AmandaRawls.com For this month’s BrokerNATION column, I’m interviewing Amanda Rawls from California. Amanda recently came back to the brokering side after spending the past several years on the retail side.

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Amanda, tell me a little about yourself and your career. I started my career in lending in April of 1996 with Advanta Finance, then starting brokering in 1999. I opened up my own franchise in October 2000 which closed in September 2007. I then went back to direct lending in August of 2008 at Prospect Mortgage. After a yearand-a-half there, went to Mason McDuffie, and then went to Finance of America where I had been for six years before leaving in April of 2018. With the direct lending companies, it took a few to find the right fit. I am married with five children. My joy in life is attending any activity my children are in, yoga and hanging with my circle of girlfriends. I am a die-hard Seahawks fan. I am active in my Elk Grove community, I am currently writing a book and with each loan that closes, I give back to a local non-profit. This year is the Lady Legendz softball organization. I understand you recently became a broker from the banker world. What motivated you to make the change? Over the last year, I had experienced tighter underwriting and higher rates with direct lending. I loved the family feeling of the direct lender, I loved the support we all gave each other and team bonding, but at the end of the day, I had my own book of business. I decided to make the changed to give the clients the best rate possible without affecting my paycheck. I also loved having the ability to still get a loan done, even if an underwriter didn’t like a file, without affecting my paycheck. What would you say so far are the biggest differences you’ve experienced coming from the retail side? Some of the biggest blessings I have experienced with the change to brokering is time. I have submitted a file, and 24 hours later, on a Friday night at 9:00 p.m. (her time) an underwriter has called me to confirm I received the approval. The timelines for approvals are fast with more communication than I have ever experienced. I also have amazing rates which has allowed me to close more loans. How would you compare pricing when compared to the Mortgage Banker world? There isn’t a direct lender that can beat my pricing.

“Freedom is the oxygen of the soul.” –Moshe Dayan

What are you seeing in your local market in terms of trends, inventory and consumer/Realtor mortgage education? We are experiencing homes staying on the market a little longer and less inventory. With increasing rates, buyers are slowing down the process of buying. Agents and lenders are doing more homebuyer seminars to educate and inform consumers. I know the myth of losing control as a Mortgage Broker is finally being exposed to the market and quite the opposite. What are your experiences on controlling the process? We are still very much in control of the process. The wholesale lenders don’t have processes like direct lenders and the process is much quicker. What would you say are your best forms of marketing today to generate new business? I have a CRM, Top of Mind, to stay in front of my past clients and referral partners. Facebook and social media have been an amazing source for me to generate new business. Anything you would choose to share with Retail Loan Officers considering the change to becoming an independent Mortgage Broker? Make sure you interview a few Mortgage Brokers, look at their rates and comp plans. Get your dream team together. Just make sure to double check and align with people who share the same goals. Then, like Nike says, “Just Do It” … you won’t regret it. Are you an Independent Mortgage Broker? Do you have something you’d like to share? Reach out to me at AHarris@VantageMortgageGroup.com for future article considerations. Andy W. Harris, CRMS is President and Owner of Lake Oswego, Ore.-based Vantage Mortgage Group Inc. and Past President of the Oregon Association of Mortgage Professionals. He may be reached by phone at (877) 4960431, e-mail AHarris@VantageMortgageGroup.com or visit VantageMortgageGroup.com.

With the CaliberH2O app in hand,

your business can really go places

Caliber Home Loans, Inc. has taken your business mobile with the launch of a highlyfunctioning smart phone app, CaliberH2O. Search, price, lock, and check loan statuses through our mobile app that links to H2O in real-time.

Use the mobile version of H2O and: Access your pipeline dashboard

Price out loans via Loan Advisor

Lock a loan

View loan contacts, key dates and loan conditions

and non-delegated clients. Download the CaliberH2O app in the App Store or Google Play today, and experience a new way to work with Caliber!

Wholesale Lending

Caliber Home Loans, Inc., 1525 S. Beltline Rd., Coppell, TX 75019 (NMLS #15622). 1-800-401-6587. Copyright ÂŠ 2018. All Rights Reserved. Equal Housing Lender. For real estate and lending professionals only and not for distribution to consumers. #22873_corpads

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The CaliberH2O app is available for approved brokers of Caliber Wholesale

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Save the Date!

NCRA 26th Annual Conference 2018 Tuesday-Thursday, November 6-8, 2018 Atlantis Casino Resort Spa 3800 South Virginia Street • Reno, Nev. oin the National Consumer Reporting Association for its threeday National Conference at the Atlantis Casino Resort Spa in Reno, Nev. NCRA’s 26th Annual Conference will begin Tuesday evening, Nov. 6 with a Welcome Reception and Marketplace, followed on Wednesday and Thursday, November 7-8 with full days of motivational and educational sessions! NCRA’s fabulous feature event, sponsored by Meridian Link, will be held Wednesday evening at the National Automobile Museum: The Harrah Collection. NCRA is looking for volunteers to be helpers and ambassadors! All volunteers will have their picture, name and company name listed on a Thank You Page in NCRA’s Conference Binder. Each volunteer will have a two-hour pre-determined time slot and job. Pick the job you feel most comfortable with. l Welcome Bag Preparation: Seeking two volunteers on Monday responsible for assisting in stuffing Conference Welcome Bags with additional items and preparing ready for registration. l Welcome Ambassador: Seeking six responsible volunteers for warmly welcoming attendees as they check in and give them a map to the hotel, directing them to the registration table and conference meeting rooms. l Registration Table: Seeking 14 responsible volunteers for helping out with the registration table, handing out conference materials and checking in attendees, speakers and guests. l Event Sponsor Signs: Seeking 12 responsible volunteers for making sure the sponsor signs are up at designated events. l Tent Cards: Seeking two responsible volunteers for making sure Sponsor Thank You Tent Cards are placed on session tables before the start of the first morning sessions or special event. l Banners: Seeking one responsible volunteer for making sure the banners have been taken down after the Conference and brought to the Conference office for packing. l Packing: Seeking two responsible volunteers for assisting NCRA Office Manager Jan Gerber in packing up materials for return shipping. l Photography: Seeking responsible volunteers for taking candid shots with your smartphone of each session/speakers and special events (lunches, breaks, parties). Each volunteer will be responsible for submitting five to 10 clear shots of each session or 10 to 15 clear shots of an event, deleting blurry shots and/or duplicates before submitting. Special events such as Feature Event, Keynote Speaker Book Signing, Welcome Reception and Awards Luncheon need to make sure you have clear shots of the “Stars” and each exhibitor company.

For more information on the NCRA 26th Annual Conference 2018 and volunteering opportunities, call NCRA at (630) 539-1525 or visit NCRAInc.org.

new to market

continued from page 18

designed to simplify the homebuying process. According to the company, the LinkStep interactive tool enables Gateway’s loan officers to guide clients through the process in a more streamlined fashion while providing a secure link to many banks and investment companies, as well as all four major payroll providers. LinkStep is designed to highlight pending and completed action items, while its automated communication guides prospective homeowners through the application and documentation process. Gateway also has launched a new Web site which is integrated with Zillow and Facebook, and this Web site features educational content and best practices related to the homebuying effort. “The Gateway Experience has always been what has set us apart,” said Gateway Marketing Executive Rob Rothrock. “LinkStep is a new technology that is designed to empower the interpersonal relationship between the customer and loan officer to make it even stronger.” Zillow Offers to Launch in Atlanta This Fall

Zillow has announced that its Zillow Offers homebuying service is being expanded this fall into Atlanta. The service, which is now available only in Phoenix and Las Vegas, enables home sellers to request a no-obligation cash offer from Zillow to purchase the property. If the offer is accepted, Zillow will directly buy the home, prepare it for sale and list on the Zillow site. As with the Phoenix and Las Vegas markets, Zillow will partner with local brokerages and Premier Agents in Atlanta—in this case, Berkshire Hathaway HomeServices Georgia Properties and Better Homes and Gardens Real Estate Metro Brokers—to work with sellers who opt not to accept Zillow’s purchase proposal. “Sellers love Zillow Offers, because it’s a service that offers them more control and convenience—and less stress— when they sell their homes,” said Zillow Brand President Jeremy Wacksman. “Zillow has delivered that to sellers in our first two markets, and we’re excited to expand into Atlanta. Once we

launch the program in the fall, we will be able to provide Atlanta-area homeowners with more choices, greater control, certainty about price, and transparency when it comes to selling their home, whether they take a cash offer or sell traditionally with a Premier Agent.” Equity Resources Announces New Digital Mortgage Platform

Equity Resources has launched Equity247, a digital mortgage platform built to elevate the consumer lending experience when buying a home or refinancing. Equity247 allows borrowers to apply, get updates, keep track of “to do” lists and upload documents from their mobile phone or computer. Borrowers can view their mortgage information and status when it is convenient for them, upload images or files directly to their personal mortgage hub to satisfy underwriting conditions and reach their mortgage specialist with one click. They can directly link to their bank account and employment information, increasing accuracy, reducing paperwork and saving time. “The experience of our mortgage specialists will always play a vital role to help consumers meet their mortgage goals,” said Ed Rizor, President of Equity Resources. “Equity247 will add the technology to streamline the loan process and decrease the time it takes to get our clients funded and into their homes.” Your turn National Mortgage Professional Magazine invites you to submit any information promoting new “niche” loan programs, new products or any other announcement related to the introduction of a new program, to the attention of: New to Market column Phone #: (516) 409-5555 E-mail: Newsroom@MortgageNewsNetwork.com

Note: Submissions sent via e-mail are preferred. The deadline for submissions is the 1st of the month prior to the target issue.

…in the power of Unity. The strength of what we do every day for millions of Americans and our nation’s economy lies not with each of us, but with all of us as we unite as a collective group. Together, we are able to amplify our voice and drive change for our industry in Washington and across the nation. We lead strong as one. United, we create the future of our industry.

TO LEARN MORE, VISIT MBA.ORG/BELIEVE

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For over 100 years, the Mortgage Bankers Association has brought together the entire real estate ﬁnance industry. From single-family to commercial and multifamily; from loan originators to investors, we are the force that ensures a safe and sustainable real estate ﬁnance system.

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WE BELIEVE

Addressing Post-Housing Crisis Issues

A “Millennial” and a “Boomer” Team Up for a Webinar … BY PAM MARRON ortgage professionals are experiencing an increase in business which makes it more difficult to get away from the office for desired training. Video conferencing makes it possible to bring training directly to an office computer or smartphone and also be visibly available for “in-person” attendees when broadcasting live at a local venue. A major benefit? Multiple panelists can connect directly from their computers no matter where they are located making it possible to hear from industry leaders. A pilot program is being tested in Tampa Bay that connects Loan Originators with clients who are “not yet ready for a mortgage” to area HUD-approved Housing Counselors who can get these clients “mortgage ready.” Housing Counseling Agencies provide access to clients where distance is a problem through video conferencing programs such as Zoom.us and Skype. Ironically, mortgage professionals experiencing an uptick in business are faced with the problem of fitting desired training into increasingly busier schedules especially hard if travel is required. Seeing that this idea broadens the ability to reach more in the housing counseling industry, the Gulf Coast Chapter of the Florida Association of Mortgage Professionals recently presented a video conference Webinar entitled “Connecting

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Realtors and Loan Originators to Housing Counselors to Get Consumers Mortgage Ready” at an Oldsmar, Fla. office site for inperson attendees and myself, the host, on location. Thirteen panelists and I connected from individual computers with a webcam using the Zoom.us platform. A PowerPoint presentation and the panelist were visible for online attendees and for in-person attendees on a large screen TV at the Oldsmar, Fla. location. I know my way around online programs, but was more concerned about the presentation than the IT of the Webinar. For the IT side, I teamed up with Daniel Hughes, a Loan Originator with Eagle Mortgage from the FAMP Suncoast Chapter and a Millennial who knows his way around these programs! For a fee, Zoom.us provided a technical assistant who helped us during the previous month and throughout the Webinar (though their free support is superb). Our goal was to learn from the technical assistant so that we could continue this method of communicating. Prior to the Webinar, a test with panelists was done to check all computer webcams and microphones and the same was done 20 minutes prior to the live Webinar. By the day of the Webinar, Daniel and I were comfortable with how to bring the “live” and the Internet panelists together. Hardware requirements were minimum, but that can change depending on what the in-person

meeting room has available. We were at “The Meeting Room” in Oldsmar, Fla. (thanks to Security National Mortgage) and the room was set up with tables and chairs and a large widescreen TV mounted on the wall. We simply connected a laptop with PowerPoint directly to the cable box for a live feed that ran to the TV screen on the wall. A good quality Logitech webcam that had a speaker sat on a floor tripod directly in front of me connected to my laptop as I hosted the Webinar. This enabled me to speak and appear within the presentation as if I was with the other presenters. The only thing that we did not account for was the noise of the attendees as they came into the room and settled in. On the next presentation, inperson presenters will need to have a microphone that can be muted when needed. The PowerPoint, script and separate panelist links were provided to all 14 panelists so that they could connect, follow along and know when they would be “on.” I controlled slide changes on my end. The Webinar was promoted for both in-person attendance or connection from a computer or smartphone, but was not widely

promoted until we confirmed this would work. It did work, and the number who attended via computer was far more than those who attended in-person. Panelists included two past colleagues from the HUD Housing Counseling Federal Advisory Committee from Nevada and New York, a consultant from the National Foundation for Credit Counseling (NFCC) in Washington, D.C., a representative from Pitch Point in Canada, a CIC Credit Reporting Agency representative, three Realtors who already are or want to work with Loan Originators who use housing counseling services, and two housing counselors from Tampa Bay. A third housing counselor called in from Jamaica! The success of this effort is that we now know HOW to connect both in-person and with technology for one event … and see this as a gateway to bringing Millennials into the mortgage industry. Stay tuned. Disclaimer: While I am a member of the HUD Housing Counseling Federal Advisory Committee, the opinions noted are those of the authors only.

Pam Marron (NMLS#: 246438) is Senior Loan Originator with Innovative Mortgage Services Inc. (NMLS#: 250769) in Tampa Bay, Fla. She may be reached by phone at (727) 3758986, e-mail PMarron@InnovativeMortgage.onmicrosoft.com or visit HousingCrisisStories.com, CloseWithPam.com or 8Problems.com.

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AUGUST 2018 n National Mortgage Professional Magazine n NationalMortgageProfessional.com

Preparing for

Storm Season By Denis Brosnan

appropriate measures should be taken to rectify the process. Many of the problems servicers faced last year were focused around their ability to communicate effectively with consumers, vendors and other partners. Often servicers struggled to determine the status of loan collateral, in addition to tracking key documents in areas dealing with the wake of a natural disaster. An audit will reveal the full magnitude of this issue and help gauge how well a servicer can provide enhanced communications tools. In many cases servicers have invested in new processes and communications technology that are essentially workflow management solutions. These systems allow consumers, vendors and staff to transfer claims-related documents and share case status information electronically. Typically they offer real-time visibility of the loss draft status, a complete audit trail of all uploaded documents, event tracking and alerts directed to a servicer’s staff. This enables servicers to achieve must smoother, faster claims resolutions. The vast majority of servicers have already taken steps to prepare. Based on the results of an audit, most servicers should be able to make needed changes within 30 days. Experts are predicting a 2018 storm season on par or worse than 2017. By conducting an internal audit and comparing the results against previous activities, servicers can accurately understand their own ability to respond to disasters and still maintain profitability.

