National Mortgage Professional Magazine November 2019 by ambizmedia

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#, <, == ==-#!! # & Â©2007-2019 Carrington Mortgage Services, LLC headquartered at 1600 South Douglass Road, Suites 110 & 200A, Anaheim, CA 92806. (800)561-4567. All rights reserved. NMLS ID 2600. For licensing information, go to: www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

n National Mortgage Professional Magazine n NOVEMBER 2019

your responsive partner for Non-QM results

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table of

N A T I O N A L

NMP Mortgage Professional of the Month: Mat Ishbia, President & CEO of United Wholesale Mortgage By Rick Grant

N O V E M B E R

th i w k

Bec

The

th i w k

The Beckwith Blog: In the Eye of the Storm! By Christine Beckwith

The Shred Marketer: Five Tips for Building a Content Marketing Strategy By Jason Frazier

2 0 1 9

M O R T G

V O L

A SPECIAL FOCUS ON “A SALUTE TO THE HEROES OF HOMEOWNERSHIP”

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Honoring Our Veterans By Beverly Ray Frase ..................................50 Homeownership Shouldn’t Require Heroics By Greg Austin ..........54

The Ever-Changing and Evolving VA Loan By Brian Daily ..............56 Getting Involved By Michael Fischer & Jay McMaken ......................58 Selling VA Loans Starts With Vision By Brian Koss ........................60

Serving the Dream of Homeownership to Those Who Serve our Country: Mastering the VA Loan By Casey Cunningham ..........62

FEATURES

ARMCP Readies New Web Site ........................................................6 Future of Non-QM Depends on Strong LO, Lender Partnerships By Tom Hutchens ..........................................................8 The Elite Performer: Elite Performer 100 … Motivation Vs. Incentive By Andy W. Harris, CRMS....................................................8 Recruiting, Training and Mentoring Corner: VA is the Answer By Dave Hershman ............................................................................10 GSEs Announce Publication of Update to Redesigned URLA By Gavin T. Ales ................................................................................16 Mail Beats Digital … Again By K. Justin Restaino............................18 NAMB Perspective............................................................................20

National Mortgage Professional Magazine Presents … The Best Military Originators and Lenders 2019

V I S I T Company

Web Site

O U R

A D Page

ACC Mortgage .................................................. weapproveloans.com ......................................................9 Angel Oak Mortgage Solutions ............................ angeloakms.com ..............................................Back Cover Arc Home Loans ................................................ archomeloans.com ........................................................59 Brokers Compliance Group.................................. brokerscompliancegroup.com ..........................................80 Capital One ........................................................capitalone/financialinstitutions ..........................................11 Carrington Mortgage Services, LLC ...................... carringtonally.com ..................................................1 & 65 Citadel Servicing Corporation .............................. citadelservicing.com ......................................................17 Concord Church Finance .................................... concordchurchfinance.com ............................................64 Deephaven Mortgage, LLC .................................. deephavenmortgage.com ..............................................23

Piecemeal GSE Reform Is Risky By David H. Stevens, CMB

DocMagic .......................................................... docmagic.com ................................................................7 First National Bank of America............................ fnba.com/mortgagebrokers ............................................53 Flagstar Bank .................................................... flagstar.com/why ..........................................................57 Greenbox Loans, Inc........................................... greenboxloans.com ................................Inside Front Cover Locke Law US, LLC ............................................ lockelaw.us ..................................................................47 Lykken On Lending ............................................ lykkenonlending.com ....................................................64 MBS Highway .................................................... mbshighway.com/MNN ..................................................15

of contents

R T G A G E

O L U M E

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

1 1

N U M B E R

1 1

A Look Back at MBAâ&#x20AC;&#x2122;s 2019 Annual Convention & Expo ..............32

Pilot Program Connecting MLOs and Real Estate Agents to Housing Counselors By Pam Marron ..........................................42 BrokerNATION: Jeff Foody/Northwest Reverse Mortgage LLC By Andy W. Harris, CRMS ..................................................................46 The Mortgage Godfather: The Derivation of K By Ralph LoVuolo Sr. ........................................................................48

COLUMNS New to Market ..................................................................................12 News Flash: November 2019 ............................................................14 Heard on the Street ..........................................................................30 NMP Calendar of Events ..................................................................79

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

Web Site

Page

Mortgage News Network (MNN) .......................... mortgagenewsnetwork.com ....................................26 & 27 NAMB+ ............................................................ nambplus.com ..............................................................19 NAMMBA .......................................................... nammbaconnect.org ......................................................63 NAWRB ............................................................ nawrb.com ....................................................................61 NRMLA.............................................................. nrmlaonline.org ............................................................49 Origination Pro.................................................. originationpro.com ........................................................78 Paramount Residential Mortgage Group, Inc. ...... prmg.net ................................................Inside Back Cover PB Financial Group Corp. .................................. calhardmoney.com ........................................................47 RCN Capital ...................................................... rcncapital.com ..............................................................65 Redstone Print & Mail Inc. ................................ redstoneprintmail.com ..................................................38 REMN................................................................ remnwholesale.com ......................................................13 Ridgewood Savings Bank .................................... ridgewoodbank.com ......................................................55 Sharestates, LLC ................................................ sharestates.com ..............................................................5

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 2019 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.

TCF Financial Corporation .................................. tcfbank.com/brokerloans/compensation ..................39 & 75 United Wholesale Mortgage ................................ uwm.com ................................................................40-41

To nominate yourself or someone else, visit

https://nationalmortgageprofessional.com/under-2019

FROM THE PUBLISHER’S DESK NOVEMBER 2019 Volume 11 • Number 11 1220 Wantagh Avenue • Wantagh, NY 11793-2202 Phone: (516) 409-5555 • Fax: (516) 409-4600 Web site: NationalMortgageProfessional.com

STAFF Joel M. Berman Publisher - CEO (516) 409-5555, ext. 310 joel@mortgagenewsnetwork.com Eric C. Peck Editor-in-Chief (516) 409-5555, ext. 312 ericp@mortgagenewsnetwork.com Joey Arendt Art Director (516) 409-5555, ext. 323 joeya@mortgagenewsnetwork.com Phil Hall Managing Editor (516) 409-5555, ext. 312 philh@mortgagenewsnetwork.com Rick Grant Special Reports Editor (570) 497-1026 (direct) (516) 409-555, ext. 311 rickg@mortgagenewsnetwork.com Scott Koondel VP of Operations (516) 409-5555, ext. 324 scottk@mortgagenewsnetwork.com Francine Miller Advertising Coordinator (516) 409-5555, ext. 301 francinem@mortgagenewsnetwork.com

Advertising To receive any information regarding advertising rates, deadlines and requirements, please contact (516) 409-5555, ext. 4 or e-mail advertising@mortgagenewsnetwork.com.

Article submissions/press releases To submit any material, including articles and press releases, please contact Editor-in-Chief Eric C. Peck at (516) 409-5555, ext. 312 or e-mail ericp@mortgagenewsnetwork.com. The deadline for submissions is the first of the month prior to the target issue.

Subscriptions To receive subscription information, please call (516) 4095555, ext. 301; e-mail orders@mortgagenewsnetwork.com or visit www.nationalmortgageprofessional.com. Any subscription changes may be made to the attention of “Circulation” via fax to (516) 409-4600. Statements, articles and opinions in National Mortgage Professional Magazine are the responsibility of the authors alone and do not imply the opinion or endorsement of Mortgage News Network Inc., or the officers 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) and/or other state mortgage trade associations. Participation in NAMB, NAPMW, NCRA, ARMCP and/or other state mortgage trade associations events, activities and/or publications is available on a non-discriminatory basis and does not reflect the endorsement of the product and/or services by Mortgage News Network Inc., NAMB, NAPMW, NCRA, and other state mortgage trade associations. National Mortgage Professional Magazine, NAMB, NAPMW, NCRA, ARMCP and/or other state mortgage 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 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.

Saluting the Heroes of Homeownership Originally known as Armistice Day and marking the end of World War I, Veterans Day has become our opportunity to recognize the incredible jobs and, too often, the sacrifices that our men and women in uniform have made for us. Celebrated each November since 1919 (which makes the holiday 100 years old this month), Veterans Day gives us the chance to say thanks to our military for their service. Whether it’s a smile or something more, we all have the opportunity to share our gratitude with those who have served in our military organizations. But some have the ability to go even further. That’s a big part of what this issue is about, focusing some attention on the lenders who make homeownership accessible to our military veterans. We call them the “Heroes of Homeownership,” and we salute them by dedicating this issue to them and their work. You’ll find our list of “The Best Military Originators and Lenders 2019” in this issue. It’s an honor to shine some light on the work these companies and individuals do for their communities. We believe this is an important part of keeping America the land of the free. Please check out the story and send a shout out to anyone you know who is making these loans. They deserve a pat on the pack. But this is work that any loan originator can do. In this issue, we’ll bring you six excellent feature articles on the topic of military loans, so you can become a Homeownership Hero yourself. These deals have been a challenge for some due to the nature of the government agency that guarantees these mortgages and the many requirements, but we can’t let this stand in the way of our service to those that have given so much to the rest of us and so we hope you will spend some time studying the material in these features. Start with the strategy by reading “Selling VA Loans Starts With Vision,” by Brian Koss, executive vice president of Mortgage Network. This story will give you the right mind frame to do this work. Then, read on in “Getting Involved,” from Michael Fischer, branch manager at Ross Mortgage and president of Military Mortgage Boot Camp & Jay McMaken, chief executive officer of Military Mortgage Boot Camp and chief advisor of VA Lending at Benchmark Mortgage. This is a great way to get your VA lending boots on the ground. You’ll also find “Homeownership Shouldn’t Require Heroics: Underserved borrowers can become homeowners with the right lenders,” by Greg Austin, executive vice president of Carrington Mortgage Services and “Serving the Dream of Homeownership to Those Who Serve our Country: Mastering the VA Loan,” by Casey Cunningham, chief executive officer and founder of XINNIX Inc. These stories provide great case studies about firms that have embraced this business and found the win-win. Of course, we won’t try to tell you that this business is easy. You have to keep up with the changes. For that, we bring you “The Ever-Changing and Evolving VA Loan,” by Brian Daily, senior vice president of production at Mountain West Financial. Serving these heroes is important work and the lenders that do reap many benefits. What keeps them in the game? Never losing focus on their “why?” Find out what we’re talking about by reading “Honoring Our Veterans,” by Beverly Ray Frase, national director of Certified Military Home Specialists for Boots Across America. All in all, it’s a mission worthy of our nation’s best loan originators and we hope you all sign up to do more VA loans in the year ahead. For more coverage of what the industry is doing for our veterans, please visit Mortgage News Network (MortgageNewsNetwork.com) and check out the “Homeownership Heroes” series. Hosted by Bryan Bergjans, national director of military and VA lending with Caliber Home Loans, “Homeownership Heroes” covers all facets of military lending through interviews and profiles of some of the top movers and shakers in the industry. If we brought you nothing more, this would be an issue I am incredibly proud of, but we bring you a lot more. Be sure to see our “NMP Mortgage Professional of the Month: Mat Ishbia, president and CEO of United Wholesale Mortgage.” Always an inspiration, Mat is still coaching and leading. Find out what you can learn from him and his leading company in this issue. It was great to see so many of our friends and readers at the recent Mortgage Bankers Association Annual Convention in Austin, Texas. Andrew Berman and Josh Pitts, Shred’s founder, did a fantastic job at the video booth during the event. We’ll be bringing you those stories soon. Check out our recap of the event in this issue. As always, I am grateful to have you as a reader and wish you great success in the days ahead. Sincerely,