Denis Brosnan is President and Chief Executive Officer of Dallas-based DIMONT, provider of specialty insurance and loan administration services for the residential and commercial financial industries in the United States. He may be reached by e-mail at Info@DIMONT.com or visit Dimont.com.

n National Mortgage Professional Magazine n AUGUST 2018

industry failed to perform in this area. An audit will reveal whether a viable plan is in place to scale up staff and resources during an event. Details of the plan should be shared and integrated with other vendors, especially the servicer’s own recovery team if work is being outsourced. Audits will also reveal if the servicer is carrying the appropriate amount of insurance. Many homeowners discover too late that their flooded property lacked the proper level of insurance when the claim was filed, resulting in potential lack of full reimbursement. An audit can also provide an analysis of whether or not an independent process was followed to ensure correct flood insurance was secured for all covered properties. This is especially important when a property has multiple structures and one or more may or may not have been included in the original calculation of the insurance requirements. Ironically, many outside vendors and lenders’ administrative staff s do not consider it their responsibility to conduct this analysis. So it is almost a certainty that a servicer has properties without proper levels of insurance. Part of any audit should test a servicer’s ability to respond to a disaster by asking the team handling disaster recovery to provide a report of all damaged properties for the last 30 days. This type of request is surprisingly rare, but it takes a measure of a team’s processes for monitoring, discovering and assessing property damage. If teams cannot provide such a list,

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ost members of the mortgage industry, particularly mortgage servicers, know they have a potentially big problem when it comes to being prepared for this year’s storm season. The previous year’s weather was not kind to mortgage servicers. More than $280 billion worth of weather damage was assessed in 2017 and this year is expected to be no better. Financial losses were significant, but some servicers also suffered from reputational damage that occurred when their organizations were perceived as not being fast or efficient enough to handle insurance claims properly, leaving many consumers dissatisfied. As a result, many mortgage servicers are now scrambling to prepare for this year’s storm season to avoid repeating previous mistakes. But even though we have been forewarned, how can servicers really know for sure if they are actually ready? An obvious first step for storm season preparation is to conduct an audit to evaluate the successes and failures of 2017. An audit should be conducted at least once a year and plans for dealing with flood-related issues at least twice a year. Some audits of properties within a geographical location prone to natural disasters may even require an audit every quarter. Many servicers view audits as an annoyance, but there is no better way to determine the quality of a disaster recovery effort. Another important consideration in preparation for storm season is increasing staff to better serve customers when disaster strikes. Lack of resources was a major issue in 2017 and there is a general acceptance that collectively the

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By Jonathan Foxx, Ph.D., MBA 46

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Rental Property Rule Question e hear a lot about consumer purpose versus business purpose loans. Our particular interest is in wanting to know about the “Rental Property Rule.” So, what is the “Rental Property Rule” and what is its effect on consumer purpose loans?

Answer Use the Truth-in-Lending Act’s Regulation Z to determine whether a loan is for a consumer purpose or a business purpose. In making this determination, you need to be familiar with the Regulation Z commentary to 12 CFR 1026.3(a). The commentary lists a number of general factors you should use in determining whether a loan is a consumerpurpose or business-purpose loan. In addition, the comments provide specific guidance regarding rental property.

Here are some guidelines for the rental property rule: l If the proceeds of a loan are to be used to acquire, improve, or maintain rental property, and the borrower expects to occupy the property for 14 days or less in the coming year, the loan is considered to be for nonowner-occupied property and, therefore, is a businesspurpose loan. l If the borrower will occupy the property for more than 14 days in the coming year, the loan is considered to be for owner-occupied property, and the rental property rule would not apply. In this case, there are some additional guidelines to follow: l If the proceeds of a loan are to be used to acquire, improve, or maintain rental property, and the borrower expects to occupy the property for 14 days or less in the coming year, the loan is considered to be for nonowner-occupied property and, therefore, is a business-

purpose loan. l If the purpose of the loan is to improve or maintain the property, the loan is a business-purpose loan if the property contains more than four housing units. l A property that contains fewer than the required number of units under a particular test might still be a

business-purpose loan based on the general factors used to determine business purpose, which is why familiarity with the commentary is necessary. The 14-day rule is used as a general guide. However, keep in mind that other factors also may affect the determination of whether a loan is for business purposes.

Jonathan Foxx, Ph.D., MBA, is the Managing Director of Lenders Compliance Group, the first and only full-service, mortgage risk management firm in the United States, specializing exclusively in outsourced mortgage compliance and offering a suite of services in residential mortgage banking for banks and non-banks. Information contained in this article is not intended to be and is not a source of legal advice. If you would like to contribute a question, please submit it to Compliance@LendersComplianceGroup.com.

NMP’s Legends of Lending: United Wholesale Mortgage continued from page 27

“You’ll see the growth in wholesale volume,” Ishbia promised. “Brokers are going to grow because we’re going to help them grow, by partnering with them instead of competing with them.”

directory for consumers to search for local Brokers and provides front line Loan Originators with more visibility in search engine results. The result is that while some wholesale lenders may be thinking of Brokers as a channel for bringing them more borrowers, UWM works to send more borrowers back to the Brokers it partners with. UWM maintains that all of the technology it uses was created with the goal of providing full transparency, giving its Broker partners complete access to the information they need to be more confident and supportive for their borrowers. With a new Chief Strategy Officer in place, the industry is watching to see what Mat Ishbia and United Wholesale Mortgage will do next. Whatever it is, it’s bound to make all of the Brokers the company partners with more successful. Ishbia puts it this way: “UWM is all-in on the wholesale business. We are focused exclusively on Brokers and we only care about what our Brokers think. We are true partners to our Brokers, and we want them to succeed and to wow their borrowers and real estate partners. We only care about helping them build their business and be successful in their local markets.” Spoken like a true Legend of Lending.

Rick Grant is Special Reports Editor for National Mortgage Professional Magazine and Mortgage News Network. He may be reached by phone at (570) 497-1026 or e-mail RickG@MortgageNewsNetwork.com.

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Investing in the industry for wholesale growth Setting high goals is not enough to achieve success—neither on the basketball court, nor in the mortgage business. Ishbia knows this and has pulled out the stops when it comes to building an organization that can deliver on the promises his firm makes to Brokers. One of the most significant efforts is the company’s new headquarters. By retrofitting a part of the Hewlett Packard Enterprise building in Pontiac, Mich., UWM has turned 600,000square-feet of office space into a new city landmark that includes offices, conference rooms, a fullservice food court, and a fulllength indoor basketball court with locker rooms and massage rooms. With its own on-site dry cleaner, convenience store, primary care physician’s office, and a Starbucks, it’s a community in its own right. And the company needs the space. What was a 400-person company in 2010, has grown to more than 2,000 by the end of last year. Ishbia has said publicly

that he plans to hire “thousands more.” But just as important as the environment his team operates from is the technology his company offers its Broker partners. Using innovative technologies like Blink, the lender has tapped into the popular digital market, giving brokers an advantage that allows them to better satisfy today’s mortgage borrowers. Blink is a consumer self-service point of sale system that brokers can private-label. Many of the tools UWM offers are available through the company’s online Broker portal, EASE. This is the company’s main technology hub, where brokers can access tools and exclusives that Ishbia says only UWM can offer. This includes the company’s UTrack (a tool to empower real estate agents to track their buyer’s loan progress), its Income Calculator (the same one used by the company’s underwriters), and more. Because referral business is so important to brokers, UWM makes a special Web site, FindAMortgageBroker.com, available to borrowers. It’s a

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Officer to work. He also says a brokerage is the best channel for a borrower who wants to get a new home loan and the best channel for real estate agents to refer a loan. “Our success will come from Brokers’ ongoing success, because we’re going to continue to give great service, provide great technology and partner with our Brokers,” Ishbia said. This approach stands out in stark contrast to the strategy employed by some wholesale lenders, who seem to foster a relationship with the broker to get access to the borrower. At least that’s what some brokers have said they believed. Ishbia’s approach focuses more on the running of a support network, leaving the borrower relationship to the Mortgage Broker. Implementing such a strategy is not simple. It requires wellcoached Account Executives, fast and accurate loan underwriters and expert fulfillment staff. But hiring great people is not something Ishbia seems to find very challenging. Recently, he recruited Alex Elezaj, former CEO of Class Appraisal, one of the nation’s fastest growing Appraisal Management Companies (AMCs), as Chief Strategy Officer. When Elezaj was at Class, he built relationships with more than 300 Mortgage Brokers and over 1,000 appraisers and increased the firm’s annual revenue by over 300 percent. Ishbia expects Elezaj to help set a strategy for the company that will grow the wholesale channel. That, according to Ishbia, is where the mortgage industry will find its next opportunity.

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Itâ&#x20AC;&#x2122;s Time to Widen th

New loan products could extend ho

By Ray Brous

or more than a decade now, borrowers interested in buying a home have needed nearly perfect credit to secure a mortgage due to tightened lending criteria. By some measures, itâ&#x20AC;&#x2122;s harder to get a mortgage now than it has been in nearly 20 years. The Mortgage Bankers Association (MBA) tracks a number of metrics to measure the availability of mortgage credit at any particular point in time. The Mortgage Credit Availability Index (MCAI) was benchmarked at 100 in 2012, and although mortgage credit availability has been increasing and recently hit 180.6 in May 2018, this is still

very low, historically speaking.1 At the height of the housing bubble in 2006, mortgage credit availability ballooned to nearly 900. But in 2004, it hovered more reasonably between 300 and 400. Unfortunately, tight credit has left many deserving borrowers waiting on the sidelines for years. To combat this, lenders have begun to offer a wider range of governmentbacked loans, jumbo loans and new non-prime and near-prime products better suited to meet the needs of these borrowers. These new products may help improve mortgage credit availability overall, and have the potential to help a significant number of potential borrowers. Originating from a more expansive portfolio of loan

products will help mortgage originators work with borrowers who do not fit the conventional lending profile, but who may be a part of the changing face of homeownership. Changing demographics From year to year, many homebuying statistics remain the same: Primarily married couples buying houses in the suburbs with conventional loans. In 2017, this remained mostly true, according to the National Association of Realtors (NAR).2 Married couples made up 65 percent of all buyers; 85 percent of purchases were located in a suburb, small town or rural area; and 58 percent of all buyers used a conventional mortgage for their financing.

But this isnâ&#x20AC;&#x2122;t the whole story. Single female homebuyers increased their market share to 18 percent, second behind married couples. For the third straight year, the Hispanic homeownership rate increased; it stood at 46.2 percent in 2017, up. 0.2 percent from 2016, according to data from the U.S. Census Bureau.3 In addition, in the fourth quarter of 2017, the homeownership rate for Asian American and Pacific Islanders was 58.2, a 1.6 percent yearover-year increase.4 And firsttime homebuyers utilized more Federal Housing Administration (FHA) loans in 2017 than the previous year (34 percent versus 33 percent), according to NAR.5 Although non-traditional borrowers are starting to make

homeownership to more borrowers

ay Brousseau

Changing workforce Changing borrower demographics is just one part of the picture. There are also significant changes taking place in the workforce that are creating the need for different kinds of mortgage loans. According to a report from

LinkedIn and Intuit, freelancers (or people who work on a contract or project basis) made up just six percent of the workforce in 1989. But by 2020, they project freelancers will encompass 43 percent of the workforce.7 Currently, 41 percent of freelancers also hold a full-time or part-time job in addition to their freelance work, and 81 percent of these workers intend to continue working in this way. These workers cross generational lines, and include younger workers who desire flexibility, as well as older workers looking to supplement their income or control their careers. This kind of variable income source is creating a new type of borrower—or non-borrower—as the case may be. Often,

freelancers, self-employed and part-time workers can have significant difficulty in securing conventional lending due to their often inconsistent pay source. As a result, they don’t fit into the conventional credit profile. Despite being creditworthy consumers, they may be forced to sit on the sidelines rather than becoming homeowners. Changing products As the demographics of borrowers change and the working world changes, so must the mortgage products available to borrowers. Although conventional lending is a solid base for originations, mortgage professionals and lenders should broaden their loan offerings to include a variety of financing

options that will work for the diverse set of borrowers entering the market. In 2017, more than 20 percent of the U.S. population had credit scores below 600, according to Experian.8 Yet, in May 2018, just 0.71 percent of all closed purchase loans had borrowers with scores less than 600, and just 4.9 percent of refinances went to borrowers with scores below 600.9 This not only leaves a significant number of potential homebuyers locked out of the market, but also creates huge opportunities for lenders and originators who see the potential in this market segment. Government loans offer several alternatives for borrowers who continued on page 79

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up more of the mix of buyers, conventional loans continue to dominate the marketplace. According to Ellie Mae, conventional loans made up 66 percent of all loans closed in May 2018, up from 63 percent in May 2017. FHA loans were 20 percent of the market, with U.S. Department of Veterans Affairs (VA) loans holding a 10 percent share, and the final four percent classified as “other.”6

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the Origination Pool

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Everything You Need to Know About the NMLS Adoption of Electronic Surety Bonds By Vic Lance

he National Multistate Licensing System and Registry (NMLS) handles the licensing process for many financial professionals in the U.S. In 2016, it decided to introduce a new method for submitting the NMLS surety bonds—the electronic surety bond (ESB). The switch affects different mortgage professionals in a number of states. While state authorities set most of the requirements that have to be met, the NMLS manages the nittygritty details of the procedures. This includes collecting the majority of the paperwork of licensees, including the staterequired surety bonds. Below you can learn the most important facts about the adoption of ESBs that would be useful for your mortgage company’s compliance.

l l

l l l

l l

Brokers, Sellers Of Checks, and Third-Party Loan Servicers South Carolina: Money Transmitters South Dakota: Exempt Mortgage Companies, Mortgage Brokers and Mortgage Lenders Texas: Money Transmitters Utah: Money Transmitters Vermont: Debt Adjusters, Mortgage Lenders, Loan Servicers, Loan Solicitors, Mortgage Brokers, Money Transmitters, and Litigation Funders Washington: Check Cashers, Consumer Loan Companies, Currency Exchangers, Money Transmitters, and Mortgage Brokers Wisconsin: Mortgage Brokers and Mortgage Bankers Wyoming: Exempt Companies, Money Transmitters, Mortgage Brokers, Mortgage Lenders, Supervised Lenders, and Collection Agencies

What ESBs mean for your business In case your state has decided to adopt the ESB, you will be required to provide the surety bond needed for your licensing in an electronic form. Since authorized surety companies and producers have already adopted the new system in the beginning of 2016, the process should not be complicated for you. You would need to grant access to your surety from the list of authorized entities, so that it can provide the electronic bond. You can follow the online course on ESBs offered by the NMLS in case you need help with the practical aspects of the new system. There are no additional fees for mortgage professionals for submitting surety bonds electronically. You can refer to the NMLS’ Electronic Surety Bond Glossary if you need help with any of the terms used in relation to the ESBs.

Vic Lance is Founder and President of Lance Surety Bond Associates. He is a surety bond expert who helps mortgage professionals get licensed and bonded. He may be reached by phone at (877) 514-5146 or e-mail Info@SuretyBonds.org.

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The adoption of ESBs across the U.S. As of July 2018, 28 states have

l Alaska: Mortgage Brokers, Mortgage Lenders, Money Transmitters, and Registered Depository Institutions l California: Student Loan Servicers l Georgia: Money transmitters, Mortgage Brokers and Processors, Mortgage Lenders, and Sellers of Payment Instruments l Idaho: Collection Agencies and Money Transmitters l Illinois: Residential Mortgage Professionals and Exempt Companies l Indiana: Debt Managers, Exempt Companies, Mortgage Lenders, Money Transmitters and Loan Brokers l Iowa: Closing Agents, Debt Management Companies, Exempt Companies, Money Servicers, Mortgage Bankers and Mortgage Brokers l Louisiana: Pawnbrokers, Residential Mortgage Brokers, Sellers of Checks and Money Transmitters l Massachusetts: Check Sellers, Debt Collectors, Foreign Transmittal Agencies, Mortgage

Brokers, Mortgage Lenders and Exempt Companies Maryland: Collection Agencies, Consumer Loan Providers, Credit Servicers, Debt Management companies, Installment Loan Providers, Money Transmitters and Mortgage Lenders Michigan: Mortgage Brokers, Consumer Financial Servicers and Money Transmitters Minnesota: Accelerated Mortgage Payment Providers, Credit Service Organizations, Currency Exchange Providers, Electronic Financial Terminal Providers, Money Transmitters, Residential Mortgage Originators And Servicers, Debt Management Service and Settlement Providers, and PACE Administrators Mississippi: Mortgage Brokers and Mortgage Lenders Montana: Deferred Deposit Lenders, Escrow Businesses, Independent Contractor Lenders, Mortgage Brokers, Mortgage Lenders and Mortgage Servicers Nevada: Exempt companies, Mortgage Bankers, Mortgage Brokers, and Mortgage Servicers North Carolina: Money Transmitters, Mortgage Brokers, Mortgage Servicers and Mortgage Lenders North Dakota: Collection Agencies, Debt Settlement Service Providers, Exempt Companies, Money Brokers and Money Transmitters Ohio: Money Transmitters Oregon: Collection Agencies, Consumer Finance Servicers, Debt Management Service Providers, Exempt Companies, Mortgage Lenders, Money Transmitters, and Mortgage Servicers Rhode Island: Check Cashers, Debt Management Servicers, Electronic Money Transmitters, Mortgage Lenders, Loan

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The reasons for switching to electronic surety bonds The NMLS electronic surety bond aims to innovate the way surety bonds are submitted and handled by the Registry. Instead of providing the bond on paper, the new system allows surety bond providers and mortgage professionals to go paperless. The electronic surety bonds have the same function, with the only difference that they are uploaded online instead of being sent by post. By moving to the ESBs, the NMLS creates a more efficient and streamlined method for managing the licensing and bonding of applicants. Submission of bonds online is easier, thus making the process simpler for licensees. Additionally, by keeping all data electronically, the NMLS can have a better overview and control over the licensing documents of mortgage professionals. It can also provide a greater degree of visibility for the relevant state authorities which are in charge of the licensing process on the state level.

adopted the use of electronic surety bonds for some or all of mortgage professionals. They joined at different stages. The first group of nine states adopted the new system in 2016. In January 2017, another 11 states followed. The rest have joined since then. The rest of the states are expected to adopt in the ESB in the near future as well. Within each state that has moved to ESBs, different types of professionals are required to use the new system. The most common licensees include mortgage brokers, mortgage lenders, money transmitters, registered depository institutions, sellers of payment instruments, collection agencies, pawnbrokers, check sellers and debt collectors, among others. Below you can find a resume of the chart State Adoption of NMLS ESB, which details which types of professionals have to use them in the states where adoption has started.

a special focus on BACK TO SCHOOL: EDUCATION & PROFESSIONAL DEVELOPMENT spec

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EDUCATION & PR

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PROFESSIONAL DEVELOPMENT Why Instructor-Led Training Beats Online Learning By Nick Mantia

2. Share it! The classroom gives you the ability for learners to share and reflect on their histories. If you think about it, it might be considered the original social leaning network! Online training loses the benefits of the classroom. Engaging in stories of real world experiences help learners reflect on different ways to approach the same challenge. Student networking is invaluable where they not only meet the instructor, but each other. Building personal relationships is important, especially in the workplace building a collaborative network with other participants. It is always helpful to know you have a support system in place to troubleshoot a challenging work scenario or share a great win. A good learning experience includes being pulled outside of one’s comfort zone to grow confidence in different situations to excel in challenging work situations. This is not only difficult, but almost impossible to master

online. Presenting challenges and having them share their trials and tribulations ensures they take a new approach to an old issue. Practice and coaching has a very positive effect on employment achievement. As long as you have a thoughtful and active plan in place, you can count on a positive experience for your participants. Having high goals or a checklist of items to cover is not enough. A highly actionable program with a sharing, collaborative environment is truly effective and lends success. Connect coaching with existing company priorities, new programs and goal expectations to ensure alignment. This is the best way to measure your success as a coach and truly encourage growth. Demonstration is also key in successful training. By showing accurate day-to -day scenarios, participants see actual evidence of what they might encounter and how they are expected to react. This also helps learners to process new ideas. Introducing new ideas through a computer screen does not ensure the message or thought is understood. Discussing various loan scenarios and unique circumstances today’s borrowers face and how to truly help them is best done in a personal, in class setting and not through a one-size fits all online presentation. Everyone has a unique story or experience to share that demonstrates how it worked out or why it failed in the end. Sharing and collaborating results in higher retention and real life circumstances employees can take to their clients. The end result is business growth that helps the employee and the company. 3. Engage them! With the instructor side-by-side with the learners, they have the ability to individualize the approach and adapt their style. They are continued on page 54

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1. Do it! You have probably heard that for most adults they don’t learn from lecture or reading, they learn by doing. This is why Instructor-Led Training (ILT) is preferred due to its high effectiveness in knowledge retention. Classroom training gets students invested through activities that makes it more comfortable for them to take action and perform their jobs better. Plus, interactive activities, role playing and brainstorming can

be fun and if they serve a goal then it’s a winwin for all. Reading heavy text and taking quiz after quiz on a computer gets tiring and boring. ILT gives you the confidence to make sure learning sticks by conducting interactive activities such as role-playing, brainstorming sessions and learning games. The mortgage industry is ever-changing and evolving, requiring new strategies and products to compete in the marketplace. Trainers should be well-versed in the industry to make sure all participants fully understand best practices to succeed. Companies cannot be sure employees are getting the message through a computer course and a short quiz. Ensure your employees have all of the tools they need, understand regulations and changes in the industry through face-to-face interaction and to respond quickly to any misunderstandings.

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bout 10 years ago, I was asked to be on a panel at the Chief Learning Officer Forum on Online Learning. I was with the “Big Dogs”–heads of training and development from national banks, restaurants and business. Each shared online tactics which included recorded training sessions, challenges to make their products (now called gamification), and ways to measure performance and create scorecards. At the time, I worked for a 1,400-person company in the Southeast, recording Webinars and putting them online for later access. That was as complex as we got … we didn’t have a budget to afford all of the bells and whistles, and at the time, that wouldn’t have even been an effective approach for our sales team. We were able to counter our lack of online training by offering very robust in-person sessions with amazing instructors to ensure the transfer of learning. I was a little intimidated that day, seeing the hundreds of thousands of dollars that other companies were using for their Online Universities. In the end, I realized that with a strong in-person option we had little need for online learning. There are three critical elements that makes in-person (or Instructor-Led Training) superior to most online learning …

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for proof of performance, read the reviews

able to provide real world feedback, discussion topics and are able to see if students are struggling in the classroom. As well, questions and answer sessions and the ability to change the delivery to suit the needs of the learners is a great benefit. The classroom also provides a higher level of motivation (since they know they are being observed), ensuring students focus on the issue at hand instead of multitasking. Sitting in a remote session from their workplace can be distracting or boring causing a lack of focus. When employees attend a classroom, they are better able to focus on what is being taught. People are not stopping by their office, their phone is not ringing, and they are not getting e-mails they feel pressured to answer. Stopping and restarting training online leads to an incomplete lesson and lower retention. A continuous flow of information

from an instructor allows people to retain more of their knowledge and skills and encourages them to put their newly learned skills and information into action immediately following the training. Receiving immediate feedback is extremely helpful as well to effectively acquire and absorb important information. A responsive classroom is the best and most effective classroom. Language and tone of voice is one of the most powerful tools of teaching. What people hear and interpret has a huge impact on how they think and act. When it is clear that a message is not being relayed as you want it or if you can tell your audience is resistance to your message or delivery, ILT allows you to redirect with clear words. Redirecting resistance is extremely important in a corporate environment. Online courses may present information that an employee does not understand or agree with. There

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â&#x20AC;&#x153;Encouragement is key in any setting. Tone of voice in encouragement cannot be encapsulated through online training. Instructors who are adept at showing passion for what they are teaching encourage their students to feel the same way.â&#x20AC;?

is not a forum to explain why they should change their mindset or why this information is crucial to their success with the company. Some people may choose to ignore this part of the training, which could result in problems for them down the line. A good trainer will gauge resistance and redirect appropriately and respectfully. Encouragement is key in any setting. Tone of voice in encouragement cannot be encapsulated through online training. Instructors who are adept at showing passion for what they are teaching encourage their students to feel the same way. Showing employees how the course is relevant to their job will

make them pay attention and feel connected. The motive should be to encourage learning, discussions and success when they leave the training are on the job. In the end, classroom learning tends to be â&#x20AC;&#x153;stickierâ&#x20AC;? than online learning for most people. In the learning process, nothing replaces the collaborative and interactive experience with a trainer. Sure there are some exciting offerings in the online world, but you may not have a budget for that right now. Donâ&#x20AC;&#x2122;t be ashamed like I was of your lack of complexity in learning â&#x20AC;Ś just make your instructor led sessions are the absolute best they can be.

Nick Mantia is Vice President of Training at Angel Oak. In his 25-plus-year career, he has contributed as a top Retail Loan Officer and has personally trained many of the countryâ&#x20AC;&#x2122;s top mortgage sales performers. He has been recognized by numerous publications as an expert training executive, a passionate leader, a learning professional that â&#x20AC;&#x153;gets itâ&#x20AC;? and is a published author.

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Are You Ready for the Gig Economy Worker’s Application? Training on underwriting the self-employed borrower more important than ever

here is a good chance you have a gig economy-driven app on your phone right now. A few short years ago, it was unthinkable that you’d catch a ride from a stranger or stay in the home of someone you’ve never met. But now, when you use your phone to summon an Uber or Lyft driver, book a babysitter or book an Airbnb apartment, you know that you are just one of millions participating in the gig economy. On New Year’s Eve 2017, more people stayed in an Airbnb than in all the Marriott-Starwood and Hilton properties combined.1 The owners of those Airbnbs? They are all members of the gig economy, and you owe it to your business to know how to work with their unique income streams to help them with a successful home loan.2

funding. Aside from maintaining consistent income records, selfemployed workers are advised to side-step the landmines around tax write-offs: “Typically, selfemployed tax filers write off many expenses that traditional W-2 employees can’t, so their net income can be significantly lower. This can make it more difficult to qualify for a mortgage.”5

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The gig economy and its workers The gig economy represents the growing number of workers and freelancers who accept ondemand type jobs. It’s not necessarily the same thing as freelancing, as very few workers rely on the gig economy for all of their income. More often, they are doing it to supplement their monthly income. Some statistics: LinkedIn estimates that freelance workers–who in 1989 represented just six percent of the workforce–will grow to 43 percent by 2020.3 Today, Fannie Mae estimates:4 l Nearly one in five American adults currently works in the gig economy. l Forty-four percent of gig economy workers providing more than one service are ages 18-34. l Over half make $50,000 or more. l Two out of three have at least some college education. l Only two percent of gig economy workers obtain 80 pecent-100 percent of their

By Vance Edwards, CMB

“The truth is that gig economy workers are an extension of the self-employed borrower that has always been more of a challenge to underwrite. Why are these customers perceived as being more difficult to support?” monthly income from the services they offer, with 62 percent attributing less than 20 percent of their monthly income to their work done in the gig economy. l One in three gig economy workers report having higher household income than a year ago. l Many (75 percent) gig economy renters say they plan to own a home in the future. All of this seems like positive news for our industry. After all, we like borrowers who earn more income and are finding ways to raise the “I” in their DTI ratios, right? Are lenders ready for them? Perhaps not. Earlier this year, Fannie Mae surveyed mortgage lenders4 to better understand how prepared our industry is to

serve these borrowers. Despite 71 percent saying they have had borrowers apply for a mortgage in the past year with gig economy income, the survey reveals a lack of confidence in helping these customers. For instance, 69 percent of lenders say that current underwriting guidelines for selfemployed income verification are about right, yet a staggering 95 percent think it would be difficult to use gig economy income to approve a mortgage. The truth is that gig economy workers are an extension of the self-employed borrower that has always been more of a challenge to underwrite. Why are these customers perceived as being more difficult to support? A recent article in the Chicago Tribune provides some insight into the difficulties faced by freelancers seeking mortgage

Technology and training How can we better prepare ourselves to assist these borrowers? A combination of technology and training is the best bet. Advances in Optical Character Recognition (OCR) technology can vastly improve efficiency by allowing lenders to automate the uploading of tax returns. The improvements in this area have been astounding. One of the leaders in this field, fintech company LoanBeam, cites a 99.7 percent accuracy score. Their software, like that of others in this field, can help lenders quickly identify missing documents and determine qualifying income. Increasingly popular are worksheets and software that allow users to plug data into a form designed to help them determine the correct usable income of a self-employed borrower. MGIC’s Self-Employed Borrower Online Worksheet had more than 20,000 form fills in the past four months alone. However, quickly getting to the data only gets us so far. It still needs to be reviewed, interpreted and evaluated by an underwriter to make a reasonable loan decision. That is why continual training on selfemployed borrower underwriting is imperative. Effective training ensures Loan Officers and underwriters are upto-date on the latest guideline changes announced by Fannie Mae and Freddie Mac, and provides a chance to compare inhouse underwriting requirements to today’s industry guidelines. If the training is truly effective,

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it will not only teach underwriters how to underwrite these challenging files, but importantly, explain the “why” behind the guidelines. It is no surprise that training on underwriting for the selfemployed borrower is always among the most popular requests we receive. We at MGIC have trained more than 28,000 mortgage professionals in the first half of this year. Of those trained, 49 percent came to MGIC to learn about selfemployed borrower analysis.

Vance Edwards, CMB, joined MGIC in 1999 and currently serves as a Marketing Program Director. Among Vance’s responsibilities is heading up MGIC’s marketing promotions and sales training efforts. In addition, Vance leads MGIC initiatives with real estate professionals and consumers, especially first-time homebuyers. He has spoken numerous times to real estate agents and loan originator audiences on topics including: First-time homebuyers, credit scores, economic overview, mortgage industry and sales skills. He can be reached by e-mail at Vance_Edwards@MGIC.com.

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Loan Officers have always known they need to stay on top of regulations and requirements around the self-employed or freelancing customer. By doing so, they can also be ready to step up and help when a gig economy customer applies for a loan. It’s an exciting time for people with selfstarting skills, and the gig economy is only going to grow. Loan Officers have every opportunity to grow with them.

1—https://www.borrowersofthefuture.com/insights/articles/how-sharing-economy-could-transform-us-housing-market 2—http://www.fanniemae.com/portal/research-insights/perspectives/gig-economy-homeownership-120517.html 3—https://blog.linkedin.com/2017/february/21/how-the-freelance-generation-is-redefining-professional-norms-linkedin 4—http://www.fanniemae.com/resources/file/research/housingsurvey/pdf/may2018-topic-analysis-presentation-gig-economy-mortgagelending.pdf 5—http://www.chicagotribune.com/classified/realestate/ct-re-0218-self-employed-mortgage-20180213-story.html

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Moving forward So what steps should lenders take to better work with the growing population of gig economy borrowers? 1. Ensure your Underwriters, Processors and Loan Officers have the opportunity to go through training on underwriting for self-employed borrowers at least once a year. While gig economy income is a growing trend, the majority of loans will not include this type of income, so unless you have a dedicated team focused on selfemployed borrowers, an annual refresher will prove helpful. 2. Ensure you are taking advantage of technology to make sure you are working as efficiently as possible when underwriting these loans. 3. Broadcast what you do when you hire gig economy workers. The next time you are chatting with your driver, asking how long they’ve been driving or how often, work into the conversation that you are seeing more and more borrowers doing this type of work to increase their income and tell them that you specialize in assisting them when it comes to buying a home. It may lead nowhere, but you never know.

Footnotes

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How Education Is Key to a New Model’s Success

By Jaime Steinman

he mortgage industry is changing. From new regulations to the way consumers shop for a loan, change is the only constant. Keeping up with changes, continuing education and making compliance a top priority is key. I sat down with leadership from Motto Franchising LLC, the first national franchise of mortgage brokerages, to discuss the importance of onboarding, in-person versus online training, and the role of compliance in education. “Being the very first in our specific segment of the industry means charting new territory when it comes to the right mix of educational and professional development, and we are pleased to share our lessons learned,” said Ward Morrison, President of Motto Franchising.