Joel M. Berman, Publisher-CEO Mortgage News Network Joel@MortgageNewsNetwork.com

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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 2018-2019 BOARD OF OFFICERS & DIRECTORS 2 0 1 9 - 2 0 2 0

O F F I C E R S

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

Kimber White, CRMS President-Elect Kimber.White@NAMB.org

Linda McCoy, CRMS Vice President Linda.McCoy@NAMB.org

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

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

Richard Bettencourt, CRMS Immediate Past President Rick.Bettencourt@NAMB.org

Valerie Saunders, CRMS Executive Director ValSaun@NAMB.org

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

D I R E C T O R S

Dawn Cychner Dawn.Cychner@NAMB.org

Michael DeSantis Mike.DeSantis@NAMB.org

Ernest Jones Jr. Ernest.Jones@NAMB.org

Paul Marsh, CMC, CRMS Paul.Marsh@NAMB.org

Matt Oliver, CRMS Matt.Oliver@NAMB.org

Marty Pfeiffenberger, CRMS MartyP@NAMB.org

National Consumer Reporting Association 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

2019-2020 BOARD OF DIRECTORS

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

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

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

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

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

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

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

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

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

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

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

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

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

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

ARMCP Readies New Web Site The Association of Residential Mortgage Compliance Professionals (ARMCP) has announced the launch of its new Web site, ARMCP.org, a state-of-the-art platform designed specifically to fulfill the needs of residential mortgage compliance professionals. The site design is built around a dynamic hub that provides a meeting place for all ARMCP member interactions. The entire Web site platform has taken many years to resource, design and program. “If you want to join ARMCP via LinkedIn, please contact me at Info@ARMCP.org and I will send you an invitation,” said Jonathan Foxx, Ph.D., MBA, founder and president of ARMCP. “There are now 1,600 members on LinkedIn who have the opportunity to move to our new Web site!” ARMCP is the first and only independent, national organization in the United States devoted exclusively to residential mortgage compliance professionals. ARMCP is a non-profit association, owned and managed by its members, and not dependent on any profit-based enterprises. For more information, e-mail Info@ARMCP.org or visit ARMCP.org.

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Future of Non-QM Depends on Strong LO, Lender Partnerships By Tom Hutchens

NOVEMBER 2019 n National Mortgage Professional Magazine n

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s a member of the Forbes Real Estate Council, I recently wrote about the tremendous future of non-QM lending and I believe my readers of my column in National Mortgage Professional Magazine may benefit from the insights I shared with the Forbes readers. Having witnessed nonQM’s evolution as a safe alternative to sub-prime, I know how visionary leaders built from scratch this credible and reliable industry segment. Approaching 2020, the proven benefits for borrowers, lenders, investors and originators will grow and the non-QM market will support the long-term health of the mortgage industry. However, the continued success of non-QM products requires originators to choose wisely from among the expanding number of wholesalers entering the marketplace and the loan products they have to offer. Originators need the right partners and the right approaches. Week after week, new lenders and wholesalers are popping up to cash in on the non-QM sector’s growth. Originators should not assume that each one of them has the knowledge, experience and technical resources necessary to assure smooth and transparent loan processing and customer satisfaction. Offerings, experience and service vary widely across non-QM wholesalers and direct investors, so it’s critical that originators choose wisely. Above all else, the best non-QM partner has commitment to and experience in non-QM lending. We've seen a flood of new entrants into our industry, and I can say certainly that some are better positioned than others. Much like any other activity, mastery of this work is only gained through thousands of hours of experience. You want a partner that has funded 10,000 loans, not 10. Originators should evaluate the resources a non-QM wholesaler has committed to their program. Those resources may range from a one-person non-QM “team” to a fully staffed department; some firms only work in the non-QM space. Make sure your non-QM partner has skin in the game, meaning that credit and secondary market decisions are made on behalf of their own capital. Originators should avoid non-QM providers just looking to cash in on a trend and seek out wholesalers and direct lenders that have the resources and track record to help you grow your business. During the last seven years, I’ve seen and helped spearhead non-QM’s birth and maturation. I can tell you that seven years from now, the winners in the mortgage market will be those who capitalized on non-QM today by picking the right partners and taking an active approach to seek out suitable borrowers. To read my full article in Forbes, go to http://bit.ly/ForbesOct2019. For more information about critical services and resources, contact your Angel Oak Mortgage Solutions account executive at (866) 837-6312 or visit https://AngelOakMS.com/MAP.

Tom Hutchens is executive vice president, production at Angel Oak Mortgage Solutions, an Atlanta-based wholesale and correspondent lender licensed in more than 40 states and operating in the non-QM space for over five years. 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.

the

elite performer Elite Performer 100: Motivation Vs. Incentive BY ANDY W. HARRIS, CRMS

n June 2011, I started writing “The Elite Performer” column which has been featured in National Mortgage Professional Magazine monthly for more than eight years. It’s hard to believe it’s been that long with this month hitting a milestone of 100 articles. Thank you to everyone for the feedback over the years and to National Mortgage Professional Magazine for sharing my content. This month, I thought I’d go back to the beginning and share the very first Elite Performer article written. Enjoy! As a real estate professional, your job duties require hard work if your intention is to succeed. “Hard” work is defined and interpreted much differently from one person to the next. Hard work could mean long days and back-breaking labor, or simply showing up to work on time, day in and day out, with an agenda to get things done. The physical part of hard work is easy to distinguish by the position and duties, however the motivational and psychological side of hard work is much harder to decipher amongst office and white collar professionals. I believe most employed in the real estate and finance industries would agree that our jobs do not require much physical effort. So what is hard work to us and requirements for success in our industry? The real question should be: What am I doing each and every day to improve my business and the experience of my clients? Am I giving all my effort each and every day to service my clients and get more referrals? For any questions you have or obstacles you face, stand in a mirror to see the problem and solution. Is your career in drive, neutral or reverse? If you need to shift gears, do it now. When it comes to our profession, some are lazy and some are not. If you’re working by commission or wages based off performance then you have no excuse to be lazy. You owe it to yourself and your family to give 100 percent every day. If you are not finding yourself giving 100 percent, you may need to reevaluate your career choice in the real estate industry. My personal opinion is that hard work is required in any industry, but you must enjoy what you do. Whatever you do, be the best at it. Perfect it. Enjoy it. Hard work does not always have to “feel” hard, it’s simply a statement for being active and motivated. From my years in management, I have found that there are specific traits that elite performers and high producers share. There are also specific traits that the mediocre producers or failures share. While external efforts are made to help all succeed, you simply cannot change one’s free will. In the long haul, people will do what they do. Some things simply cannot be trained, regardless of how hard you try. There is no temporary or short-term option for success and you cannot help someone if they truly don’t have the desire to succeed. It’s all or nothing to succeed in this industry, every day. You must understand yourself and how to stay motivated, along with the difference between motivation and incentives. While some are confused thinking money is a motivator, it’s not. Money simply creates an exterior incentive to do something. Sure, we all work to get paid in order to continue covering living expenses and build wealth,

continued on page 65 SPONSORED EDITORIAL

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Recruiting, Training and Mentoring Corner

VA is the Answer BY DAVE HERSHMAN

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have previously given my rendition of the magic question. Actually, there are two magic questions.

The first is addressed to loan officers: What is your rate for a 30-year fixed mortgage? The ability of loan officers to answer this question translate into their success in converting leads. That is why the answer is so important. The second question is addressed to managers: What is your commission plan? Obviously, this is a recruitment question. The more the loan officer focuses on the “Rate” in their answer and the more the manager focuses the “Commission Plan” in their answer, the less effective they will be. Furthermore, if a manager is not effective in overcoming their magic question, how can they be effective helping their loan officers overcoming theirs? What does all of this have to do with VA loans? That is also an interesting question. Did you know that there are more than 18 million veterans in the United States? There are less than 200 million Americans which are of “homebuying age.” That means that approximately one in 10 homebuyers are eligible for VA loans. The tragedy here is that many of these eligible homebuyers never get a VA loan because they are not aware of the benefits and their loan officer never asks them if they are

eligible. As a matter of fact, I can recall someone who worked for me at a mortgage company–not a loan officer–who was buying a first home with her husband and never knew they could purchase VA because they were in the reserves. No one told them that and she worked for a mortgage company. I did, obviously– because I asked the question. Thus, I train loan officers to ask the question. A simple question: Have you served in the Armed Forces, including serving in the National Guard or as a reservist? For those reading this article, did you know that starting in 2020, the funding fee for those who served in the National Guard and reservists will no longer be higher, though the “regular” fee will be going up, at least temporarily? So, let me return back to the magic question. When a loan officer is asked: What is your rate for a 30-year fixed mortgage? A very important question to ask the consumer is: Have you served in the Armed Forces, including serving in the National Guard or as a reservist? When they question why we asked, we will say that we carry a special program for active military and veterans and this program has special benefits. For example, this program requires no downpayment and no monthly mortgage insurance, which is very unusual for a low downpayment loan. You can always go on to say that as a professional mortgage advisor, you will always find the best program options for a client

“The tragedy here is that many of these eligible homebuyers never get a VA loan because they are not aware of the benefits and their loan officer never asks them if they are eligible.”

so that you can deliver the right benefits for their needs and situation. Now we are talking about program options, instead of rates. If they are indeed eligible, you could offer to e-mail them an article which explains the benefits of the VA loan program. The addition of added value. Don’t have an article to send them? E-mail us at Success@HershmanGroup.com for an article (we have many, many articles) or ask for a trial of our program so that you can get

one personalized with your information on it. Let me add one more “Personal Peeve.” I hate it when listing agents advise their clients not to accept a VA contract. This is a program which is a benefit for those who served our country. I think this practice is absolutely terrible and we all should be educating agents to cater to those who have served our country, don’t you? Let’s all try to educate our industry regarding the magic answer to the question.

Senior vice president of sales for Weichert Financial Services, Dave Hershman is a top author in this industry, with seven books published, as well as establishing the OriginationPro Marketing System and the OriginationPro Mortgage School–the online choice for mortgage learning and marketing content. His site is OriginationPro.com and Dave can be reached by e-mail at Dave@HershmanGroup.com.

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n National Mortgage Professional Magazine n NOVEMBER 2019

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New UWM Tool Keeps Brokers Connected With Their Clients

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United Wholesale Mortgage (UWM) has launched Brand 360, a customizable client management tool for their partners that offers borrower outreach, alerts and monitoring post-closing, as well as fully customizable marketing materials–all at no cost. Brand 360 will support broker business growth by helping them stay connected to past clients and market their brand. One of the most exciting features allows brokers to set alerts to automatically receive a notification, as well as have a communication go to their borrower. “Brokers do a fantastic job taking care of their clients and we want to do a great job taking care of our brokers,” said UWM President and Chief Executive Officer Mat Ishbia. “With Brand 360, brokers will foster existing relationships with simple, easy technology to stay in touch with old clients and cultivate new relationships with potential clients.” In the time it takes to price out a loan, brokers can develop an automated branded marketing campaign with the following tools: Client Connect; Brand Builder; Marketing Calendar; and Marketing Resources & Analytics: Learn how to grow your business and track your progress like a pro using our Quick Talk videos with proven practices from UWM’s marketing professionals

then measure marketing effectiveness with our built-in metrics and analyses. “We know that marketing often feels like one more thing for brokers to take care of,” said UWM Chief Marketing Officer Sarah DeCiantis. “We’re here to help take some of the weight off their shoulders when it comes to managing their relationships and brand.” Ishbia added: “UWM sees a future with a robust wholesale channel and thriving brokers. We are investing heavily today to ensure that brokers can continue to thrive in 2020 and beyond by staying in close-contact with their consumers.” DocMagic’s New LoanMagic App Eases Digital Workflow

DocMagic Inc. has launched its new LoanMagic mobile application, provided free to all DocMagic customers, leverages a powerful backend platform that provides full interoperability with DocMagic solutions, as well as other thirdparty mortgage software. “Bringing mobile functionality to borrowers and enabling lenders to connect with their customers is the end goal of most mobile applications in our industry—but at DocMagic, it is just the beginning,” said Dominic Iannitti, president and chief executive officer of DocMagic. “LoanMagic isn’t an add-on. It’s a fully interoperable technology that fills a critical gap in the digital mortgage process. It is just as

powerful as any of our flagship and award-winning technology.” LoanMagic is an intelligent, intuitive mobile application that provides a quick, easy and transparent way for borrowers to stay fully engaged with their loans—and lenders—throughout the mortgage cycle. Its core functionality includes real-time loan status, document uploads, eSigning, integrated messaging, task management, push notifications and more. LoanMagic leverages DocMagic’s eVault to ensure that every transaction is logged and securely stored, and it uses a “gamified” design that encourages borrower engagement by making the process of fulfilling conditions faster, easier and more entertaining for the borrower. “A truly digital mortgage offers a continuous, fluid experience for everyone. The lender should not be patching holes or bridging gaps,” said Iannitti. “With LoanMagic, there’s no data degradation, no delay, no added steps lenders need to take to make up for the use of a mobile application, like they may have experienced with other mobile applications in the past. LoanMagic feels and acts like an organic part of the technologies it supports. That’s imperative for a truly digital mortgage experience.” Citadel Launches New Commercial Program for Non-Residential Properties

Citadel Servicing Corporation (CSC) has announced the

launch of its new Commercial Property lending program, being added to Citadel’s Outside Dodd-Frank Plus program. The Commercial Property lending program is designed specifically for commercial property investors and owners, offering lending options for properties of five to 100 units. The Commercial Property lending program covers a range of property uses, including light industrial, retail, office space, multi-family, storage facilities, strip malls, schools, daycare centers and hospitality properties for investors and owners looking to purchase or refinance. “We are excited to add additional commercial property lending options, making our portfolio of products and services even more robust. Our customers will benefit by having commercial funding options with competitive rates in the non-QM space.” said Kyle Gunderlock, president and chief operating officer. The Commercial Property program will initially be available in Arizona, California, Florida, Nevada, Oregon, Texas, Utah and Washington with plans to extend to additional states in the immediate future. “When we launch any program, we do so to provide customers with the best possible product,” said Dan Perl, Citadel’s chairman and chief executive officer. “Our current range of programs have proved to be popular and the demand for commercial mortgages has increased. We are constantly looking for new and dynamic ways to meet our customer’s needs and requirements to.”

With a completely new user interface, LOS integrations and a built-in pricing engine, the latest iteration of DLP provides a unique pricing process that captivates borrowers and increases the closing rates. “Borrowers are looking for more than just an online loan application and document uploads,” said Dawar Alimi, CEO and founder of Lender Price. “When a borrower is engaged with a lender, what they really want is a price. The longer it takes for a loan officer to provide that price, the more likely a

borrower will leave. That is why it is critical for loan officers to quote rates and pricing quickly and provide it in a way that captures the borrower’s attention.” NewDay USA Launches Veteran Streamline Refi Program

A veteran and servicemember streamlined refi program from NewDay USA has been launched to enable military families to

lower their mortgage payments, while paying no appraisal fees and no out-of-pocket costs. Additionally, the program does not require income verification in most states. The program, currently being advertised on FOX, History Channel and American Heroes, is designed to help veteran homeowners take advantage of a recent drop in mortgage rates. “As long as military families are current on their VA mortgage, they will qualify for our continued on page 39

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Lender Price Tailors New FLEX Pricer Tool to Non-QM Lenders Lender Price has released FLEX Pricer, a new pricing platform designed specifically for non-agency and non-QM lenders. FLEX Pricer supports all types of loan products, but is most effective with non-QM products due to its configurable interface. Lenders can create their own non-QM loan pricing search tool without the complexity and cost of custom development. “Most pricing engines have poor support for non-QM products,” said Dawar Alimi, chief executive officer and founder of Lender Price. “As a result, non-QM lenders have limited options to market their products to brokers or borrowers. Many resort to building their own search tool with limited or no pricing capabilities. Our FLEX Pricer solves these problems and goes even further by allowing lenders to customize their interface to support a wide variety of non-QM criteria.” The Lender Price PPE is currently used by several top 50 banks and mortgage lenders, and FLEX Pricer leverages the Lender Price PPE engine and adds new capability to easily create custom criteria relevant to non-agency, non-QM and other niche lending products. A flexible user interface enables lenders to easily add custom criteria to the search bar, making it easy and convenient for originators to find and price nonagency loans. In essence, lenders can create their own custom user interface on the fly and can deploy different pricing interfaces based on channel, loan product, broker tiers, branches, etc. “Non-QM lenders and brokers are looking to do business with each other,” said Alimi. “They both want an online tool that is easy to access, provides relevant information, and moves the process forward. Rate sheets are too passive for brokers. Lenders need FLEX Pricer because it’s the easiest, most effective way to let brokers know about their nonQM products.” Lender Price has also announced the release of its newest version of Digital Lending Platform (DLP), a point-of-sale system designed to manage the entire loan officer sales process.

WSFLASH y NOVEMBER 2019 y NMP NEWSFLASH y NOVEMBER 2019 y NMP NEWSFLASH y NOVEMBE

Report: Calif. Fires Could Cause $2T in Housing Value Loss

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14 A new data analysis issued by Redfin has determined four California counties could lose a cumulative total of roughly $2 trillion in housing value due to the destruction from the ongoing wildfires. Redfin estimated Los Angeles County could lose more than $1.2 trillion worth of homes. Three other counties could also suffer major losses: Orange County ($502.6 billion in total housing value), Santa Clara County ($488.5 billion) and San Diego County ($417.6 billion). “I think this year is a turning point,” Lindsay Katz, a Redfin agent in Los Angeles. “People who live in Southern California and people buying homes here are getting fed up because not only are the wildfires particularly bad right now, but they’ve been relentless over the last few years. In the past, residents would get a few years off between fires and they would kind of forget about them—but we haven’t even recovered from the Woolsey Fire that hit Malibu last November, and people are evacuating and losing their homes again.” Last year, CoreLogic estimated $19 billion in property damage due to the combined devastation brought by California’s Camp and Woolsey Fires.