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The importance of onboarding As the saying goes, knowledge is power. Onboarding education can make the difference between a lackluster Loan Originator and one who shines. The Motto Mortgage Loan Origination training program, or “Success Coaching,” is spearheaded by Lead Success Coach Shertina Spencer, and supported by the company’s Client Success Team. Onboarding and training Loan Originators is crucial, especially when it comes to growing the broker office network. Loan Originators new to Motto Mortgage offices generally have a financial services background and come in with a foundational knowledge of the mortgage process. The onboarding process focuses on the brand’s loan origination workflow, other mortgage tools such as marketing and continuing education platforms, and the value propositions of the Motto Mortgage network. During the onboarding of LOs, their access to the Loan Origination System (LOS) is created with customizable functionalities such

“Another advantage of online education is it gives individuals the freedom to choose topics they’re interested in or areas where they want to improve. This can be ideal for a Loan Originator who has extensive experience and only needs to train on a few new topics and products.”

as task reminders, personal data reports and custom documents. “Essentially, our mortgage brokerage office owners recruit originators from the mortgage industry and other financial services backgrounds, and we deliver coaching to help each Loan Originator understand their toolkit and how to maximize the tools and services provided,” said Morrison. In person vs. online: Catering to different learning styles Multiple onboarding opportunities exist for new Loan Originators. Every month, a three-day training event for LOs is held at Motto Franchising LLC headquarters in Denver. “Once training is complete, Loan Originators should be able to successfully originate a loan and understand the other company benefits, tools and

services that are readily available to them,” said Spencer. Alternatively, Loan Originators can complete their training through a virtual classroom. In the classroom, they have the option to watch live or previously-recorded Webinars and participate in online Q&As. The biggest differences between in-person (on-site) and online education programs are time and learning style. If Loan Originators are interested in learning at an accelerated, more focused pace, they generally opt for in-person training. “In our experience, on-site learning is faster for those brokerages who want to get Loan Originators launched and operational,” said Dustin Morton, Director of Client Services. “It’s also more engaging in terms of learning style, and more effective as those who attend on-site training tend to require less

technical support from our Client Success Team.” Another significant benefit of on-site training is it fosters networking between headquarters staff and originators, as well as among Loan Originators from other offices attending the event. It creates a built-in peer support system and long-lasting camaraderie after the training is complete. One of the drawbacks with inperson training for some Loan Originators is that it’s only offered once a month, which isn’t ideal for immediate onboarding. “Business doesn’t stop when you’re at training, so setting aside three full days can be a challenge too,” said Spencer. While there are advantages to in-person training, it isn’t for everyone, which is why online education is a great alternative. Webinars (live or recorded) are immediate and offer flexibility for individuals’ schedules. The Motto Mortgage Online Education Plan consists of a mix of self-paced and prescheduled coursework. Loan Originators can watch 60- to 90-minute Webinars online for specific workflow topics. Many of these Webinars feature content and teachings that are delivered at the in-person training in Denver. The learning calendar is organized such that all the in-person content is covered via Webinar within three weeks. Another advantage of online education is it gives individuals the freedom to choose topics they’re interested in or areas where they want to improve. This can be ideal for a Loan Originator who has extensive experience and only needs to train on a few new topics and products. Online education is also usually more cost-efficient than in-person training as it does not involve travel costs and can be completed from anywhere with a computer and an Internet connection. On the flip side, learning

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individuals to push themselves to the next level. There are numerous ways to approach

education which is why it’s up to you on the best path for you and your company.

Jaime Steinman is Vice President of Operations for Motto Franchising LLC. Steinman oversees all operations at Motto Mortgage and concurrently serves as Vice President of Risk Management at RE/MAX LLC. Jaime has worked at RE/MAX for over a decade—first in brokerage support and then, since 2008, in leadership roles focused on internal operations and membership services. She’s been a Vice President at RE/MAX since 2014. Jaime is also experienced in mortgage lending and mutual fund administration, having previously worked in both fields

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Compliance’s factor in continuing education Considering the mortgage industry’s involvement in the 2008 financial crisis, it is crucial for Loan Originators to not only be compliant with regulations, but to be transparent with borrowers as well. Disclosure is key which is why Motto Franchising has developed proprietary technology to mitigate the challenges of the dual disclosure workflow in the broker channel. Loan Originators can reach out at any time with questions to a dedicated support team at headquarters to guide them on the various tools and resources available to help them conduct business more transparently, which, in turn, creates a more seamless path from contract-to-close. “From their first day as Motto

Mortgage brokerage office owners, we train them to cultivate a compliance culture,” said Morrison. “We believe that a compliance-first mentality helps all the other large stones—like Loan Originator recruiting, state exam preparation, employee productivity, etc.—fall into place organically.” When it’s all said and done, training and development is essential to growing your business and empowering

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styles vary from person to person. Some excel gathering knowledge from a Webinar or other online educational tools, and some struggle with it. Learning online requires some tech-savviness as well as selfdiscipline to stay on task. Without planning, it’s easy to get distracted and interrupted by day-to-day business. A third option offered on occasion is local training. Paid for by an office or a group of offices in a geographic region, this can be accommodated when numerous Loan Originators are onboarding all at once, the office targeting a pressing opening date or the business requires a quicker level-up of knowledge versus the standard methods (inperson trainings or Webinars online). Once onboarding training is complete, Loan Originators can continue their education through our university, a learning portal with dozens of videos and courses. Whether a Loan Originator is in their first or 20th year, they can expand their knowledge base and enhance skills with access to courses and videos, 24/7. “Our rule of thumb is videos should never be longer than 10 minutes, and as a goal, we try to limit our videos to five minutes maximum,” Spencer said. “The tutorial videos are more tactical, leading you through steps to execute a specific task, versus Webinars which are longer and aim to teach a larger process.”

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“Eating the Elephant …” eliminate, any associated stigma, self-doubt and fear you may have about the continuation of one’s formal education and development. I will share some alternatives to formal education that can deeply enhance your Once we have completed our current mortgage professional pre-adult mandatory scholastic obligations, the thought of “going career! Finally, I want to offer an attitude change that will assist back” completely fades as an activity from our radar screen. As you in making any huge challenge achievable. time passes, we figure “we’re as Reasons for going back to good as we are going to get,” and school are numerous. Some scholastic challenge is not as adults may be yearning to valuable as street experience. complete their GED, or high Finally, putting ourselves “out school equivalency. Others may there” by taking classes with be seeking employment or younger students seems too promotion opportunities in a difficult, or worse, we think that specific field. There are benefits we cannot cope. to overcoming your fear of My goal in this article is to droning lectures and crowded demonstrate how education is a lecture halls! lifelong process, one of personal Perhaps you already have a growth that will benefit you in all degree? Earning an MBA or aspects of your life and your master’s degree is much more career. I hope to diminish or

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ven, only as words, “Back to School” instills fear in many adults.

By Joseph Grunebach

common today than it was three or four decades ago, but it still puts those who earn them in the category of about eight percent of the population. Typically, a higher level of job stability does come with advanced degrees. Independent studies support that approximately one to three percent of the U.S. population holds a doctorate degree of some type. There are also some among us who hold multiple degrees. Again, not all education is the formal type we think of associated with traditional colleges and universities. The Internet can be a great teacher! Seek out sales materials and media related to a topic with which you may be struggling. Watch YouTube or TED Talks Videos from experts in your direct, or a related field. Become the resource that your referral partners seek out for industry-related information. To become a reputable resource or “teacher,” you must first embrace your perpetual role as “student.” For some, formal study and standardized tests are an obligation. Many of us hold various licenses. Our ability to list or sell real estate, originate mortgage loans, sell insurance, offer financial advice or notarize documents all require a professional license. Under these license opportunities come required, ongoing continuing education classes, with subject matter that changes at each interval. Having the ability to offer your services across state lines will also require that you meet minimal education standards to be properly licensed in each of those locations. Isn’t this all so overwhelming? To be safe, perhaps we just stay put. If you are a Mortgage Loan Originator, why go back to school? After all, you’re in sales and everything that you learn is through experience, right? Not really … becoming really good at sales probably happens at the street level, but much can be gained by being open to learning and elevating the skillset of your craft. A quick (true) story … After many years of working in the mortgage industry, as a Loan

Officer, Sales Manager and Branch Manager, my wife encouraged me to go back to school to finish my bachelor’s degree. She knew this was a loose end that I kept in the back of my mind, wanting to tie it together. At the ripe young age of 50 years, I enrolled in the Global Online Bachelor of Science Program through the California University of Pennsylvania (Cal U). Much to my delight, Cal U accepted many of the college credits that I had obtained years earlier, when I had completed my Associate of Arts degree at a Community College, along with a few additional credits I had earned at another University. Through Cal U’s student counseling, I was advised that I needed 36 credits (12 core three-credit courses) to complete my BS degree. These online classes were to be taken concurrently with working full-time as a Loan Officer. I was initially filled with much anticipation and anxiety. Could I keep up with other students, whom I perceived to be much younger and better adapted to life in school? My goal was to complete one course at a time, because I did not think I could be effective at more than one and besides, what hurry was I in? Well, it came to be that not all of the core courses were to be offered each semester, so I had to take on two courses for some of the semesters, and three courses during one of the semesters. A lot of work … two or more hours a night at least, with no end in sight! When I felt overwhelmed, my wife who could sense my stress would say, “How do you eat the elephant? One bite at a time!” I had to make the mental adjustment to look not at the overwhelming 36-credit challenge (eating the elephant), but rather, taking that first, then next and every single additional bite. My studies became enjoyable when I stopped worrying about the “Big Picture” work required to be completed each week. Instead, I focused on completing the single problem, paper, posting, quiz or task in front of me. Then I moved on to the next one (bite), and continued to repeat this process. I also committed (to myself) to work harder than my fellow students, by putting in more research time and by providing compelling and substantive discussion board posts and written papers. I made

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you make, learn and choose to become the competition that you currently envy or admire. By moving yourself beyond your comfort zone, you will truly become the author of your own life, living by design, rather than by default. When you view ongoing education and personal development as an ongoing life choice, you will become a better provider for your family, a better resource for those that depend

upon a service that you provide, and a better problem solver. Wouldn’t any of these potential

outcomes motivate you and make the endeavor worthwhile? Take the first bite!

Joseph Grunebach is Senior Mortgage Coach at Mountain West Financial. His previous experience includes being a highproducing manager for Fleet Mortgage, North American Mortgage, and several other lenders and banks. Since 2012, Grunebach has held sales and management positions with Mountain West. He continues to maintain his CalBRE, California and Nevada mortgage licenses, insurance license and notary public. Grunebach earned his bachelor’s degree in legal studies from California University of Pennsylvania. He may be reached by e-mail at Joseph.Grunebach@MWFInc.com.

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sure each ‘bite’ was a ‘quality bite,’ with the pride demonstrated in my work. Today’s Loan Officer can apply these same principles to all the things they need to deal with throughout their work day, when it seems all too often that we can’t get it all done. Learn to prioritize, begin with the most important task at hand, complete it with quality (‘one bite at a time’), then move on to the next task. Know your purpose in every action that you take. My whole “Back to School” experience took me four years to complete. With my wife’s daily encouragement, coupled with my sheer determination, I almost cannot describe the euphoric feeling of walking across that stage and being handed that scrolled diploma. Did I mention that I completed my course of studies with a 3.945 GPA? I don’t share this anecdote to brag, instead, my wish is for this story to inspire readers who think or say that school isn’t for them, or question what could they possibly gain from it? Embrace a personal paradigm shift away from those thoughts. Change your course of action and ask yourself, “How much more of a positive influencer could I become with additional education or professional development?” “How could this additional training make me better at what I do, or provide me with a back-up plan to what I already do?” Professional development can also take place by making reading one of your priority habits. Digital downloads of work-related or selfimprovement books make it very convenient to have excellent reading materials with you at all times. Take that ‘first bite.’ Download a book, and read a few pages over lunch. Listen to the Text to Speech of the book in your car driving to and from work. Attend educational events specific to your chosen profession. Consider identifying a life, or career-specific accountability coach to hire. Many coaches in the mortgage profession offer one on one training. You don’t have to hire Tony Robbins! Find a seasoned mentor in your local area, reach out, ‘Take that first bite’ and ask for advice. Long-standing mortgage professionals enjoy sharing their experiences with fellow Loan Officers. This too is professional training and education. Through the daily choices that

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My Education, My Way few weeks ago, I was waiting for a baseball game to start when I noticed a man in front of me working on his continuing education. Despite the hot sun hitting my neck and the crowd forming around me, I felt like I was back in the office as I watched my partner, David Luna, animatedly describe new guidelines for mortgage professionals. The NMLS does not allow any company to support mobile viewing devices, but with the improvements in technology, education can be taken almost anywhere. Despite the convenience of online education, I find myself wavering between online, live and Webinar education for my own CE because the grass always seems greener from the other side. As I am fortunate enough to be able to audit classes throughout the year, I have been able to compile a list of benefits (and downfalls) to each type. To find your perfect fit, this article will cover the advantages and disadvantages of each type of education.

By Tyna-Minet Anderson

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Live classroom education Set your alarm and pack your bag, you have school to attend. By school, I mean a single day of class, but it can feel like a marathon of education. In the next eight hours, you are set to receive three hours of federal law, two hours of ethics, two hours of a non-traditional program and an hour elective of the provider’s choice. If you are lucky enough to be in a state with additional requirements you may be set for a nine- or 10-hour day. Plan to arrive early because you need to sign in and show your government ID before class begins. One of the best parts of the live classroom education is the interaction that occurs during the day. Not only do you get to ask your instructor

“Not only do you get to ask your instructor questions, but there is a wide knowledge base among the other students attending. An ideal class will also provide the perfect environment to learn, while having a good time as the instructor can liven up what otherwise might be dry material.”

questions, but there is a wide knowledge base among the other students attending. An ideal class will also provide the perfect environment to learn, while having a good time as the instructor can liven up what otherwise might be dry material. Live classroom education is best for those who like regular interaction, want to finish in one day, and enjoy seeing old friends. Pros of live classroom education l Complete the entire eighthour requirement in a day l Less stress about passing tests (many offer group assessments in place of exam) l Instructor and student interaction l Fun, team-building environment l No technology worries (no BioSig-ID)

Cons of live classroom education l Driving during rush hour l Leaving early enough to ensure you arrive on time l Finding parking and the location l Stiff classroom seating for eight hours l Limited date/location availability l Limited ability to assist borrowers during the class Online self-study Offering the most flexibility, online self-study courses allow the student to take the course at their own pace and in their own place. A student could sign up for their course on Jan. 1 and complete an hour each month and be done by August or they could purchase it on Christmas Eve and finish before New Year’s Eve. As a reminder, the NMLS recommends you complete

your education no later than Dec. 18 to get your license renewed on time (some states have earlier deadlines), but for those who like to wait, this is your best option. One of the challenges of online self-study is the implementation of the Biometric Signature ID (BioSigID) technology that the NMLS now requires of all providers in all self-study courses. To solve the concerns of student’s cheating by having others complete the course for them, the NMLS found a software that can determine if the user is the same person who created the ID by using biometrics in mouse movements. Unfortunately, students may have a hard time duplicating an ID they made themselves or remembering what they initially created. We have many students who have stated they will never take another online class because of the hassle of their BioSig-ID. There is also the concern of technological issues. Because of the NMLS requirements for tracking student progress, there is a large amount of technology that runs in the background and may lead to technological issues. Online self-study is best for people who are computersavvy and want the most flexibility with when and where they take their education. Pros of online self-study l Available 24 hours a day, seven days a week, including holidays l Complete it at your own pace l Work on it from any location with an Internet connection Cons of Online self-study l BioSig-ID l Inactivity timeout l Technology issues l Ability to procrastinate As a tip for those who are willing to brave the BioSig-ID wilderness, although you can draw whatever you want in each of the boxes, it works best with simple straight lines. So rather than drawing a smiley face or using curvy letters or

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numbers like S, B, 3, 5 or 8, try using X, -, \, 4 or another straight line that you can remember and duplicate. If you get stuck, good luck! Providers can only give limited support and BioSig-ID only accepts electronic tickets. Don’t even think about calling in for help, there is no customer support phone number.

specific electives through a live Webinar, there are multiple options to ensure you find the format that works best for you.

Tyna-Minet Anderson is the Vice President of Mortgage Educators and Compliance (MEC). Before joining MEC’s team in 2012, she worked as an administrative and civil attorney defending professional licenses and assisting victims of straw-buying and other investment schemes. She may be reached by phone at (801) 676-2520 or email TM@MortgageEducators.com.

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Cons of Webinars l Only available on specific dates l Technology issues l Temptation to multi-task l Start and lunch times may not coincide with your time zone

Whether you decide to do your eight hours live and your statespecific electives online, or your eight hours online and your state-

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Webinar All of the benefits of live classroom interaction, while sitting home in your pajamas with your feet kicked up on the desk. Don’t let the description lull you into thinking you don’t have to pay attention, as the Webinar programs used can detect when you click off the screen or if you are inactive. Instructors may also have tricks they utilize to ensure students are paying attention, such as holding up a paper requesting the student to answer a question without mentioning it out loud. That said, many students find they really enjoy the Webinar format for their annual education. Although the Webinar format for education has been around for a long time, it is often underutilized. Many providers do not even offer the Webinar format so as a result, many students have never tried it. I have spoken to several students who wish they would have tried it earlier as the convenience of the format and peace of mind of getting the requirement done in a day are a perfect fit for many. Webinars are best for someone who loves some interaction, but also loves the comfort of being in their own home. Pros of Webinars l Complete the entire course in one day l Complete it wherever you have Internet access l Instructor (and limited student) interaction l National audience provides expanded viewpoints of industry

Before considering either the live or Webinar options, it is important to note that if you are not able to complete the entire course on the day that it is offered, you cannot receive partial credit. You will have to redo the completed hours, as well as the hours missed, prior to receiving credit. There is not a one-size-fits-all solution when it comes to continuing education, but thankfully, you have choices.