MBA Forecasts $1.29T in 2020 Purchase Originations

The Mortgage Bankers Association (MBA) is predicting a 1.6 percent increase in purchase originations during 2020 to $1.29 trillion and a 24.5 percent drop in refinance originations to $599 billion over the same period. In a forecast released today during its 2019 annual convention in Austin, the MBA also predicted that mortgage originations will total around $2.06 trillion this year, the highest since 2007’s $2.31 trillion mark, but will drop to around $1.89 trillion in 2020. In 2021, MBA predicted purchase originations to total around $1.33 trillion and refinance originations to reach $432 billion. “Interest rates will, on average, remain lower for longer given the somewhat cloudy economic outlook,” said Mike Fratantoni, MBA’s chief economist and senior vice president for research and industry technology. “These lower rates will in turn support both purchase and refinance origination volume in 2020. Lower-thanexpected mortgage rates gave the refinance market a significant boost this year, resulting in it being the strongest year of volume since 2016. Given the capacity constraints in the industry, some of this refinance activity will spill into the first half of next year.” The drop in refinancing should occur in the second half of next year, Fratantoni added, warning

that this could spur a reprise of the margin pressures many mortgage companies faced in 2018. “The industry continues to be challenged by elevated costs, and as we saw in 2018, the mortgage market is quite competitive. Revenues fall when lenders are chasing fewer loans,” said Fratantoni. Fratantoni also expected the Federal Reserve will cut rates one more time before the end of this year and then hold at that level until the economy resumes growth at a faster pace. He anticipated that the 10-year Treasury rate reach 1.9 percent next year, which will cause the 30-year fixed-rate mortgage rate to rise to around four percent.

provides four-year scholarships to the children of fallen and severely disabled military veterans to attend JROTC military high schools across the nation. At least one parent of each recipient has been deployed during the Global War on Terror. “The people at NewDay recognize the enormous sacrifices servicemembers, Veterans and their families make, and we are all incredibly grateful,” said Lt. General William Caldwell (Ret.), President of Georgia Military College. More Than One-in-Four Properties Are Equity Rich

NewDay USA Awards Scholarships to Children of Servicemembers

NewDay USA has awarded scholarships to six children of veterans and servicemembers who have fought and died in the War on Terror. The scholarships cover the full four-year tuition at the Georgia Military College Preparatory School in Milledgeville, Ga. “Our servicemembers and their families have sacrificed so much to protect this nation,” said NewDay USA Chairman Retired Rear Admiral Thomas Lynch. “Being able to help these families— particularly on a solemn day like September 11—is an honor for the entire NewDay team.” The latest awards bring to more than 60 the number of scholarships that have been awarded by NewDay through its NewDay USA Foundation, which

During the third quarter of this year, 14.4 million residential properties–or 26.7 percent–were considered equity rich. while 3.5 million–or one in 15–were considered seriously underwater, according to ATTOM Data Solutions’ latest U.S. Home Equity & Underwater Report. The top 10 states with the highest share of equity rich properties in the third quarter were all in the Northeast and West regions: California (40.8 percent), Hawaii (39.2 percent), Vermont (39.0 percent), New York (35.7 percent) and Washington (35.6 percent). Among the nation’s largest metro areas, the top shares of equity rich properties were all in the West: San Jose (62.7 percent),

Mortgage Fraud Risk at Multi-Year Low Point

were also pointing to an improved situation. “Employment fraud risk has steadily declined since March 2019 and employment-specific fraud risk was 9.2 percent lower in September than August, and 7.8 percent less than a year ago,” said Fleming. “Additionally, incomespecific fraud risk in September was 12.5 percent lower compared with one year ago. So far, both the economy and fraud risk have reached positive milestones in 2019. The pattern seems clear–as long as the economy trends up, fraud risk trends down.”

Millennial Home Refinancing at New Heights

Refinances represented 33 percent of all loans closed by Millennials in September, according to new data from Ellie Mae. This is up eight percent from August and marks the continued on page 16

Why choose MBS Highway? BARRY HABIB— THE ORIGINATOR OF THE MARKET ADVISORY SERVICE Daily guidance and insights from Mortgage Market expert Barry Habib. He closed over $2 Billion in production as a Loan Originator, called the bottom of the Housing Market and currently provides sales and market training to thousands of Loan Originators across the country. STATE OF THE ART, USER FRIENDLY WEBSITE We've taken great pride in building a website that uses new technology, and enhances the user experience. No matter where you are on our site, you'll always have market data in sight. Never miss a lock alert with our real time market news and alert system.

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The frequency of defects, fraudulence and misrepresentation in the information submitted in mortgage loan applications decreased by 5.5 percent from August to September, according to new data from the First American Financial Corp. Loan Application Defect Index. Compared to September 2018, the Defect Index plummeted by 1.5 percent. During September, the Defect Index for refinance transactions decreased by 4.5 percent compared with the previous month and fell 10 percent compared with a year ago. The Defect Index for purchase

transactions tumbled by 2.6 percent compared with the previous month and is 6.3 percent lower compared with a year ago. “The overall Defect Index has not been this low since December 2016,” said Mark Fleming, chief economist at First American. “In fact, the Defect Index for purchase transactions reached an impressive milestone–the lowest point since we began tracking defect risk for purchase transactions in January 2011.” Fleming added that the data in First American’s employment- and income-specific defect indices

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San Francisco (51.1 percent), Los Angeles, CA (46.6 percent), Santa Rosa, Calif. (46.5 percent) and Honolulu (39.4 percent). The top 10 states with the highest shares of mortgages that were seriously underwater in the third quarter were all in the South and Midwest: Louisiana (16.5 percent seriously underwater), Mississippi (15.8 percent), West Virginia (14.2 percent), Iowa (14.0 percent) and Arkansas (13.1 percent). Among the nation’s largest metro areas, those with the highest share of mortgages that were seriously underwater included Youngstown, Ohio (16.8 percent), Baton Rouge, La. (15.7 percent), Scranton, Pa. (14.3 percent), Cleveland (14.0 percent) and Toledo, Ohio (13.8 percent). “The latest numbers reveal another profound impact of the extended housing boom, as far more homeowners find themselves on the right side of the balance sheet instead of the wrong side,” said Todd Teta, chief product officer with ATTOM Data Solutions. “This is a complete turnabout from what was happening when the housing market crashed during the Great Recession. There are notable equity gaps between regions and market segments. But as home values keep climbing, homeowners are seeing their equity building more and more, while those with properties still worth a lot less than their mortgages represent just a small segment of the market.”

GSEs Announce Publication of Update to Redesigned URLA By Gavin T. Ales

n Oct. 23, 2019, Fannie Mae and Freddie Mac (the GSEs) announced the publication of the updated redesigned Uniform Residential Loan Application (URLA—Fannie Mae Form 1003/Freddie Mac Form 65). Appendix 1 of the announcement provides a detailed description of changes that have been made to the Borrower Information, Additional Borrower Information, Lender Loan Information, Continuation Sheet and Unmarried Addendum documents. According to the announcement, the GSEs are providing the static components of the updated form that include all the changes made to the form appearance. The changes, which were made at the direction of the Federal Housing Finance Agency (FHFA), were previously outlined in an August 2019 announcement from the GSEs and include: l Removal of The Language Preference question (Borrower Information, Section 1a) and The Homeownership Education and Housing Counseling question (Lender Loan Information, Section L5.) Instead, this information will be collected on a separate “Voluntary Consumer Information Form” still to be developed for this purpose.

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l The Acknowledgment and Agreements (Borrower Information, Section 6) has been updated with new “Use and Sharing of Information” language and new definitions for “Lender” and “Other Loan Participants.” l The Military Service question has been moved from Borrower Information, Section 1a. to Section 7: Military Service. An additional line of instruction has also been added, which states, “This section asks questions about your (or your deceased spouse’s) military service.” l Borrower Information sections have been renumbered. Demographic Information has been moved from Borrower Information, Section 7 to Section 8. Loan Originator Information has been moved from Borrower Information, Section 8 to a new Section 9.

NMP NEWS FLASH continued from page 15

highest share of refinance activity since Ellie Mae began tracking this data in January 2016. The share of refinances for conventional loans was 40 percent, up 11 percent from August to September. For VA loans, refinance share increased 10 percentage points to 48 percent. And the share of refinances for closed FHA loans was up by a relatively mild one percentage point to 10 percent. The average FICO score for Millennial borrowers in September was 729, higher than at any other point this year. “Throughout 2019, we’ve seen Millennials refinancing in order to take advantage of low interest rates and in September about one out of every three loans closed by this demographic was a home refinance, the highest share we’ve seen since we launched the Millennial Tracker in January 2016,” said Joe Tyrrell, chief operating officer at Ellie Mae. “Lenders have done a great job educating Millennials on recognizing refinance opportunities and as a result, this demographic has been able to lock in historically low rates. Going forward, we’ll be keeping a close eye on how these rates impact Millennials looking to make a home purchase as well.”

Gavin T. Ales is chief compliance officer with Torrance, Calif.-based DocMagic Inc. He may be reached by phone at (800) 649-1362, ext. 6446 or e-mail Gavin@DocMagic.com.

SPONSORED EDITORIAL

NMP NEWS FLASH continued from page 16

banks and all digital lenders, although mortgage lenders have reported a significant drop in foreign transactions. “The trends we have identified represent the challenges surrounding identity verification and authentication while trying to provide a smooth customer experience,” said Kimberly Sutherland, vice president for fraud and identity management strategy at LexisNexis Risk Solutions. “However, firms utilizing a multi-layered solution approach could realize up to an approximate 30 percent decrease in their cost of fraud, which is significant. And with digital identity intelligence and behavioral biometrics layered in, firms can expect to lower the true cost of fraud even further.” The report’s findings are based on a survey of 205 risk and fraud executives in financial services and lending companies, including retail and commercial banks, credit unions, investments, trusts and wealth management, as well as auto lenders, mortgage companies, finance companies, and nonbank credit card and personal loan issuers. Redfin Study: Homeowners Remaining in Homes Longer

The average homeowner spends 13 years living in their home, according to new data from Redfin. This is up from an average of eight years in 2010. Redfin analyzed 55 metros and determined that homeowners have been in their homes the longest in Salt Lake City, Houston, Fort Worth, San Antonio, and Dallas, with residents in those metros remaining at the same address for more than 20 years on average. In many markets, municipal policies that reduce property tax burdens for senior citizens are making it more affordable for seniors to stay in their homes longer. However, the lack of turnover is contributing to inventory shortages, especially in regard to affordable homeownership

opportunities. For example, the median Redfin Estimate for San Francisco homes where the resident hasn’t changed in over 20 years is about $122,000 lower than the median Redfin Estimate for homes where the resident has changed in the last five years. VA Refunds $400M in Home Loan Snafu

The Department of Veterans Affairs (VA) has announced the issuance of more than $400 million in refunds to home loan borrowers. According to the VA, the Loan Guaranty Service (LGY) program identified more than 130,000 loans where a refund was potentially due. In a statement, insisted that “while some funding fees charged were found to be attributable to clerical errors, most fees were charged correctly. The exception was for those veterans whose exemption status changed following the issuance of a disability rating after the closing of their loan.” “VA staff worked diligently throughout the summer reviewing 130,000 cases, which is an average of 16,000 loans reviewed per week,” said VA Secretary Robert Wilkie. “This effort included loans dating back nearly 20 years. Our administration prioritized fixing the problems and paid veterans what they were owed.” 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.

NAMB+ is an independent, wholly-owned, for-profit marketing subsidiary of NAMB, The Association of Mortgage Professionals.

Dear Mortgage Professional, NAMB+ Endorsed Providers are a select group of companies approved by the NAMB+ Board of Directors as being qualified and committed to helping small business mortgage professionals by providing exclusive NAMB Members Only benefits, discounts and offerings, and exceptional customer service. A complete list of Endorsed Providers is displayed below and is available at www.nambplus.com. NAMB+ works hard to continue adding new

relationships that bring value to Members each month. If you have interest in becoming an Endorsed Provider, please contact me for more information. 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.

Ameriagency is a national insurance agency that shops for you, saving you time and saving your client hundreds of dollars on property insurance. Avantus is a technology-driven full-service credit reporting company. Brokers Compliance Group provides compliance support programs.

Focus IT supercharges your leads thanks to the Pulse CRM, our flagship tool that connects with your LOS.

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Social 5 offers a social and mobile marketing strategy that gets noticed.

Starrex provides innovative service solutions including national appraisal management and credit products.

Syncro connects mobile salespeople to their office website leads.

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discounted rates. MortgageHippo Swift allows loan originators of all sizes to deliver a modern borrowing experience and reduce origination costs.

n National Mortgage Professional Magazine n NOVEMBER 2019

CIC Credit offers Tri-merge Credit, Employment Screening, risk mitigation & much more.

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Camber Marketing Group provides premier lead generation, data solutions and direct mail marketing.

National Mortgage Insurance Corporation (National MI) is a private mortgage insurer enabling low down payment borrowers to realize homeownership.

Universal Credit Services is a top ranked national credit reporting agency and authorized report supplier for Fannie May Day 1 Certainty®

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 A M B

P E R S P E C T I V E

A Message From NAMB President Rocke Andrews, CMC, CRMS We are beginning a big year for loan originators and NAMB. NAMB is working hard to bring value to our members and to find ways to help small business originators compete with larger entities and remain in business for the long haul. As a successful result of NAMB members lobbying last year in D.C., U.S. Sens. Jack Reed (D-RI) and Chris Van Hollen (D-MD) introduced S.2685 as legislation that will help curb the sale of trigger leads that confuse borrowers—your customers! This bill will make trigger leads an opt-in for consumers. This will help protect consumer credit and eliminate the confusion resulting when lenders call your borrowers after you pull a credit report. NAMB Education is working on classes to help you run your business and stay in business, as well as certification classes on VA loans and credit that have proved immensely popular. Technology Toolbox is maintaining its great offerings of new technology available to small businesses that previously was the domain of large banks. LOS, pricing engines and point of sale (POS)

are all available for free or at substantially-discounted prices. The newest technology will be a NAMB discounted version of Home IQ to help you market to your databases and real estate agents less expensively than other options out there. NAMB+is on the verge of bringing association healthcare to NAMB members, which will enable you to get healthcare for your business and employees on par with what larger companies have. So join NAMB, get the benefits and savings that are several times the cost of membership. Share these ideas on social media so we can grow your organization and become a more powerful voice in Washington, D.C. and bring even more benefits to members. NAMB is growing thanks to you. Let us know how you would like to join the effort. Rocke Andrews, CMC, CRMS is president of NAMB. He may be reached by e-mail at Rocke.Andrews@NAMB.org.

Protecting Your Most Valuable Assets Made Easy

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By Michael Haffey

Most people don’t like to talk about life insurance or disability insurance, but most financial planners will tell you that these are the two most important insurance products to buy. If you are sick or hurt, disability insurance continues to pay the bills when you can’t. If you meet with your untimely demise, life insurance pays your family a tax-free lump sum to cover expenses going forward. Most people think that life insurance and disability insurance are expensive and tough to get. This may be true for some, but as a member of the National Association of Mortgage Brokers, you now have easy access to the coverage you need as part of NAMB’s new health plan program offerings. NAMB’s program offerings provide competitive rates, combined with plans that can be issued and approved with just a phone call, making it easy to get the insurance that you need, precisely when you need it. But how much insurance do you actually need? Financial planners agree that you should have at least 10 to 12 times your income in life insurance coverage. And when it comes to disability insurance, buying a plan that provides 66 percent to 70 percent of your normal income is usually adequate. According to the Council for Disability Awareness, at least one out of every four workers will become disabled at some point during their working career. Disabilities can arise in varying forms, from accidents on the job to debilitating illnesses like cancer or a heart attack. So, the real question is, should you spend three percent of your income to ensure your income? Life insurance has several purposes. Of course, it can pay for funeral and burial expenses, but it can be used for even more important purposes, such as income replacement, to pay for children’s education, pay off mortgages or other debts, and to protect and supplement retirement savings. As a business owner, you might think that life insurance is just

to protect your family, but life insurance can play a big role on the business side too. In fact, life insurance for small business owners is an essential part of planning for the future of your company. If you own a business, it’s important for you to have life insurance for your family and life insurance for your business. Life insurance for buy-sell agreements or “Keyperson” coverages, as well as business overhead disability insurance programs, are all offered through this new NAMB program. Whether you’re looking for individual coverage or coverage for your business, we can make it easy and inexpensive for you to get the coverage you need! So where can you get it? Check out our new instant issue and accelerated underwriting options online at GetPendella.com/NAMB-GetAQuote. The cost of life insurance is based on your health, which means that life insurance is medically underwritten. In the past, this process could take weeks. However, Pendella has access to new and modern underwritten policies, meaning that we can provide fast, convenient access to the coverage that you seek. We also have licensed agents ready to answer your questions and assist in helping you secure the coverage that you need.

Michael Haffey is managing partner, association member benefits for Pendella. Michael’s passion is creating and deploying innovative strategies to assist employers and their employees in controlling their health insurance spend, while allowing access to the best healthcare and moving them towards real wellness and total health spans over 30 years. He may be reached by phone at (833) 7363355, ext. 706 or e-mail Michael@Pendella.com.

N A M B

P E R S P E C T I V E

A Message From NAMB Certification Committee Chair Linda McCoy, CRMS, CVLS, CCS

Linda McCoy, CRMS, CVLS, CCS of Mobile, Ala.-Owner of Mortgage Team 1 Inc. is 2019-2020 vice president of NAMB, as well as NAMB Certification Committee chair and secretary of the NAMB Education Foundation. She received the NAMB 2018-2019 Professional of the Year Award. She may be reached by e-mail at Linda.McCoy@NAMB.org.

NAMB Presents … Certified Veterans Loan Specialist Class Monday, December 2

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Starfire Golf Club • 11500 North Hayden Road • Scottsdale, Ariz. Registration begins at 8:30 a.m. • Class hours 9:00 a.m.-5:00 p.m. Is your focus on VA loans? Would you like to separate yourself from the competition? Don’t miss this opportunity to become approved for NAMB’s newest certification, the Certified Veterans Loan Specialist (CVLS). Cost is only $169 for NAMB members and $299 for nonmembers, including a continental breakfast and lunch. VA loans are an amazing benefit that veterans have earned, and it’s our responsibility as loan originators to help them take advantage of it. But to maximize that benefit, a veteran needs their loan officer to know all the nuances. Lender guidelines often cover the top level information and you can do a VA deal from them. However, those guidelines miss the “how” for many of the subtle details of VA loans, and often include limitations that can be worked around if you know how. With this extra information, you’ll be able to get deals done that nobody else can, help more veterans in the process, and stand out to referral partners. In case you’re wondering, it doesn’t matter if you’re in a military town, in a non-military town, it’s likely you’ll be the only VA expert, which will make you stand out even more. In addition, we’ll emphasize the detailed knowledge and stories that you can use to show your value to real estate agents and help grow your business with VA as your niche. Immediately following the class, a test will be given and, upon passing, you will be presented with your certification and all the marketing materials that you need to promote yourself! For more information, visit NAMB.org or contact Valerie Saunders by phone at (202) 434-8250 or e-mail ValSaun@NAMB.org.