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Son of a, Son of a, Son of a Clone By Eric Weinstein

In 2003, Carteret Mortgage was named as the “Largest Mortgage Broker in the Country” with close to $5 billion in originations. I was President, Chief Executive Officer, sole Founder and 100 percent owner. My kingdom had about 4,000 employees in 49 states. Not bad for a person who started Carteret Mortgage in his den. Most of our Loan Officers worked from home, but we did have about 300 physical branches. I felt pretty good about myself … maybe, too good. One day, I called one of my branches. I wish I recorded it, but this is pretty much how it went.

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education you must have to grow a successful company. This is what happened and I blame myself. In the beginning, I wrote an Employee Manual I required everyone to read and sign off that they read. It was light-hearted prose, like my articles, which had humor and my personality, while still putting forth the information and requirements I demanded. People read it because it was a hoot. For example …

f you can get through the bragging part, this is actually a cute story with a good lesson at the end.

Receptionist: “Good morning, Carteret Mortgage. Can I help you?” Me: “Yes, this is Eric. Can I speak to Dave?” Receptionist: “Can I have a last name?” Me: (Chuckling) “Yes, of course, Eric Weinstein.” Receptionist: “Will he know who you are with?” Me: “I would hope so.” Receptionist: “Will he know what this is about?” Me: (Getting a bit annoyed) “Probably not, that is why I am calling him.” Receptionist: “Would you like me to give him a message?” Me: (Totally annoyed now) “Yes, tell him it’s his boss and to pick up the phone right now or he is fired!” Dave: “This is Dave.” Me: “Dave, this is Eric. How long has that receptionist worked for us? She doesn’t know who I am?” Dave: “About a year. I guess it never came up before.” The truth of the matter is that Dave was what I called a seventh-level employee. I hired someone, who hired someone, who hired someone, and so on. That made the

“I know this issue is about ‘Education,’ and I am not talking about the compliance or mechanics of doing a loan. I am talking about the culture of the company … the mission and attitude you install. That is part of the continuing education you must have to grow a successful company.” receptionist an eighth-level employee. While I made a point to know all my Branch Managers and most of the Loan Officers, I am ashamed to say, it was difficult to introduce myself to every Receptionist, Processor or Branch Bookkeeper we hired. If you are my age, you know a Xerox of a Xerox of a Xerox soon becomes illegible. If you are a Millennial, you are asking, “What is a Xerox?” I guess with scanners, we don’t have that problem now. Let me put it in Star Trek terms, “A clone of a clone of a clone soon becomes a clown.” I know the term “franchise” is illegal in the mortgage industry, but basically, how you grow is very similar. One guy comes up with a “better mousetrap” (say, McDonalds) and then teaches it to the next guy. If he is smart, he also gives the guy the tools to teach it to the next guy and

so on. This way, you grow exponentially, not in a linear fashion. I know this issue is about “Education,” and I am not talking about the compliance or mechanics of doing a loan. I am talking about the culture of the company … the mission and attitude you install. That is part of the continuing

The “You and the Horse You Ride in on Rule” If you hire someone who commits fraud, not only are they fired, but you are fired, also, unless you tell us. When you ask, “Am I my brother’s keeper,” the correct answer is “Yes.” Yes, you are. But somewhere along the line, an Operations Officer thought it was not “businesslike enough” and changed it all to be very dry and authoritative. No one ever read it after that. Nowhere was my personal story, on how and why I started the company, or how I thought you should treat other people. The culture soon faded to the point where a receptionist had no idea who I was. Can you imagine? Not knowing me? The lesson here is for the guy at the top. Continuing education must include the company philosophy that originally made the business a success. Anything less and you will end up with a bunch of clowns.

Eric Weinstein worked in banking, on the commercial real estate side until 1991, when he fell in love with residential lending. In 1995, he started a small mortgage company in his basement called Carteret Mortgage Corporation, which in 2003, grew to one of the largest mortgage broker companies in the United States. Eric is semiretired, doing mortgages by referral only. He may be reached by phone at (703) 505-8692 or e-mail EWeinstein4U@gmail.com.

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Recruiting Tomorrow’s Loan Officers Training and education are critical for young professionals and other new hires By David Loeser

t’s been well-established that young professionals are a force to be reckoned with when it comes to homebuying. And forwardthinking mortgage lenders know that those prospective buyers are likely more at ease working with Loan Officers who are also members of Generation Y. Not only that, but the mortgage industry needs to replace the many originators who are retiring or are getting ready to. With the average age of a Loan Officer today being about 54-years-old, lenders must attract younger professionals to fuel production. Yet the cost of recruiting and training new employees can really add up, and it becomes very expensive if you hire and train young talent only to watch them go to the competition

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shortly after. So, what’s the best way to recruit, train and retain young professionals? What young leaders look for in a company It helps to know what young professionals want in a career, since their priorities differ from those of previous generations. Young professionals will look for a variety of characteristics in a prospective employer and in the overall company, including: ++A positive culture: While no one wants to work in a stressful or toxic environment, the younger crowd is more focused than earlier generations on finding an employer with a positive culture, one in which they feel comfortable. Mortgage lenders who foster a favorable

and affirmative environment will find a larger pool of applicants. As a bonus, studies show that a positive culture increases employee retention, customer loyalty and ultimately, the bottom line. l A career with meaning: Young professionals want a job with a purpose or meaning. Research shows these new job entrants are less focused on job titles than on job experience and whether it will provide them with a challenge. According to the 2017 Deloitte Millennial Survey, employees who feel their jobs have meaning, or that they are able to make a difference, exhibit greater levels of loyalty and remain longer at their jobs. In the mortgage industry, many young professionals are attracted to the idea of helping others achieve the American dream of homeownership. For example, as a lender to veterans and military personnel and their families, NewDay USA has found that young recruits like the idea of helping veterans and current members of the military get into homes. l Social responsibility: More so than previous generations, young professionals place great importance on social causes. And they approach it from two angles, according to Fortune. The first is selfpurpose … how do they fit into the organizational puzzle? How is their work relevant? The second aspect is the purpose of the company. How does the company relate to the wider world, and what good does it contribute? As would be expected, young professionals look for companies that allow them to be involved in social issues or volunteer work. According to the Deloitte survey, business involvement in social issues and “good causes” goes beyond the tangible impact made or the reputational

benefit that might result. “By involving employees in such initiatives, employers seem to be boosting Millennials’ sense of empowerment,” the survey found. That sense of empowerment also betters the chances that new hires will remain loyal to their employer. At my company, “giving back” is a core value, and through our NewDay USA Foundation, we partner with numerous organizations that assist military veterans and their families in need. Our emphasis on community service and giving back in the form of volunteerism is often a deciding factor among young recruits who come to work for our company. l Mentoring and training: Research by The Hartford has consistently shown that young professionals want to be leaders and place great value on training, education and mentoring. In fact, it’s often a requirement of young jobseekers that their prospective employer offers a good leadership program. Some lenders have taken note and now offer comprehensive training for new Loan Officers and other employees. I see several mortgage companies today that have created leadership training programs that prepare young employees to reach their full potential as mortgage professionals and as leaders. There are “characterdriven” leadership programs with classroom instruction that focuses on core values, ethicsbased leadership concepts and an understanding of the community the upcoming leaders will be serving. A welldesigned program features independent study, including a list of outside reading that complements and augments concepts covered during formal training sessions. Some mortgage companies offer specific, targeted development programs that provide hands-on experience and classroom training in a

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variety of disciplines. Some examples might include asset management, loan origination, retail lending, risk management and technology. In addition, the Mortgage Bankers Association (MBA) and many state MBAs offer their own programs on leadership development. According to the MBA, “Effective leadership is key to a successful business. We are dedicated to supporting the growth and development of industry leaders, both seasoned and fresh.” Some of the MBA’s leadership development programs offers include future leaders and management essentials. l Room for growth: Young professionals want more than comprehensive leadership programs and mentoring— they want their employers to take a personal interest in their careers. When they complete tasks, they look for constructive feedback. Beyond leadership training

programs, young professionals also seek continuing education and exposure to senior leaders who share their knowledge and experiences. This should be an ongoing effort, not a one-time program. l A visionary culture: Young professionals are seeking a work culture that inspires them, according to a study by Department 26, a think tank, search firm for professionals under the age of 35, companies should communicate clear plans for the future that reflect their core values. “Continuous communication about the company’s mission and the progress that’s being made will keep this generation engaged,” the Department 26 study said. And managers who can connect their team’s actions to the company’s mission will gain additional trust and loyalty from their employees. As an executive at a nationwide lender, I have my own

observations on the way mortgage companies recruit, hire and train. All too often, I see the mortgage labor market leaning toward free agency, to use a sports analogy. Just like professional football teams constantly draft and trade talented players, some lenders take proven Loan Officers and underwriters from other mortgage companies, then try to meld them together to form a winning team. Yet when I look at companies that operate that way, I see that “free agency” is often a recipe for high employee turnover. Instead, I think doing things the Vince Lombardi way works much better: Start from the very beginning with the fundamentals, so that every player knows every

position. Just as the famous coach taught his teams the roles of the defensive line, the linebackers, the running backs and the offensive line, we train our employees to learn all the tools of the mortgage trade, from origination to underwriting to credit risk and loan performance analytics. It makes for more wellrounded employees, who value the training and education and are much more likely to stay with the company as a result. Preparing and training the future leaders of the mortgage industry requires lenders to make investments in time and resources. But those investments will provide returns in spades in the success of your company and its employees.

David Loeser is Vice Chairman and Executive Vice President of Human Resources at NewDay USA, a nationwide VA mortgage lender. Through NewDay USA University, Loeser helps in the development of future mortgage industry leaders. He is a strategic management and human resources expert with more than 30 years of experience working for top multinational brands. David may be reached by e-mail at Recruiting@NewDayUSA.com or visit Careers.NewDayUSA.com. 67

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Developing All Leaders to Lead By Michelle Choquette

hen a mortgage lender boasts a broad network of branches and a reliable brand, it may appear that they are on the road to success. However, lenders cannot afford to overlook the influence of team members who are empowered to lead despite their rank within the organization. As changes in the industry accelerate, it is critical that lenders prioritize employee training and education so they can create a team full of leaders that span from the frontline to the boardroom. Mortgage lenders must consider a few factors when encouraging their employees— the heart of their organization— to meet rising standards and lead.

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68 The rise of the leading loan officer and branch manager With many experienced Loan Officers aging out of the workforce, mortgage lenders are increasingly recruiting younger professionals who may have little or even no mortgage experience. For this group–both for the lender and the young professional–development is vital. In fact, according to a survey completed by Gallup, 87 percent of Millennials say that professional development is important within a job. Developing these new hires to be successful Loan Officers is an investment upfront. Hiring people who are relatively new to the industry allows a lender to train them to originate loans precisely the way that their company prefers (and according to current regulatory standards). This training and investment can also generate company loyalty. Moreover, these new hires often bring a level of enthusiasm to their position that can increase internal competition to influence their peers to perform at higher levels. Beyond professional development training, job specific training is essential in the mortgage industry, but it is

“With many experienced Loan Officers aging out of the workforce, mortgage lenders are increasingly recruiting younger professionals who may have little or even no mortgage experience.”

also critical to developing true leaders. There are three key things that mortgage lenders must think about when training Loan Officers and Branch Managers, even if they have prior experience. 1. Compliance training is mandatory, particularly for new Loan Officers, and team members coming from another mortgage company may be used to a different loan origination system. A best practice is to get them up to speed on their new system as quickly as possible. While products and processes are generally the same across the industry, there are typically variations across product lines and learning management systems, and even previously trained loan officers will require some additional training. 2. It’s crucial that Loan Officers

and Branch Managers understand the full life of the loan, but this surprisingly has not always been the standard rule for Loan Officers. This is essential to tackle when training for leaders, and if companies take advantage of educating their Loan Officers on servicing, then they will see a lot of potential for growth. 3. Soft skills training is also significant for developing leadership skills amongst these groups since they must be able to communicate corporate messages and requirements to their team. A significantly influential skill when developing the ability to lead is a coaching approach to managing that can enable a Branch Manager’s team to make their own educated decisions and remove obstacles to getting work done.

Branch Managers are definite leaders, and they require wellrounded training to function as such. Branch Managers need to be able to conduct interviews and help bring the right teams into an organization. To do so, they must be trained on what to look for when hiring and how to optimize the interview process. It is also their job to oversee policy implementation, consistency and culture within their branch. This group is unique in that their experience on the front line often allows them to provide insights from personal experience that may not be readily accessible to an organization’s executive team. While their everyday activities prime them toward growing as leaders, it is still important for companies to cultivate growth and continue education for loan officers and branch managers. Invest in learning and development It is also important that mortgage lenders be prepared to invest not only in basic compensation and onboarding for their new hires but also in their employees’ continued learning and professional development throughout the lifetime of their careers. Companies that do not offer growth opportunities risk a high turnover rate as many employees that leave do so due to a lack of professional advancement. However, mortgage lenders must remember to speak to their employees about their interest; not all seek to lead. In addition, continuing education is not an option as regulations continue to evolve; an updated, mandatory compliance curriculum is nonnegotiable for success. To keep staff up to speed on everchanging industry mandates, consider regularly communicating updates to them over a weekly announcement call, e-mails that require read receipts or monthly videos. Additionally, communicating over a company’s Intranet in

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creative ways can keep staff engaged. Finally, do not forget to celebrate your team members’ successes so that they are motivated to continue in their leadership journey. Creating a curriculum and method Next, it is crucial for mortgage lenders to consider the curriculum and methods for their training to include policies and processes. It is essential to consider that many new hires will be dispersed across the nation, so mortgage lenders must take seriously the level of investment required to train these individuals, whether that is educating them on site, through eLearning or a combination of resources. A quality learning management system can be a wise investment for offering and tracking learning opportunities. Learning management systems track assignments and offer courses, video and webinars. This is particularly key for large mortgage companies that operate in various locations. When creating an education

plan, mortgage lenders should evaluate the expectations they have for employees. Committing to documenting how employees are expected to perform their jobs will provide a foundation for leadership in how team members carry out their day-today activities. As a mortgage lender aims to develop leaders at all levels of the organization, they must align many factors and prioritize education if they want their investment to produce long-term value. It starts with recruiting and current leadership An organization’s hiring professionals must target seasoned veterans and recent graduates, as well as people who are open to moving into a new industry and motivated to hit the ground running. The companies must know where and how to source high-quality candidates. If they cannot recruit talent with the ability to lead or develop leadership skills, then they will have missed out on valuable time and resources for sourcing other

candidates with these skills. Additionally, leadership starts from the top and has to walkthe-talk as role models. If executives don’t make time to learn and grow, it is likely their teams will not either. Many executives are hesitant to build out their human resources team to the extent required to promote a positive training environment, and some even think it is the last thing they should focus their resources towards. For example, when a company experiences

substantial growth, it can be tempting for them to put continuing education on the back burner, but without it, sustaining long-term success can be difficult. Ultimately, mortgage companies must be proactive in their training approach in order to build a team of leaders. When a company values their employees, then they will take the necessary steps to strengthen their organization through promoting leadership skills within each individual.