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Would you like to get involved with the military and help them find the best lending options for their new home? When leaving the service, there is an exit interview that most veterans go through. There is the excitement of getting out of the service and most are not paying full attention to the wonderful benefits waiting them when they enter civilian life again. My husband said that when he got out of the Navy in 1971, most of the men and women who were exiting the military were asked what destination they wanted on their plane ticket. He stated that most of the veteran benefit information given to them by their recruiting officer when they enlisted was often not completely accurate. In 1991, Congress created the Transition Assistance Program (TAP) in the National Defense Authorization Act (NDAA). This is where veterans received information to bolster opportunities, services and training to assist in transitioning servicemembers as they prepared for their postmilitary goals. This was individualized counseling. It covered benefits, entitlement, resources, education and employment options for veterans as they entered their civilian life. This is where homeownership benefits were discussed, and it applied to any veteran with greater than 180 days of active duty, as well as qualified National Guard and Reservists. There are other ways that veterans can qualify, such as being called up for wartime active duty. When my son-in-law got out of the military in 2002, he said he had this class, but there was so much information that he only remembered he had GI Benefits. Some may have absorbed more information than others, but we as mortgage loan officers should be the experts that guide them smoothly and accurately into homeownership. If you want to know how to get involved with the military lending community, you need to first learn the VA guidelines, rules and regulations, along with the military lingo used for the VA Home Loan Approval. It will benefit the loan originator to know acronyms such as “BAH,” the Basic Allowance for Housing; “BAS,” the Basic Allowance for Subsistence; “MPR,” the Military Personnel Record; “COE,” the Certificate of Eligibility, “PCS,” the Permanent Change of Station, “TDA,” the Temporary Duty Assignment; “LES,” the Leave and Earning Statement; and many others. You will need to familiarize yourself with the VA documents required by underwriting for approval on a VA home loan, such as the DD-214 for discharged veterans; the In-Service Letter for Active Duty Veterans; and the Statement of Points for Reservists. One of these would be required to obtain a Certificate of Eligibility. If you are really wanting to help veteran, you need to first educate yourself. NAMB offers a Certified Veterans Loan Specialist Course (CVLS) for loan officers that will give them the education to best help any veteran. It goes into detail and gives you examples that can really help you become an expert in your field. This is an eight-hour course designed to go from beginning to end on the ins and outs of VA lending. It is not just a participation class, as you must pass a very in-depth test at the conclusion of the course. The VA home loan guarantee is presented as one of the top military benefits to military personnel when they first enroll in the service. It is a benefit that our military has earned, and they deserve to have an expert help them get the best loan for their families. There are about 10 percent of U.S. veterans currently using their VA eligibility because of lack of knowledge, or because there was a lot of negative perception in the real estate industry regarding VA loans in the past. Some of those stories are still floating around. The VA loan is almost always a better option for the veteran unless they are putting down a large downpayment. Some sellers were made to believe it was going to cost them a lot more money to sell their home to a veteran. There are

misconceptions, in general, from buyers and sellers that made them skeptical about VA loans. The top misconceptions we hear is that, “I was never told about my homeownership benefits,” or “I have already had one VA loan … I did not know I could get another one.” The NAMB CVLS Certification Class covers so much material that you will know why it is the most sought-after VA class presented for loan officers at this time. We have presented this class in six locations across the country since we first presented it at NAMB National in December 2018. We have five more locations planned for the near future, including: Monday, Dec. 2, 2019 in Phoenix; a date in San Diego to be announced shortly; and in early 2020, in New Orleans at NAMB Focus, and our NAMB Legislative Conference in D.C. TAP was updated on Oct. 1, 2019 to a better process, the first change since 2011. We feel like Veterans getting out of the military are more informed now than ever before, but some start listening only when it is time for them to purchase the home of their dreams. We need to make a positive change in the mindset of the general public for our veterans whether it is our mortgage Industry or just one Loan Officer at a time posting something positive about or our heroes’ home loan options. After you have spent the time obtaining your education and you are fully qualified to help veteran attain their goals of homeownership, then you should reach out to the military community through military groups across this nation. Go visit as many different groups as you can, and get on social media as much as possible. Help as many veterans as you can and never forget to thank them for their service. We owe our freedom to our veterans.

N A M B

P E R S P E C T I V E

A Message From NAMB Membership Committee Chair Ernest Jones Jr. As Membership Committee Chair of NAMB, I would like to welcome the new NAMB members listed below and offer the following message … Thanks for joining NAMB. We are sure you will enjoy the benefits of membership! Our Web site, NAMB.org, contains valuable information about upcoming events, NAMB certifications, legislative actions, the NAMB Toolbox, and information about all the benefits available to you, including our affinity partnerships available at NAMBPlus.com. New members can also access video recordings of educational events and informational Webinars hosted by some of our sponsors at the NAMB Video Stage and our Endorsed Providers at the NAMB+ Video Stage! Understanding the tools in the NAMB Toolbox Membership includes access to many benefits. If you have not looked in the NAMB Toolbox, you may be missing out on some great tools that can help you improve your business. Some examples are listed below: l NAMB All-In is a cloud-based loan origination system created for

mortgage brokers to streamline and support your success. From a mobile-friendly customer experience, to an integrated wholesaler marketplace, you will have everything you need to “wow” borrowers and win more business with a new competitive edge. l NAMB+ CRM easily and thoroughly integrates with Calyx PointCentral and will be integrating with Encompass in early 2019. NAMB+ CRM supercharges your LOS providing lead and referral management tools, automated email marketing and loan status alerts, and intelligent task management for your loan production. l EC Purchasing offers great discounts for NAMB members on copy/print, IT, overnight shipping, wireless and more. Review discounts from a wide range of national companies, then select discounts on the products and services that best meet your needs. Check out all the great tools in the NAMB Toolbox today at NAMB.org! For more information on the benefits of NAMB membership, visit NAMB.org and click on the “Membership” tab. Sincerely, Ernest Jones, Jr. Membership Committee Chair, National Association of Mortgage Brokers

NAMB New Members Report

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Sylvia Albers

Jean Charles

Bradley Hempton

Elizabeth Mullen

Jorge Sidhu

Dustin Ames

Andy Cody

Nicholas Holmberg

Byron Nelson

Bevon Stennett

Chris Annan

Adam Consiglio

Ty Holt

Charles Nierras

Dean Sumer

Sarlea Atizado

Carlos Cota

Manuel Huerta

Sonia Orozco

Brian Swanson

Jeanie Atkinson

Jamie Crosby

Thanh Huynh

Francisco Orozco

Fernando Tarani

Phillip Baltazar

Maria Cuervo

Benjamin Iyorah

Amy Jane Orton

Alicia Taylor

Merv Bannister

Ryan Davenport

Mohamed Jama

William Pappas

Ashley Templeton

Pankaj Bargotra

Doris de Leon

Christopher Jantz

Niket Patankar

Shannon Terry

Anne Bell

Patrizia De Luca Basualdo

David Johnson

Annmarie Pecoraro

Selah Terwillinger

Sarah Bezares

Clarke Doyle

Arlicia Jones

Nina Penny

Consuelo Torres

Kathy Bischofberger

Paige Draper

Mian Kardar

Jared Phillips

Victoria Van Horn

Sergio Boffelli

Pedro Estevez

Jennifer Kelly

Lorraine Pineyro

Jeremy VanDervort

Tisha Borda

Kirk Evans

Christopher Kelso

Jelani Polk

Omar Wakili

Ida Brackenridge

Leopold Evariste

Anna Kitras

Kristina Polson

Brian Walek

Steve Bristol

William Ferguson

Anthony Laurendi

Mike Prosser

Kitty Walker

Adam Brotzman

Jason Flick

Andrew Leavitt

Michael Purtill

Brad Ward

Lindsay Broughton

Edward Foster

Wendell LeMond

Myrna Quintana

Linda Ward

Keith Browne

Brian Frampton

Vance Long

Zell Railey

Roger Ward

Brian Broydrick

Julie Garica

Celia Lucente

Angela Ramirez

Lindsay Weber

Ted Bryant

Antonio Garrido

Romeo Magwili

Shelley Reese

Jordan Wilde

Shawn Budd

Jerry Garris

Racine Mai

Mark Reeve

David Wilson

Robert Bussey

Jody Gelbart

William Manly

K. Justin Restaino

Keith Wong

Kelly Butler

Ori Geralde

Paul Martinez

Danielle Rios

Phillip Yatooma

Lydia Cabral

Carnesa Giles

Lauren McGill

Jason Roe

Mingming Zhang

Joshua Calhoun

Brandi Gill

Sean McGrover

Adam Rolfe

Luis Calvo

James Greenspan

Stephanie McKie

Jeff Roquet

Yadira Carbuccia-Mateo

Yeraldin Guerrero

Leigh McMahon

Diane Marie Roselli

Teresa Carden

Kelly Hall

Bill Medley

Meta Rumph

Jennifer Carlson-Schmidt

Chad Hansen

Shannon Moore

Eric Sadd

Bobby Caruso

Karen Harmer

Rebecca Moreno

Marco Sarabia

Thomas Cerrone

Randi Harris

Lisa Morris

Adam Seewald

Blake Chapman

Devon Harris

Bruce Morton

Guillermo Serna

SHINING THE LIGHT ON

NON-QM

LENDING

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Deephaven Mortgage is shining the light on Non-QM lending by providing products speciﬁcally designed to address the needs of millions of borrowers who are unable to obtain a traditional mortgage. In return, this allows originators to expand their business by reaching out to a broader group of borrowers. Help shine the light on Non-QM for your potential borrowers. Contact us by visiting www.deephavenmortgage.com and selecting either Correspondent or Wholesale. We look forward to you getting in touch with us today! Deephaven Mortgage® LLC. All rights reserved. This material is intended solely for the use of licensed mortgage professionals. Distribution to consumers is strictly prohibited. Program and rates are subject to change without notice. Not available in all states. Terms subject to qualiﬁcation. For more information on Deephaven’s state licensing, visit the NMLS Consumer Access webpage at http:// nmlsconsumeraccess.org/. NMLS #958425

n National Mortgage Professional Magazine n NOVEMBER 2019

Millions of potential borrowers are locked out of today’s conventional mortgage market.