Michelle Choquette is Chief Human Resources Officer at Gateway Mortgage Group. Prior to joining Gateway, Michelle led Human Resources for Community Action Project (CAP), a non-profit agency focusing on breaking the cycle of poverty. Michelle is a graduate of Leadership Tulsa and a member of the Society for Human Resource Management (SHRM). She is also active in her community, and currently serving on The Parent-Child Center Board. She also has previously served on the board for Credit Counseling Center and Green Country Girl Scouts of America. 69

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Onboarding Secrets for Thriving Recruits By Shirleen Von Hoffmann

s a Manager, you have outside clients and inside clients. Your inside clients are your employees. Your outside clients are buyers, builders and Realtors. If you aren’t taking care of your inside clients, they won’t take care of your outside clients and your front door will become a revolving door of recruits gone wrong. Recruits that left frustrated because they were not developed and engaged into your office environment. In my experience, most Managers I have worked for didn’t have an onboard plan past assigning your desk, supplies, business cards, having you read product manuals and finding your own way through the operating system and then a “Get out there and get some business” training program. Many companies have

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online training in place, but it’s mostly on products or operating systems. The most valuable training I ever received was from another employee, showing me how to perform a task. Face-toface tactics work the best. I like to think about recruiting as the first step in obtaining an employee, but there is a ton of things a good Manager needs to do, in between, to retain the employee and have them thrive. You have to have an onboarding game plan. A step-by-step plan for your new hires that guides them to successfully becoming a perfect piece of your team. Recruit-DevelopEngage-Retain The success of your new hire will depend on how well you manage the development and engagement of their onboarding. Having processes in place in an office can be a critical

methodology of onboarding employees. It’s the secret recipe to develop and engage the new hire. It will be the one thing they depend on the most to become a part of your team, in the quickest most efficient way. These processes should be taught to all of your team, Loan Officers, assistants, doc drawers, processors, funding and so on. Your success of having a happy onboard, thus happy office, and better retention rate, will increase dramatically by making sure you have some process and procedures in place for the new employees to follow. Let’s talk about some examples of this, from a Loan Officer’s perspective. If I am the Manager or Senior Loan Officer and I hire someone new, I want them to know how things are done in my office. I am the experienced one who can help guide them to my level of expertise. I am contributing to their success. I can help make them become more thorough, quick and efficient, thus having less complications throughout the loan process, and creating a better customer experience and seamless staff experience. Nothing upsets a solid staff more than a newbie Loan Officer, coming in and doing everything wrong, putting sloppy loans in the system and taking up everyone’s time. So, having processes in place to help onboard them to make them efficient and effective will make them feel valued, important and every aspect of the onboarding will be more acceptable. They will also become better Loan Officers, learning some tricks of the trade from you. First, you must come up with a process. This takes time, but it’s worth it. I will use this example for this article: How to take a complete loan application. Now this may sound silly, but hang in there with me and let’s dive in. Everyone knows those top producers with more expertise in meeting with clients have it down to a science. They have a direction they follow on an appointment. They have questions they ask over and over, to get faster, more thorough

answers. They execute many steps, in a particular order and in a certain timeframe and not get side-tracked, in order to accomplish a successful appointment. No step can be forgotten or the loan application won’t be complete one and the client will walk away not feeling fully cared for and thus a sloppy loan application enters your processing system, becoming a potential cause for more work and more problems. An application appointment consists of many different stages, here are some examples: l Trying to make 85 percent of appointments, in-person meetings, so they get to know you and you get to know them … critical for conversion, especially with online pressures l Meet and greet, set initial appointment expectations, build trust, confidence and small talk l Budget questions, expectations of what the customer may of their loan, their lender, payment, etc. l Pulling credit, discussions about credit l Getting all of the customer’s personal data, jobs, bills, banking, etc. l Getting all of the data on the home (builder or Realtor talk) l Downpayment discussions l Giving your analysis of what you think are the best choices for them based on their answers l Loan application questions l An explanation of the loan process l Team introductions l Explaining rates and locks l Explaining the need and process for fire insurance l Good Faith and explanations l Disclosures and explanations l Explaining the title process, closing process, approval process and the next steps l Asking for referrals, answering final questions and tending to you final needs’ lists. Everyone has a different style and different methods of going about this one task, but the really good Loan Officers do it the same way, over and over and follow a

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process, so they donâ&#x20AC;&#x2122;t miss or forget steps. We all know what happens when you begin talking to a client and forget to do something or worse the client takes over the meeting, instead of being directed by a professional. The best way to onboard someone new is to have this process written down in order of how itâ&#x20AC;&#x2122;s done. I call this a â&#x20AC;&#x153;Cheat Sheetâ&#x20AC;? or in this example a, â&#x20AC;&#x153;Loan Application Circle.â&#x20AC;? Here is an example of what a Loan Application Circle might look like. l Order: Once you have the task identified, you put each task in order of how it flows. With applicable notes important to the task. l Timing: Time how long each stage takes, so you know how long it takes to complete the task. With that, you know how many times this task can be done in a day. l Visual: Then you make it visual, because most people are visual and like to look at pictures rather than words. So, put it on a flow chart or around a circle so you can put each stage with

pictures, screenshots if possible and hints/tips. l Tips/Hints: Exact questions that are successful to getting great answers would be on this Cheat Sheet. l Online: Have this Cheat Sheet online, so itâ&#x20AC;&#x2122;s easy to update and in your office and readily available for training. l In-Hand: Have your Cheat Sheet in a binder, by topic so that it is easily accessible with all of your other processes. Putting it into action When you are training your new Loan Officer, you give them this and say, â&#x20AC;&#x153;I am going to do a loan application and would like you to sit in, here is a Cheat Sheet for you to follow and take notes. We will do this a few times, then I am going to watch you take a loan application to make sure you have it down!â&#x20AC;? The same conversation takes place for any department task that is being trained out to the onboarding employee. There are numerous processes you can do this for in your office, like onboarding a loan, submitting a

loan, drawing docs, funding â&#x20AC;Ś you get the picture! When coming up with these processes, go to the employee who does an outstanding job at any given task and have them write down an entire process, in detail, as I did with the loan application. Then, time how long each step takes, put it in a flow chart that is easy to follow, add some pictures or screenshots from the computer, and presto, your onboarding of a new employee becomes more efficient, easier and more precise. You will find that your more senior employees appreciate that you chose them to help you with this very important task. They realize it is for the greater good of the new employee and the office. Employees onboard quicker, easier and less stress-filled, if they have something to look at â&#x20AC;Ś a guide

that tells them exactly what to do when no one is watching over their shoulder. If they do it the same as your very best employee, you just duplicated your best employee and your office becomes much more efficient. This process also helps crosstrain employees for things like vacations and should an employee be out of the office for extended periods of time, which can be potential nightmares to manage. All of your departments should be cross-training each other so you donâ&#x20AC;&#x2122;t suffer when someone is out due to an illness or on vacation. Having a system of processes in your office will make your training/onboarding more efficient, effective and successful for you, for your employees and especially for your new hire. Itâ&#x20AC;&#x2122;s a secret to happy employees and recruit retention!

Shirleen Von Hoffmann is a nationally-known top producer, author, speaker and writer for many real estate magazines. She is a California Broker, MIRM, CMP CSP and President and Sales Coach of Home Builders Edge a National Consulting firm for Mortgage Professionals, Builders and their teams. She may be reached by phone at (866) 600EDGE or e-mail Shirleen@HomeBuildersEdge.com. 71

You didnâ&#x20AC;&#x2122;â&#x20AC;&#x2122;t kn Yo now

you could be paying g 50% less.

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year after year after year after year

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Itâ&#x20AC;&#x2122;â&#x20AC;&#x2122;ss OK!

CENSE SURETY BONDS STA TA AT TE LIC

a special focus on BACK TO SCHOOL: EDUCATION & PROFESSIONAL DEVELOPMENT spec

Compliance Doesn’t Take a Summer Vacation By Mary Kamelle

oan Officers are required to follow educational standards set by the Nationwide Mortgage Licensing System (NMLS). The NMLS monitors Loan Officers and Lenders ensuring that they meet the nationwide standards put in place after the mortgage crisis back in 2008-2009. With the passage of the Secure and Fair Enforcement for Mortgage Lending Act (SAFE Act), all providers were assigned a unique identifying number. NMLS doesn’t grant the license, it just sets the standards so that nationwide there is a way to compare credentials, background and other relevant information about Mortgage Loan Officers. Many professions require licensure including physicians, nurses, pharmacists, Realtors and building contractors to name a few. The license number is primarily for the consumer so that they know the individual handling their major financial transaction is in good standing. It is not too difficult to see why consumers may have become weary of mortgage lenders after the mortgage crisis and recession in recent years. The SAFE Act and the NMLS System were established to give the industry a renewed sense of credibility. According to Cathy Parker-Winter, President of Mortgage Training Solutions, a training and consulting company that specializes in residential lending, “The SAFE ACT ensures that ethical lending standards are maintained within the mortgage industry and provides a level of comfort to the consumer that only highly trained, knowledgeable individuals are involved in the mortgage transaction.” Consumers can log on to the NMLS Consumer site and look up any licensed Loan Officer at the NMLS Consumer Access site

l Three hours of Federal Law and Regulations l Two hours of Ethics, which includes instruction on fraud, consumer protection and fair lending issues l Two hours of non-traditional mortgage lending l One hour of undefined instruction (elective)

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education annually. These requirements can vary by state, so be sure to review your state’s NMLS standard guidelines. The eight-hour class breaks down as follows:

“NMLS doesn’t grant the license, it just sets the standards so that nationwide there is a way to compare credentials, background and other relevant information about Mortgage Loan Officers.”

(NMLSConsumerAccess.org). Getting licensed and an NMLS number is not as simple as just submitting a form. They must meet the following criteria:

federal licensure must take a 20-hour SAFE PE (PreLicensure) class. Once licensed, all Loan Officers must complete eight hours of NMLS-approved

The NMLS states that the deadline to complete CE training is Dec. 19, so be sure to schedule it in advance. Some mortgage lenders will schedule this training on behalf of their staff as a value-added service. “At Mortgage Training Solutions, we find that an informal classroom setting works best with Loan Officer CE training,” said ParkerWinter. “This allows for Loan Officers to feel comfortable discussing concerns and scenarios they encounter out in the field. For some clients, we will do two sessions per year covering the required topics. We also keep track of the sessions to make sure our clients are getting the CE Classes they actually need.” So, the best advice on Loan Officer licensing and continuing education is to know the requirements for the states in which you and your LOs are licensed in, start your CE training early and don’t wait until the last minute to submit your renewal!

l If previously licensed, they must be in good standing. l They must not have a felony conviction especially related to a financial crime. l They must provide a credit report showing personal financial responsibility. l They must take mandatory education classes every year. l They must pass a written test with a minimum of 75 percent correct response rate. As far as formal education, a new Loan Officer or one that was covered under a bank’s

Mary Kamelle is Marketing Manager at Mortgage Equity Partners and a content writer based out of Lynnfield, Mass. She can be reached by phone at (781) 309-1773 or e-mail MKamelle@MEPLoans.com.

special focus on BACK TO SCHOOL: EDUCATION & PROFESSIONAL DEVELOPMENT a speci

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Call Ron Vaimberg, nmpU President & Head Coach, at 888-979-NMPU (6678), Ext. 801 or E-mail RonV@MortgageNewsNetwork.com for more information on how nmpU can increase Originator, AE and Manager Performance!

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OCR Technology: An Old Tool Is New Again By Alok Bansal

developed—we find that many in the mortgage industry are still not using OCR effectively. There are a number of reasons for this, and a solution we would propose.

The sources of OCR technology Overall, there are three types of players in the OCR industry. l The OCR Engine manufacturers: These firms focus on the core OCR technology and work to keep improving the OCR engine. Their business model is to license the core OCR technology to the “Matrix” players who contextualize the OCR for use within specific domains. l Matrix Independent Software Vendors (ISVs): These firms license core OCR technology from OCR Engine manufacturers, and then put a domain layer on top of it to ensure its usage for domain specific applications. Their core expertise is software development and they usually license contextualized OCRs to end customers, across domains. They generally do not provide compliance support. l End-to-End players: These firms take the OCR engine from OCR engine

manufacturers, bring in deep domain expertise for specific industries and then maintain the OCR engine in alignment with the needs of those industries. They usually offer contextualized OCR as a service to the end users. The solution to the OCR problem In an industry that is not burdened with significant regulatory oversight, any provider of OCR technology will allow companies in that space to go digital. However, in highly regulated industries, the best solution is to engage with an end-to-end player who can provide the technology, the compliance support required to use it, and the back office support to handle the 20 percent of documents that are not automatically processed by the OCR. By partnering with an end-toend service provider, the mortgage banker is assured of 99.5 percent accuracy at all times, and need not worry about customizing OCR for their organization or keeping it up to date. This also allows these firms to focus on their core competence and leverage the efficiency offered by vendors offering OCR as a service.

Alok Bansal is Managing Director of Visionet Systems Inc., a New Jersey-based technology and mortgageservices organization. Alok has more than 21 years of experience in managing strategy and global BPO operations. He excels in optimizing and leading growth of financial services companies who are looking to take their mortgage operations to the next level. He may be reached by e-mail at Alok@Visionet.com.

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Challenges to adoption Penetration of OCR into the mortgage industry can only be considered abysmal. A recent study performed by Capco indicates that only 20 percent of correspondents are currently using OCR and data extraction methodologies. Even when mortgage processors use OCR, depth of usage of this technology is also a challenge. Mortgage Bankers must continuously respond to changing regulations by implementing new procedures to integrate disclosure changes and product updates. This is a significant burden that increases the risk of implementing any new technology. Any time a lender or servicer implements a new technology on their own, the entire burden of deciphering regulatory changes and their impacts falls on the mortgage firm. This is a significant increase in workload, especially given that maintaining OCR templates is not a core competence of mortgage bankers. Moreover, extracting data using OCR is usually an eight- to 10-step process. Even the best OCR tools do not have a data extraction efficiency of more than 70 percent to 80 percent, and hence there is still a manual step left behind. Handling this internally requires an entire change management exercise in the mortgage banker’s organization that will involve IT infrastructure, staff training, scoping out the software and its logistics of operations, all of which increases the complexity of the implementation significantly. Despite the benefits this

technology offers, it’s understandable that firms would not want to implement it on their own.

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hen it comes to solid technologies that have been in use for many years, Optical Character Recognition (OCR) has been around for nearly a century. Believe it or not, the first examples of OCR were in development in 1914. Of course use of OCR to translate information on paper documents into digital information that can be used in modern office automation did not enjoy significant adoption until the late 1970s. Ray Kurzweil, the famous American inventor and futurist, invented the omni-font OCR in 1974. Since 1974, OCR has evolved into mainstream usage and domain specific usage by many firms. Without OCR, moving into the digital realm is all but impossible, especially for heavily regulated industries that still use paperbased processes. In order to process large batches or paperbased work, the data must first be digitized using high-speed OCR software. Within the mortgage industry, there are several instances where originators or loan servicers must process loans in bulk. For example, an investor wanting to analyze a pool of 2,000 loans before making a purchase; a servicer analyzing a portfolio of loans in default to determine best execution; a correspondent lender selling loans in bulk to the principal (and indexing those loans per stacking orders handed down by the principal). These are all examples of bulk processing of loans that is best handled with the help of OCR. The truth is, much of this work would be impossible without OCR. However, today—nearly 50 years after the technology was

Success in Mortgage L How to Bring B S

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o far, 2018 has not been an ideal year for mortgage lenders. Interest rates have been steadily rising for months and there is a noticeable shortage of housing inventory. In May, Forbes reported that in the first quarter of this year, “the number of homes on the market averaged 1.59 million, which is down from 8.4 percent from the same period one year ago.” The report went on to state that this is the lowest inventory of singlefamily home listings since the tracking of the data from the early 1980s. Not only are these statistics bad enough themselves, but they have resulted in a significant rise in origination costs for lenders. According to the Mortgage Bankers Association’s Quarterly Mortgage Bankers Performance Report released in early June, lenders have reported “a net loss of $118 on each loan they originated in the first quarter of 2018, down from a reported gain of $237 per loan in the fourth quarter of 2017.” It is clear that mortgage lenders are hurting. They need a way to originate loans fast, while simultaneously meeting rigorous compliance standards. And, while there is an increasing number of innovative mortgage products and services, there seems to be a lack of options within the appraisal and title category. An appraisal is one of the most necessary and important pieces of originating a loan. It is the process of developing an unbiased opinion of value on a property, and forms the basis for mortgage loans, taxes and property sale prices. Traditionally, appraisals were conducted exclusively in person by an experienced appraiser. This included the appraiser driving to the property, walking around,

taking pictures, driving back to the office and logging all notes. While the process was effective, it is proving to be both expensive and inefficient. And the current dearth of appraisers within the industry certainly is not helping the situation. Luckily, some real estate providers have decided that this important piece of the origination puzzle is deserving of the same innovative technology options that other parts of the process receive. If they partner with the right thirdparty, lenders can have the ability to choose among four other types of highly effective valuations including automated valuation models (AVMs), desktop valuations, hybrid valuations and property condition reports. It is important for lenders to know the differences between these valuation tools so they can make educated decisions when determining the most appropriate option. An AVM is the most basic valuation, and also the quickest. It provides the lender with instant results and is often recommended for most loans for this reason. Using mathematical modeling combined with an appropriate third-party database, an AVM calculates a property’s value at a specific point in time by analyzing values of comparable properties and other attributes. It is definitely a more attractive option than an inperson appraisal when a lender needs information fast, or when there is nothing unique about the property or location. Because it does not require human input, an AVM can generate a property value instantly. The disadvantage of an AVM is that is does not take into account the property’s physical condition, and therefore may not reflect

reality. In fact, its use in underwriting has been limited under certain Government Sponsored Enterprise (GSE) guidelines because of this. This is why desktop valuations were created, and why they are quickly becoming a top valuation choice for lenders. While desktop valuations are still completed by a computer, like an AVM, a real estate valuation specialist is employed to manually select and weigh the comparable sales. That report is then analyzed by an appraiser to generate a compliant appraisal. This approach of computer and human working together was created to provide an appraisal alternative that is more reliable than an AVM, but less expensive than a full, in-person appraisal. Of course, not all properties are viable candidates for desktop valuations. Although a specialist is reviewing the information, the process still relies heavily on automated valuation tools and available market data. This leaves room for potential holes in certain lending areas, such as extreme rural locations. In this case, lenders should utilize a hybrid valuation. This model is the result of a joint effort between real estate agents and appraisers effectively working together

while, at the same time, independently focusing on their particular contribution to the product. There is no value sharing between the real estate agent and the appraiser; the appraiser simply uses the data aggregated by the real estate agent to establish a final value. It saves both time and money while allowing appraisals to focus on analysis. This is a great alternative to traditional appraisals at much lower costs and quicker turnaround times. Finally, the property condition report is the closest option to a full appraisal while still being quicker and less expensive. If a certain property requires a lender’s eyes, the property condition report can be added onto an AVM or desktop valuation to provide current photos and condition of the property along with the hard data. The good news is that all of these options are now compliant with GSE guidelines. This was not always the case. Following the financial crisis of 2008, lenders were limited in their availability to use alternatives to traditional full appraisals. However, the GSEs have recently expanded their guidelines to include these

e Lending: Back the Profit more likely to use that lender repeatedly. And, if a lender has more and more borrowers coming to work with him, he is able to grow his business and quickly realize a profit. The best thing for lenders to do today is to partner with a thirdparty provider that can offer every type of valuation and can easily match underwriting guidelines. It is time that the mortgage industry be proactive, rather than reactive. Weâ&#x20AC;&#x2122;ve wasted time satisfying only the regulators and forgetting about the lifeblood of our business, our borrowers. The fact is that todayâ&#x20AC;&#x2122;s borrowers are already accustomed to speed and efficiency in all other aspects of their lives. Why should they expect anything less when it comes to their mortgage options? Lenders must partner with providers that allow them to focus on what they do best, originating loans, while simultaneously taking care of the technology that enables them to be efficient and compliant. Once this is realized, lenders and borrowers will work together in harmony and the lending industry will thrive once again.

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Jorge Ponce is Director of Product and Vendor Management at Austin, Texas-based FirstClose, provider of end-to-end technology solutions to mortgage lenders nationwide. For more information, visit FirstClose.com.

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various valuation methods as part of a compliant underwriting process. This represents a huge step toward embracing automation in mortgage lending. In May, National Mortgage News reported that Fannie Mae is beginning to accept alternative appraisals for loans that in the past would have required a full appraisal. The industry may see more examples like this in the near future. So, what does this all mean for both lenders and their borrowers? For lenders, closing times can improve significantly depending on which valuation method they choose. Generally speaking, a traditional full appraisal can take anywhere from 10 to 15 days to complete, while a hybrid appraisal can be completed in three to five days. Borrowers also benefit from these more cost-effective alternative options. A full appraisal typically costs around $450, while a hybrid appraisal is reduced to about $150. If borrowers can save money with a certain lender, and that lender delivers results in a third of the time that the borrower expects, the borrower is much

By Jorge Ponce

NAPMW in the

News

NAPMW 2019 Annual Education Conference

advance online at NAPMW.org. After registering, you will receive a confirmation e-mail containing information about joining the Webinar. For questions regarding National Board Calls, please contact Admin@NAPMW.org. NAPMW education around the nation

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The NAPMW 2019 Annual Education Conference “Jazzin’ Up Mortgage in the Big Easy,” will be held Wednesday-Saturday, May 15-18, 2019 at the historic Hotel Monteleone in New Orleans. The Hotel Monteleone is one of the last great family-owned-andoperated hotels in New Orleans. Since 1886, five generations of Monteleones have dedicated themselves to making their hotel what it was—and still is—a sparkling destination in the heart of the French Quarter. The Hotel Monteleone has long been a favorite haunt of distinguished Southern authors. Many of them immortalized the venue in their works. Ernest Hemingway, Tennessee Williams and William Faulkner always made The Hotel Monteleone their address while in the Big Easy. In June of 1999, due to Hotel Monteleone’s distinction among the literary elite, the Hotel was designated an official literary landmark by the Friends of the Library Association. Details on the NAPMW 2019 Annual Education Conference will be made available as they are finalized. For preliminary information, call (608) 886-9817 or e-mail Admin@NAPMW.org. NAPMW’s National Board of Directors Meetings National Board Meetings for the 2018-2019 NAPMW Board of Directors will be held the second Wednesday of the month at 2:00 p.m. Pacific time. The call is open to all NAPMW members! To attend, please register in

NAPMW has several regional events planned around your area over the next few months. For more information or to register, please visit NAMPW.org. Tuesday, August 14 NAPMW San Joaquin-Meeting/Luncheon Lamp Liter Inn 3300 West Mineral King Avenue Visalia, Calif. Noon For more information, contact Mark Jennings by e-mail at MarkJ@CentralValleyIns.com or call (559) 280-5658. Wednesday, September 5 NAPMW Bakersfield-2018 MLO Continuing Education Bakersfield Association of Realtors 2300 Bahamas Drive Bakersfield, Calif. 8:30 a.m. For more information, contact Duane Gomer at (949) 457-8930.

widen the origination pool

continued from page 49

“Although non-traditional borrowers are starting to make up more of the mix of buyers, conventional loans continue to dominate the marketplace. According to Ellie Mae, conventional loans made up 66 percent of all loans closed in May 2018, up from 63 percent in May 2017.”

The demographics of the mortgage market are changing, and current borrowers have different and varied needs that go beyond conventional lending. Government and nonQM loans are just a few of the options now available. Mortgage originators should be prepared to help customers who are ready to get into the market by partnering with

Footnotes 1—https://www.mba.org/news-research-and-resources/research-andeconomics/single-family-research/mortgage-credit-availability-index 2—https://www.nar.realtor/newsroom/first-time-buyers-stifled-by-low-supplyaffordability-2017-buyer-and-seller-survey 3—http://hispanicwealthproject.org/shhr/2017-state-of-hispanic-homeownershipreport.pdf 4—http://www.areaa.org/wp-content/uploads/2018/04/StateofAsia2017-18_vFINAL.pdf 5—https://www.nar.realtor/newsroom/first-time-buyers-stifled-by-low-supplyaffordability-2017-buyer-and-seller-survey 6—https://static.elliemae.com/pdf/origination-insightreports/Ellie_Mae_OIR_MAY2018.pdf 7—https://blog.linkedin.com/2017/february/21/how-the-freelance-generation-isredefining-professional-norms-linkedin 8—https://www.experian.com/blogs/ask-experian/state-of-credit/ 9—https://static.elliemae.com/pdf/origination-insightreports/Ellie_Mae_OIR_MAY2018.pdf

As President of Carrington Mortgage Services, Ray Brousseau is responsible for overseeing all aspects of Carrington’s lending and servicing businesses, from origination through fulfillment, as well as servicing operations, for the fast-growing enterprise. Under his leadership, both Carrington’s full-service mortgage lending business with wholesale, retail and centralized sales and operations, as well as its high-touch specialty servicing businesses have experienced unprecedented growth and operational results. Ray has nearly 35 years of experience in the mortgage banking and consumer finance industry. 79

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conventional lending. These loans provide much-needed flexibility in underwriting but require insight into the entirety of a borrower’s financial situation to ensure creditworthiness. Beyond government loans, originators should look for responsibly underwritten nonprime products that can meet the needs of their clients without taking on unnecessary risk. Mortgage professionals should work with lenders that offer manual underwriting and find ways to mitigate risk in their underwriting. Look for companies that holistically analyze borrowers, considering the entirety of their financial situations, and companies that support these borrowers with strong, high-touch servicing. Non-prime products can help borrowers with unconventional work situations and borrowers with challenging credit profiles. Manual underwriting allows lenders to distinguish between borrowers who had one bad credit event versus those with consistently poor payment track records. This kind of underwriting from responsible lenders will demand full documentation, so be sure to prepare your borrowers for this if a non-prime product may be right for them.

originators expand their client base. This means meeting the home financing needs of their clients while partnering with a lender that responsibly originates loans for those who do not fit in the conventional lending box.

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don’t fit the conventional mold. FHA loans provide low down payment mortgages for a wide swath of credit profiles. FHA allows for credit scores as low as 500, but it can be difficult to identify a lender that will originate to borrowers with credit scores in this range. Loans from the U.S. Department of Agriculture present another options, but with significant constraints to income levels and property location. VA loans are also a good alternative lending source, but are available only to eligible current or former members of the U.S. armed forces. Mortgage originators working with these loan types should partner with lenders that are not only experienced with government loans, but also offer products that accommodate the full spectrum of eligible borrowers. The specific requirements of government-backed loan products may take many potential borrowers out of the running, but until recently, this was almost all that was available outside of conventional lending. For potential homeowners with lower credit scores or higher debt-to-income ratios, mortgage credit has been tight to non-existent. There are some lenders stepping up to fill this need, recognizing that these consumers actually represent little risk to lenders and can successfully sustain homeownership. Non-QM loans, specifically non-prime and near-prime loan products, are making their way back into the mortgage market to meet the demands from this growing segment of the population who have been locked out of

lenders that offer an array of products that will work with a wide variety of credit profiles. Through the availability of manual underwriting options that allow lenders to understand the borrowers’ story, lenders are well-positioned to assist

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Lead-Based Marketing Is Dead … People-Based Marketing Is Thriving By Mike Eshelman

n individualized and increasingly effective marketing strategy has emerged in consumer finance. Mortgage lenders at the forefront are reaping the rewards while others are left wondering why their conversion rates are steadily decreasing quarter-over-quarter. If you’ve ever heard the saying, “We’re playing chess while they’re playing checkers,” you may know what we mean by comparing “people-based” marketing and lead-based marketing. It’s nightand-day when marketers can leverage unique data sets to drive more personalized consumer experiences, which lead to improved customer acquisition rates. If people-based marketing seems too cumbersome to implement, think again. Data-as-aservice (DaaS) companies have made it easier than ever to become a grandmaster of marketing chess.

l Application type: Online or inperson l Communication preference: Text message, phone or e-mail l Statements: Digital or hard copy l Special offers: E-mail or direct mail Having a deeper understanding of a consumer’s preferences will create a better overall experience and improve your chances of winning their business. Behavioral data brings focus Behavioral data is information collected based on the actions taken by the consumer that brings focus to where they may be in their purchase journey. This can include: l How often a consumer visits a mortgage-related Web site l Interest in the type of mortgage and term, (30-year fixed refinance, for example) l Total time spent researching mortgage options l Number of forms filled out online When a lender knows a consumer is engaged, they can better time the next call, text or email outreach for when the consumer is most receptive. Lenders can also leverage

Proving value: Use cases Behavioral data is the king of predicting outcomes and lenders have a few use cases driving increased production. Servicers have a constant need to identify consumers who are at-risk of paying their mortgage off through either a refinance or new home purchase with another lender. Losing a mortgage in the portfolio is very costly, and in many cases, can be influenced or avoided with properly timed outreach from the servicer. Servicers obtaining in-market signals are identifying specific consumers beginning their mortgage shopping journey well in advance of completing an application with another lender. Data shows consumers begin researching mortgage options an average of three months prior to completing an application with a competing lender, leaving a lot of lead time to begin customer outreach and nurture campaigns. Another potential use case is monitoring a database of consumers who have never completed a transaction, but remain a good prospective customer for the lender. Many consumers express interest at one point in time, but then fall off the radar. Knowing when that person is back in-market is valuable information that has proven to bolster contact rates, with a typical increase of 500 percent in contact rate, compared to similarly-aged leads without inmarket signals! Lastly, there is an application for behavioral data when driving cross-sell opportunities within banking. The bank has a relationship with customers for a

variety of services like checking, savings, credit card, auto loans or personal loans, but not mortgage (yet). With behavioral data driving marketing intelligence behind the scenes, the bank can likely assess that their customers would prefer to conduct all of their banking with the same provider. And as an existing client, the bank hopefully has a good relationship with the consumer, and therefore, a great opportunity to deepen their relationship by making them a mortgage customer as well. Powerful insights Whether it’s new customer acquisition, portfolio retention, or cross-selling, identifying who is inmarket and how likely they are to complete a mortgage transaction is an incredibly powerful insight. These insights can be turned into actionable marketing efforts in a basic fashion to initiate relevant outreach, or a much more complex set of workflows and decisions to nurture a prospect or customer relationship to the next stage of the life cycle. Over the next couple of years, the playing field will level as more lenders give up playing checkers and opt to play chess for the competitive advantage peoplebased marketing provides. Lenders who incorporate unique data sets into their strategies have journeyed into the new frontier of people-based marketing. One focused on true intent and building value experiences one-to-one. Lead-based marketing lenders will continue to fall behind in today’s mortgage environment, and the best way to sustain and flourish is by looking for new strategies to connect with consumers. Buying more and more leads to keep your portfolio steady will only get you so far. The task at hand is getting smarter about what data you have, what you know about the consumer, and how that information informs their experience with you as a lender.

Mike Eshelman is Head of Consumer Finance at Jornaya, a data-as-a-service platform that delivers consumer journey insights to publishers, marketers, analytics and compliance professionals. He may be reached by e-mail at MEshelman@Jornaya.com.

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A simple, yet effective, path DaaS companies have grown in

Attitudinal data reveals preferences Attitudinal data essentially determines how that person feels about certain products, services or attributes. This can include:

behavioral data to understand when to dial back communication when a consumer shows signs of no longer being in the market for a mortgage. Deploying contact strategies based on behavioral data has improved contact and response rates dramatically.

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One-size does not fit all Many lenders today apply a onesize-fits-all approach in their contact strategy once a consumer inquiry is received. Each lead is distributed to a Loan Officer, or maybe a contact center representative, who attempts to call, e-mail, and text until the consumer responds—or until they give up once a fresh batch of leads are delivered. Some leads may be contacted via an automated dialing system to help deliver more conversations to your staff, but this is simply brute-force (or lead-based marketing) and it’s hurting your production. Consumers today expect a better experience when searching for and comparing mortgage options. The lenders who call, text, and e-mail five to 10 times a day come across as bullies trying to get the deal at any cost. Leadbased marketing is dead as new data is accessible through DaaS companies and used to deliver a more relevant and effective strategy based on the consumer’s specific behaviors and preferences.

popularity by providing a relatively simple path for lenders to connect to unique data sets that will create a competitive advantage in today’s mortgage environment. These agile companies possess an ocean of complex data that is converted into actionable insights to inform your marketing program and contact strategy on-demand. Those specializing in financial services understand the unique challenges and regulations lenders face and have built data platforms catered to these clients. Attitudinal and behavioral data are leveraged by lenders to create the most valuable experience possible with a consumer in a scalable way.