N A T I O N A L

M O R T G A G E

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

M A G A Z I N E â&#x20AC;&#x2122; S

Mortgage Professional of the Month

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Mat Ishbia President & CEO United Wholesale Mortgage (UWM) By Rick Grant

—Mat Ishbia, President & CEO of United Wholesale Mortgage (UWM)

was built to have an impact on these individual entrepreneurs. “We’re very passionate about that,” he said. “I love making an impact, so I love hearing stories about a broker shop that did 10 loans a month a year ago but now, because of some of the tools we’ve given them or speed we’ve been able to offer their clients, they are doing double that or more.” The third group UWM impacts is made up of the 4,600 people, who Ishbia calls team members, that currently work at the company. “I like to think I could be successful running another business, but there aren’t too many businesses that could allow me to have this kind of impact every day,” he said. A team effort Anyone who has ever visited with Mat Ishbia or read one of his interviews knows that he is, at heart, an athlete. What he learned as a champion player on the basketball court, he has brought into the game of business. He is a team player and a team builder. “UWM is not just me. It’s a great group of people,” he said. “I’ve got great leaders who help me do everything. I get more credit than I deserve.” Not everyone would agree with that last statement, but no one can argue with the fact that UWM has an impressive team. It’s a team that has taken the company to the number one spot among wholesale lenders and to a top

five national loan originator. “I work with dream makers,” he said. “We help people accomplish dreams every day. What could be better than that? I’ll be here for the next 30 years, doing the same thing.” Mortgage brokers are a critically important part of the team that Ishbia has assembled for the benefit of home loan borrowers. “I’m a team guy and so I’m proud to be on the same team with our brokers,” he said. “There was a time when our industry left the brokers for dead. I’m proud that we didn’t do that. We doubled down because we believe in the broker channel.” The broker as champion I asked him what it takes in today’s market to be a leading broker. “A great mortgage broker is someone that understands that it’s all about the relationship,” he said. “They are active in the community, writing the loan for their kid’s baseball coach and for the teachers and the PTA. And they understand that everything is client experience.” Ishbia says UWM works with brokers today who have built their reputations around the relationship and the origination experience. He says this is the best insurance against disruption, which he points out is a major risk in today’s market. “Brokers who understand reputation management see their clients come back to them,” Ishbia said. “They stay in touch

continued on page 65

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Making an impact Ishbia says that there are three distinct groups of people that his work impacts every day. First, American consumers. These are the people pursuing their dream and the company Ishbia has built has the opportunity to finance that dream. While this is a critical part of the process of homeownership, it’s not always the first one consumers think of. As Ishbia puts it: “No one wakes up in the morning excited to get a new mortgage,” he said. “They want to buy a home. We help them get that done easily, quickly and affordably.” The second group is the mortgage broker. Ishbia says these professionals are the local, small businesses that make their communities great. He says UWM

“I love the mortgage industry. It’s about the impact you can have on people. I didn’t think I could get that feeling out of going to just any industry.”

with them; they touch base with them on their birthdays. They do all the little things required to build those relationships. And that’s what makes a great broker.” Ishbia says his company seeks out brokers that understand the importance of relationships and borrower experience and who have built their reputations around these values. Then, UWM helps them deliver on the promise that their reputations are making in the marketplace. To make that happen, Ishbia counts on everyone on his team pulling in the same direction, playing the same game and winning. It’s one thing to work toward that goal in a company of a few people, but when you get well over 4,000 people on the team, it can become a bit challenging. Ishbia isn’t worried by that challenge. In fact, he thinks it’s a much bigger issue than that. “I wouldn’t be satisfied if it was only the 4,600 people in our company that understood the UWM brand and what we stand for,” he said. “I want all 40,000 brokers in the nation to understand what our brand is and what we stand for.” So, what exactly is that brand promise, we wanted to know. “The first words that come to mind whenever you ask someone about UWM will be speed and service,” Ishbia said. “From a branding perspective, we are known as fast and efficient.” Ishbia said his entire team is dedicated to providing the best service possible every single time, and to do so very quickly. “The second word that will come to everyone’s mind when you ask about the UWM brand is ‘partner.’ We are the partner that helps brokers become champions,” he said. Ishbia said that whether it’s in reference to his personal brand or the brand of his company, it comes down to being the number one supporter of the broker. “We’re proud of that,” he said, “because the mortgage broker is the best option for the consumer.” But there is another word that many will associate with UWM,

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don’t think there exists a mortgage broker working in the business today who doesn’t know the name of this issue’s Mortgage Professional of the Month. As president and chief executive officer of United Wholesale Mortgage (UWM), Mat Ishbia leads a team of 4,600 professionals who are all engaged in the singular task of making today’s mortgage broker better at servicing the needs of today’s home loan borrowers. It was a pleasure to sit down with Ishbia recently to talk about his company, his work and his success. While this was the first time this reporter had this conversation with him, it was not the first time he’s been recognized by National Mortgage Professional Magazine for the excellent work he and his team have accomplished in our industry. And that led me to my first question. An NCAA champion who had a dream job as a basketball coach and who could have made a career for himself in just about any industry, I wanted to know why Ishbia had chosen the mortgage industry and then stayed with it for 16 years. “I love the mortgage industry,” Ishbia said. “It’s about the impact you can have on people. I didn’t think I could get that feeling out of going to just any industry.”

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Day

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Description

Day/Time Airing

MONDAY

Master the Markets with Barry Habib

Recap of key economic events that took place over the past week and a look ahead to events that will potentially impact interest rates in the housing market.

Mondays at 7 a.m.

TUESDAY

The Mortgage Godfather

Ralph LuVuolo Sr., “The Mortgage Godfather,” shares his unique and innovative approach to mortgage origination. You better become a follower or else. It’s an offer you can’t refuse!

Tuesdays at 7 a.m.

WEDNESDAY

Homeownership Heroes

The Battle to Increase Military Homeownership.

Wednesdays at 11 a.m.

Under Construction

Construction loans made easy.

Wednesdays at 2 p.m.

Coming Soon... Non-QM Mastery

Strategies from top originators using alternative lending.

Thursdays at 7 a.m.

Quick Hits

Carl White’s simple strategies for a quick boost in your productivity.

Thursdays at 11 a.m.

Inside the MBA

Your bi-weekly window into what’s happening at the MBA.

Fridays at 11 a.m. bi-weekly

Inside the NAMB

Your bi-weekly window into what’s happening at NAMB.

Fridays at 11 a.m. bi-weekly

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FRIDAY

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THURSDAY

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k c e B

The

By Christine Beckwith

In the Eye of

NOVEMBER 2019 n National Mortgage Professional Magazine n

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ere I am, sitting at a rented lake house in central New Hampshire, in my hometown from my childhood. It’s a Friday morning and I am in the rare place to have my folks and siblings be able to drop by for a visit. I am home for a birthday party weekend for yours truly, my “ahem” (insert cough) 50th, I mean 39th Birthday. I am feeling nostalgic now so writing my Blog for this month feels a little melancholy, but with that said, I want to provide value at a time I know you will be reading this over the holidays. This time of year breeds a long-awaited pause or slowing for everyone in our field, a welcomed one for a year that gifted us with lower rates and lots of volume for those who dialed in and worked hard. Over the previous six months, I

have traveled across the nation, truly, to incredible conventions, to speaking gigs and events, too many to mention, and along the way, I found myself amid others doing the same. Professionals who, by and large, were trying to grab market share, sling their product and of course, connect with new opportunities. That said, in the midst of this storm, I began to watch and absorb the true magnitude of the chaos and rapid-fire environment that would represent the greatest year and closest thing to a return to our prior great market years that had been experienced in over a decade. So, what did I learn? Living in the “Eye of the Storm” is quite incredible. I learned that at the core of our human spirit lives a desire for people to join forces, to come together, to laugh, to help one another and to truly support each other’s businesses. I learned that you can

consistently travel for a dozen straight weeks at a time, run a business, pack and unpack, show up in stellar mode, perform and check the box until the next stop. A rock star life ensued for me this year, while trying to maintain some form of normalcy at the home front, stopping home for four days in-between to do kid’s activities, home activities, personal accounting, family time, sports and God willing, a little rest. As the weeks would wear on this year though the façade and glamour of the “mortgage industry convention circuit,” I would have some of the most incredible and tender moments that you can only recognize as powerful in hindsight.

greatest way to form relationships that lead to longterm business: There was no greater ROI on any other marketing avenue than this for me this year. It is and has been the tried and true way to cultivate, vet and grab market share. Personal lesson: There are the most beautiful souls out there in our business who are filled with the entrepreneurial spirit … people who I know will change the landscape of our tomorrows in this industry. I also fell in love with those “OG” mortgage professionals who are still evolving and re-defining themselves in a new era and there are many!

Five lessons learned this year in the “Eye of the Storm: Work versus personal lessons” 1. Networking is still in our new age of technology, is the

2. Technology is at the top of everyone lists: The mortgage industry wants to evolve into a more mobile and automated world. I heard, in many conventions, the quotes of

h t i kw

h t i of the kw Storm! By Christine Beckwith

4. No more fake news: It’s now time for everyone to listen to the entrepreneurs. Our salesfolks, the loan originators, brokers and front-line men and women are where the real news lies. These folks are taking to their social media outlets, videos in hand, and are letting us know what is real or not real. It’s beautiful and it trumps (pun

intended) the contrived news stories paid for by commercialized news-telling. I write for this magazine and many others that I know do diligence to their news-telling and this is not intended to be a slam to that format, I think those news companies who are employing a “story-telling” philosophy and bringing the voices of those people to their pages, podcasts and stories, it’s the smartest thing they could have done. Personal lesson: Me and my organization are the real deal, and I run with a real deal crew. Get real … it’s the best advice I can give you. 5. Life is short, in business and for real: To live a long life in the mortgage profession, which I have somehow accomplished, staying put is not an easy task. I wrote an article in early 2018 about staying in a “Safe Seat” of musical chairs and gave advice.