MBA’s Mortgage Action Alliance A Message From MAA Chairman Gene M. Lugat continued on page 84

ugust is typically a quiet month in Washington, D.C., with most members of Congress returning to their home districts to hear from their constituents. That makes it the perfect time for MAA members to schedule a meeting with their senators and representatives. In-person meetings are by far the most effective way to share your concerns with your elected officials. For those who have already joined MAA, the next step to becoming more politically engaged is to schedule a meeting with your members of Congress in person. Face-to-face meetings with legislators add immense value to the advocacy process. Our legislators want to hear from us, their constituents (and voters), about the important issues facing the district, the state, and the country. Each year, Congress takes several “District Work Period” breaks, during which they work out of their local offices rather than on Capitol Hill, presenting an opportunity to meet with them without traveling to Washington, D.C. MBA has developed a District Meeting Toolkit to make it easy. This toolkit has everything you need to set up a meeting with your elected officials to speak to them about issues affecting our industry including:

AUGUST 2018 n National Mortgage Professional Magazine n

NationalMortgageProfessional.com

l l l l l

A Sample Letter to request a meeting Talking Points on our key issues A sample Follow-Up Thank You Letter A Guide To Different Meeting Scenarios Other ways to take advocacy to the next level

In an election year, engaging with our elected officials is especially important. If you are not yet ready to schedule a formal meeting, you can still connect with them on social media. Visit the “Find Your Elected Officials” section of the Advocacy Action Center or check out the “Congressional Directory” on the “More” Tab of the MAA App. You can also visit Facebook.com/TownHall and check out the tools that Facebook has developed to help you connect with your elected officials or even look up your polling location for the next local or federal election. However you choose to engage with your members of Congress, your advocacy is vital to helping our elected officials understand the issues facing our industry. Which, in turn, helps families across the country secure the American Dream of homeownership.

Gene M. Lugat is chairman of the Mortgage Bankers Association’s Mortgage Action Alliance. Gene is executive vice president, national industry and political relations for PrimeLending Inc.

heard on the street

Officers and Operations Staff members. Of the number of veteran mortgage professionals joining Mortgage Network, the most senior leader is District Manager Michael Burke, a 17-year mortgage industry veteran, who recently worked as District Manager at Eagle Home Mortgage, the residential mortgage arm of Lennar, a nationwide homebuilder. “For myself and my colleagues, Mortgage Network was just a perfect fit,” Burke said. “It’s not about how good Mortgage Network’s rates or programs are, although they have some of the best. It’s the fact that Mortgage Network is led by people who love what they do. It’s so apparent how passionate the company is about the mortgage business and helping people into homes. The fact that they are still going strong after 30 years says a lot, as well.” Brian Koss, Executive Vice President of Mortgage Network, said the additional offices and new hires will significantly increase the company’s reach throughout the East Coast, but that was not the motivating factor behind bringing on so many people. “Our goal is not to be the largest lender, but simply the best,” Koss said. “Most of the professionals joining Mortgage Network have worked together for a long time, so we know they are hitting the ground running. They also have expert knowledge about their local markets, so in areas where multiple offers are common, they can help borrowers get ahead of the game. Most importantly, they love this business as much as we do. We are delighted to welcome them all to the Mortgage Network family and look forward to their future success.” Mortgage Network’s Moorestown, N.J. office is the largest new branch, housing 13 Loan Officers and 10 operations staffers. The operations team and sales support will be led by Jenny Wiecek, most recently the District Operations Manager at Eagle Home Loans. Erica Paradise will serve as Branch Manager of the Tampa branch office. A 12-year industry veteran, Paradise most recently served as a Senior Loan Officer at Eagle Home Mortgage. The Philadelphia branch will be

continued from page 35

led by Jim Lamb, a 10-year veteran of the mortgage industry. Lamb last served as a Branch Manager for American Bank in Philadelphia and has also served as a Branch Manager for Eagle Home Mortgage and Residential Home Funding. Mutual of Omaha Bank Completes Synergy One Acquisition

Mutual of Omaha Bank has announced the completion of its purchase of Synergy One Lending Inc., thus enabling the company to expand into the reverse mortgage market. Synergy One, which operates in 45 states, and will become a subsidiary of Mutual of Omaha Bank and retain its operations in San Diego. The financial terms of the acquisition were not disclosed. Terry Connealy, President of Mutual of Omaha Mortgage, will oversee Synergy One’s operations. Mutual of Omaha Bank will now be a participant in the reverse mortgage sector via the Home Equity Conversion Mortgage (HECM) products through Synergy One’s Retirement Funding Solutions arm. Mutual of Omaha Bank Chairman and Chief Executive Officer Jeff Schmid cited this as a key reason for the acquisition. “This acquisition brings together two organizations that complement each other strategically and culturally,” Schmid said. “By combining our collective strengths, Mutual of Omaha Bank and Synergy One will be able to serve more customers who are in the market for a traditional or reverse mortgage. With a strong capital base, dynamic distributions and robust back office operations, we will be able to offer a best-inclass mortgage experience.” Mortgage Equity Partners Opens Ninth Branch

Mortgage Equity Partners (MEP) has announced the opening of a new Branch Office in Nashua, N.H.,

MEP’s ninth brick and mortar location. The new Nashua office will host 12 employees, many of whom are seasoned Loan Officers who join MEP from Primary Residential Mortgage. “We are incredibly excited to join Mortgage Equity Partners,” said Eric LaFleur, Branch Manager of MEP’s Nashua, N.H. office. “We share the same philosophy that the client is the most important part of the transaction and that no matter how many loans we have done over the years, we remember to treat each customer like a firsttime homebuyer.” With the addition of the Nashua Office, MEP will have 56 Mortgage Loan Officers between the nine office locations. “Our expanded presence in the New Hampshire area shows the demand for our innovative portfolio of products. Our Loan Officers are from the local area and they know the needs of the borrowers they serve,” said Sean A. Riley, Chief Executive Officer of MEP. “We have had great success in our Salem, N.H. office and this now gives us more coverage to be able to help potential homebuyers get into the home of their dreams.”

Mortgage professionals to watch

l Class Appraisal has promoted Jon Tallinger to the position of Chief Growth Officer.

PICKEL

l Waterstone Mortgage Corporation has named A.W. Pickel III, Past President of NAMB, as company President. As Pickel steps into this position, Eric Egenhoefer, former Waterstone Mortgage President and CEO, will continue to serve as CEO.

GOLDBERG

l Flagstar Bank has hired Ryan Goldberg, previously

Maggio will hold the same offices with MTG’s principal subsidiary, Mortgage Guaranty Insurance Corporation (MGIC). Alight Mortgage Solutions has announced that mortgage industry veteran Katrina Marshall has joined the team as Sales Director, Western Region and Strategic Accounts. myCUmortgage has announced that Wendy Kull joined the company as the new Credit Union Development Manager. As the new Credit Union Development Manager, Kull will be responsible for growing the number of credit unions that partner with myCUmortgage for lending and servicing products and solutions. Seattle-based Union Bank has hired Debra Montgomery as Managing Director and Pacific Northwest region manager for the Private Mortgage Division of Union Bank Home Loans. Equity Prime Mortgage has announced the addition of Senior Vice President of Sales Keith Webster and the Legacy Division. Webster is a Founder of the Legacy Division while at Alterra Home Loans in 2017. The Mortgage Bankers Association (MBA) has named Holly Cannon as its new Vice President of Human Resources. Inland Mortgage Capital has announced the appointment of Eugene Rutenberg as Senior Vice President of Loan Origination, where he will be responsible for all facets of Inland Mortgage Capital’s commercial real estate bridge loan origination for the Western United States.

Your turn National Mortgage Professional Magazine invites its readers to submit any information, events, passages, promotions, personal or professional occurrences that seem appropriate and/or other pertinent data to the attention of: Heard on the Street/Mortgage Professionals to Watch column Phone #: (516) 409-5555 E-mail: Newsroom@MortgageNewsNetwork.com

Note: Submissions sent via email are preferred. The deadline for submissions is the 1st of the month prior to the target issue.

n National Mortgage Professional Magazine n AUGUST 2018

Abbey, Chairman of San Francisco-based Swift Real Estate Partners, as Chairman of the ULI Foundation. LBA Ware has announced that it has hired Jessica Henke as a Solutions Consultant to support the company’s implementation consulting and client success efforts. Planet Home Lending LLC has announced that Mike McChesney has joined the company as Chief Information Officer. McChesney has more than three decades of experience developing tactical-edge platforms that deliver highquality mortgage customer experiences. Women in the Housing and Real Estate Ecosystem (NAWRB) has announced the addition of Teresa Palacios Smith, Vice President of Diversity and Inclusion for HSF Affiliates LLC, to its Diversity and Inclusion Leadership Council (NDILC). The American Land Title Association (ALTA) has announced that Michelle Korsmo is stepping down as the association’s CEO. Visionet Systems Inc. has announced that the company has hired Thomas Lin, a veteran with 25 years of experience in the mortgage industry, as Senior Vice President, Client Success. Consumer of Financial Protection Bureau (CFPB) Acting Director Mick Mulvaney has announced the selection of Paul Watkins to lead the Bureau’s new Office of Innovation. WFG National Title Insurance Company (WFG) has appointed Rob Sherman as Senior Vice President, Regional Director. Sherman will manage the company’s Direct Title Operations in the Southwest Region. WFG has also appointed Anne-Marie Kuhlman, an industry veteran of over 20 years, as President of its Colorado Division. MGIC Investment Corporation has announced that Paula C. Maggio will be joining the company as Executive Vice President– Law. She is slated to become the company’s General Counsel and Secretary upon the previously announced retirement of Jeffrey Lane, who holds those positions.

NationalMortgageProfessional.com

TALLINGER

Executive Vice President and Head of Priority Banking and Branch Small Business at Regions Bank in Birmingham, Ala., as Executive Vice President and Director of Retail Banking at Flagstar. His responsibilities at Flagstar will include Branch Banking, Consumer Finance, National Business Banking, and Investment & Insurance Services. TMS has announced the promotion of Barbara Yolles to Chief Strategy Officer and Pete Sokolovic to President of Originations. John Bast, a mortgage industry professional with more than 40 years of experience, has joined Homebridge Financial Services Inc. in its growing branch in Napa, Calif. as a Reverse Mortgage Specialist. Movement Mortgage has named Tony Taveekanjana as National Sales Director. Taveekanjana spent nearly five years at Movement Mortgage from 2013 to 2017 as a sales leader in California. He helped build Movement’s West Coast sales culture and oversaw much of its rapid growth. Mortgage Network Inc. has announced that Jack Flynn has joined the company as a Loan Officer in its Providence, R.I. branch. Flynn brings to Mortgage Network more than 18 years of mortgage banking experience in the Greater Boston and Rhode Island area. Mortgage Network has also announced that Zak Kornbliet has joined the company’s Wellesley, Mass. branch as a Loan Officer. The StoneHill Group, an Atlanta-based provider of quality control, due diligence and mortgage fulfillment solutions, has named Patrick Gluesing as its new President and Chief Operating Officer (COO). David Green, who founded the company and served as President and CEO, will remain as Chairman and CEO. Sierra Pacific Mortgage Company has named Fred Buttram as Northwest Regional Manager. Based out of Idaho, Buttram will oversee the company’s retail sales teams in Idaho, Colorado and Washington. The Urban Land Institute (ULI) has named Douglas D.

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calendar of events

AUGUST 2018 Wednesday-Saturday, August 15-18 Florida Association of Mortgage Professionals 2018 Annual Convention & Trade Show Walt Disney World Dolphin 1500 Epcot Resorts Boulevard Lake Buena Vista, Fla. For more information, visit MyFAMP.org. SEPTEMBER 2018 Thursday, September 6 NAMMBA Connect 2018 Chicago Hilton Oaklawn 9333 South Cicero Avenue Oak Lawn, Ill. For more information, visit Connect2018.org.

Friday, September 7 UAMP Annual Mortgage Expo Marriott @ City Creek 75 South West Temple Salt Lake City, Utah For more information, visit UAMP.net.

Thursday-Friday, September 20-21 2018 VMLA Annual Convention Hilton Northfork The Main 100 East Main Street Norfolk, Va. For more information, visit VirginiaMLA.com. Sunday-Tuesday, September 23-25 2018 Northeast Conference of Mortgage Brokers & Professionals Harrah’s Resort & Convention Center 777 Harrah’s Boulevard Atlantic City, N.J. For more information, visit EventsMBANJ.net. Sunday-Tuesday, September 23-25 MBA’s 2018 Risk Management, QA & Fraud Prevention Forum JW Marriott Los Angeles L.A. LIVE 900 West Olympic Boulevard Los Angeles For more information, visit MBA.org.

Sunday-Wednesday, October 14-17 Mortgage Bankers Association 2018 Annual Conference & Trade Show Walter E. Washington Convention Center 801 Mt. Vernon Place NW Washington, D.C. For more information, visit MBA.org. Wednesday, October 24 NAMMBA Connect 2018 Dallas Addison Conference Center 15650 Addison Road Addison, Texas For more information, visit Connect2018.org. Sunday-Tuesday, October 28-30 2018 NRMLA Annual Meeting & Expo Hilton San Diego Bayfront 1 Park Boulevard San Diego For more information, visit NRMLAOnline.org. NOVEMBER 2018 Thursday, November 1 FAMP Miami Chapter Annual Mortgage Convention The Miami Airport Convention Center (MACC) 711 NW 72nd Avenue Miami For more information, visit MiamiFAMP.org. Tuesday-Thursday, November 6-8 NCRA 26th Annual Conference 2018 Atlantis Casino Resort Spa 3800 South Virginia Street Reno, Nev. For more information, visit NCRAInc.org.

Wednesday, November 7 NAMMBA Connect 2018 Irvine Irvine Marriott 18000 Von Karman Avenue Irvine, Calif. For more information, visit Connect2018.org.

Monday-Wednesday, November 12-14 MBA’s 2018 Accounting and Financial Management Conference Hyatt Regency Orlando 9801 International Drive Orlando, Fla. For more information, visit MBA.org. Thursday, November 15 NAMMBA Connect 2018 Orlando Doubletree by Hilton Orlando Seaworld 10100 International Drive Orlando, Fla. For more information, visit Connect2018.org. Tuesday-Wednesday, November 27-28 MBA’s Summit On Diversity and Inclusion Capital Hilton 1001 16th Street NW Washington, D.C. For more information, visit MBA.org. DECEMBER 2018 Saturday-Monday, December 8-10 NAMB National 2018 Caesars Palace 3570 South Las Vegas Boulevard Las Vegas For more information, visit NAMB.org. MAY 2019 Saturday-Tuesday, May 4-7 NAMB 2019 Legislative & Conference Liaison Capitol Hill Hotel 415 New Jersey Avenue NW Washington, D.C. For more information, visit NAMB.org.

Wednesday-Saturday, May 15-18 NAPMW 2019 Annual Education Conference “Jazzin’ Up Mortgage in the Big Easy” To submit your entry for inclusion in the National Mortgage Professional Hotel Monteleone Calendar of Events, please e-mail the details of your event, along with 214 Royal Street contact information, to newsroom@mortgagenewsnetwork.com. New Orleans *Looking for additional exposure at key industry events? For more information, visit Call 516.409.5555, ext. 4 to discover how to maximize your event coverage. NAPMW.org.

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OCTOBER 2018 Wednesday, October 3 Thursday, September 13 NAMMBA Connect 2018 Greensboro NAMB, YMPA and NAPMW Present: Sheraton Greensboro NAMB Swarm at Four Seasons One Burlington Mall Road 3121 West Gate City Boulevard Burlington, Mass. Greensboro, N.C. For more information, visit NAMB.org. For more information, visit Connect2018.org. Sunday-Tuesday, September 16-18 MBA’s 2018 Regulatory Wednesday-Thursday, Compliance Conference October 10-11 Grand Hyatt Washington NYAMB’s 2018 Fall Convention & 1000 H Street Trade Show Washington, D.C. Long Island Marriott For more information, visit MBA.org. 101 James Doolittle Boulevard Uniondale, N.Y. For more information, visit NYAMB.org.

Saturday, October 13 mPowering You: MBA’s Summit for Women in Real Estate Finance Walter E. Washington Convention Center 801 Mount Vernon Place NW Washington, D.C. For more information, visit MBA.org.

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Tuesday-Wednesday, September 11-12 MBA’s 2018 Human Resources Symposium Renaissance Arlington Capital View 2850 South Potomac Avenue Arlington, Va. For more information, visit MBA.org.

Tuesday, September 18 NAMMBA Connect 2018 D.C. Double Tree by Hilton Tyson’s Corner 1960A Chain Bridge Road McLean, Va. For more information, visit Connect2018.org.

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