That advice was never more poignant than this year when the “grass is greener” philosophy and the waving of company flags were being shaken harder than ever before. Volume would be the glue that kept loan officers in their seats and many business development managers found themselves in the hot seats trying to explain slow recruiting because nobody who wasn’t suffering truly where they were was moving. For many mortgage professionals, their homes seem short-lived. The life of the mortgage originator’s job or longevity with a firm, has been truly shortened this past year and movement has been an acceptable thing that hiring firms have learned to accept on resumes that show lots of past employers. That is changing. Everyone is getting into their “Happily Ever After Seats” for the continued on page 75

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3. PC is so “yesterday’s news:” No matter what surrounds the mortgage industry and all of its many minute details, at the core of our existence remains the human experience and what seemed to jump off the pages of social media this year was the “more

personal stories” of homeownership successes, businesses successes and authentic story-telling from human-minded messages from the B2B entrepreneurs are now filling our space. Those companies that continue an aesthetic-minded approach to their social media might as well throw their money out the window of their moving car. Personal lesson: I say “Thank God!” I don’t know how else to be but real, raw and authentic, I am grateful it is in style this year.

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“ancient systems” and “dinosaur ages” when describing our technical world here and how it’s truly time for evolution. People seemed to be listening. I certainly was and I am excited for once to see where this goes. Personal lesson: Instead of cringing about the need for technology I did not welcome, I could see even my own sentiment on this topic had changed. Listening to so many rooms on this topic, I can see people are embracing this era and time. We will see evolution in this area in the years ahead finally.

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.

Angel Oak Records $891M in Non-QM Q3 Originations

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Angel Oak has reported a company-record $891 million boom in non-QM originations during the third quarter, a 31 percent increase in origination volume over the second quarter and a 41 percent spike compared with the third quarter of 2018. The Atlanta-headquartered company added that this volume, which was led by its affiliated lenders Angel Oak Mortgage Solutions, LLC and Angel Oak Home Loans LLC, brought its total year-to-date non-QM volume to $2.1 billion, a 52 percent increase over the first three quarters of 2018. This year also saw the opening of 15 new branches this year, for a total of 33 branches servicing 18 states. Angel Oak Capital Advisors LLC, the company’s investment management affiliate, ended the third quarter with approximately $10.6 billion in assets under management (AUM) after crossing the $10 billion AUM mark in June. During this same period, it completed a $558 million non-QM securitization, its fourth securitization for 2019, bringing the firm’s total year-to-date issuance to approximately $2.2 billion. “The growth in all facets of our business serves as a testament to the future of mortgage lending and Angel Oak’s leadership in the space,” said Mike Fierman, coCEO of Angel Oak Cos. “Angel Oak has led the revitalization of quality nonprime lending through a focused approach to making the process as easy and efficient as possible. The service our

incredible team provides is the reason our success continues, and we are looking forward to the future.” Quicken Loans Approved for eClosings Nationwide

Quicken Loans has become the first lender to develop the capabilities to perform electronic mortgage closings (eClosings) in all 50 states. Since completing its first eClosing in November 2017, Quicken Loans has completed 96 percent of all electronic mortgage closings in the country, according to the company’s volume registered with the Mortgage Electronic Registration Systems (MERS) eRegistry. “For more than 30 years, we have worked tirelessly to improve the mortgage process. We are continually researching, building and implementing new technologies to streamline the entire client experience–from start to finish,” said Jay Farner, chief executive officer of Quicken Loans. “This is a turning point for the housing industry and the first step in reducing one of the biggest pain points in the mortgage process. We will not stop until our clients can close their home loan from anywhere, at any time.” There are three ways to complete a mortgage electronically: An in-person hybrid eClosing, an in-person electronic notarization (IPEN) and a remote online notarization (RON). All three are facilitated by Quicken Loans’ sister company, Amrock–a provider of title insurance, valuations and

settlement services. Quicken Loans clients in all 50 states can participate in a hybrid eClosing, which includes both traditional and electronically signed documents. Clients can digitally sign nearly all of the documents, having to put pen to paper on three to five documents, depending on the state–as opposed to 17 documents that need to be handsigned in the traditional method. Since the majority of the documents are digital, all completed paperwork is delivered to the client’s Rocket Mortgage account as soon as the closing is complete. Quicken Loans clients qualify for an eClosing if they are refinancing into a conventional fixed-rate loan for a single-family home and meet the other eligibility requirements–for example, a loan using a power of attorney is not eligible for an eClosing. “It’s important for us to provide our broker partners with the latest technology available,” said Austin Niemiec, executive vice president of QLMS. “Not only do we offer competitive interest rates and the industry’s best mortgage insurance rates at QLMS, but we give our partners the technology that will help them better serve their clients.” ZestFinance Rebrands as Zest AI

ZestFinance, a provider of artificial intelligence (AI) software for credit, has announced the company’s rebrand to “Zest AI.” With the company celebrating its 10th anniversary this year, the company remains committed to

its original mission: Making fair and transparent credit available to everyone. At the same time, the new Zest AI brand reflects its evolution into a premium enterprise software company with broad capabilities around automated and explainable machine learning. According to a Gartner study, the business value created by AI will reach $3.9 trillion by the year 2022. Highly regulated sectors are especially ripe for innovation, as the power of machine learning (ML) has so far been limited over concerns about using black-box algorithms. Zest AI’s development of transparent ML has made the black box problem obsolete, paving the way for deeper expansion into financial services and, in time, to new industries beyond finance. “Our new identity makes it clear that we’re an AI software company dedicated to helping regulated businesses make better and faster decisions they can trust and explain,” said Mike de Vere, chief operating officer of Zest AI. “We originally picked the Zest name to bring something different to financial services, and the new brand embodies our bigger plans to come.” In the two years since Zest AI introduced its flagship product Zest Automated Machine Learning (ZAML), the company has achieved annual triple-digit percentage growth. Zest AI powers $500 billion in total lending by clients in every geography and credit category, including credit cards, personal loans, auto, mortgages and student loans. With a quartermillion applicants scored every month, Zest software has helped 10 million more consumers get access to credit.

SLK Global’s SmartProp Now Integrated With Black Knight’s Exchange Platform

AFR Partners With Finicity on Asset Verification Solution

American Financial Resources Inc. (AFR) has announced a partnership with Finicity to provide its business partners and their borrowers with a faster, simpler and more secure way to verify assets and income while originating loans. AFR serves thousands of mortgage professionals nationwide with their residential financing needs through industry leading technology, a diverse program

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National Mortgage Professional Magazine is compiling a list of America's Top Mortgage Employers. 31 NATIONAL MORTGAGE PROFESSIONAL MAGAZINE

TOP MORTGAGE EMPLOYER

2020

Nominate your company for Top Mortgage Employers in Three Easy Steps: 1. Create an account 2. Complete your company employer proﬁle 3. Share your company employer proﬁle with your staff to boost your chances of making it on the 2020 Top Mortgage Employers list* *Voting is free and requires registration. Voting helps, but is not the only factor used to select the Top Mortgage Employers.

Submit your nomination and make sure your company is well represented.

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Please only one submission per person or your company may be disqualiﬁed. Your company must be involved in originating mortgages, be at least two years old with a minimum of 15 employees. There is a one-time application fee of $94 per application.

LenderClose Partners With Clear Capital’s ClearAVM

LenderClose has announced an integration with Clear Capital’s ClearAVM, a lending-grade automated valuation model (AVM), that further streamlines lender access to all the digital tools it takes to underwrite, approve and service real estate loans. Clear Capital’s ClearAVM uses public records, proprietary Clear Capital data and nationwide

catalog, educational resources, dedicated industry experts, and dependable, best-in-class client service. “We’re thrilled to partner with providers that simplify and accelerate the loan process for our business partners and the mortgage applicant,” said Bill Packer, executive vice president and chief operating officer of AFR. “Finicity is at the forefront of the industry and its technology plays an important part in turning a timeintensive process into a simple, customer-friendly, and therefore,

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SLK Global Solutions has announced that its property search solution, SmartProp, is now integrated with the Black Knight Exchange platform. The Exchange platform is Black Knight’s vendor aggregation software that enables lenders and their service providers to connect and conduct business securely. Lenders using Exchange can now place and track orders for title searches using SmartProp, a Web-based property search platform for ownership and lien reports that provides complete visibility into their production system. “This integration with the Black Knight Exchange platform will help us deliver a superior user experience for our clients. We are very excited to have this integration in place because it gives a whole new dynamic for getting title searches completed seamlessly through the SmartProp platform,” said Timothy Moreland, senior vice president of business development for title insurance solutions at SLK Global Solutions. SLK Global Solutions America President Alok Datta noted that this integration coupled with other enhancements to SmartProp will further strengthen the company’s ability and commitment to deliver the best technology-enabled platform solutions for lenders and title agents. “This makes SmartProp a more robust platform and gets closer to delivering the real business value we always envisioned,” Datta said. “Our customers can now not only track and place their title search orders real-time, but this integration also helps our lender clients reduce their overhead expenses by eliminating the need for manual intervention,” said Shannon Cobb, executive vice president at SLK Global Solutions.

multiple listing service (MLS) analytics to generate its estimates. The database that fuels ClearAVM’s modeling engine is updated hourly, which means ClearAVM users receive valuations that take advantage of the freshest information available. Integrating ClearAVM access into the LenderClose platform expands the number of tasks loan officers can complete inside a single sign-on interface. LenderClose and Clear Capital plan to expand integration of Clear Capital solutions into the platform, beginning with commercial evaluations later this year.

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Austin Convention Center in Austin, Texas

Brian Stoffers, CMB, Sworn in as 2020 MBA Chairman Brian Stoffers, CMB, global president, debt and structured finance at CBRE, has been sworn in as chairman of the Mortgage Bankers Association (MBA). Stoffers has been an active MBA member for more than 25 years, holding several leadership positions within the organization. He currently serves on MBA’s Executive Committee, is chairman of the Audit Committee, and co-chair of the GSE Reform Committee. Most recently, he served as 2019 chairman of MBA’s Diversity and Inclusion Committee. In addition, Stoffers previously served on the Commercial Real Estate/Multifamily Finance Board of Directors (COMBOG), and is the former chairman of the Task Force on GSE Reform and Capital Markets Committee. Susan Stewart, CEO at SWBC Mortgage and Kristy Fercho, president of Mortgage at Flagstar Bank, were also sworn in as

chairman-elect and vice chairman, respectively. “I am honored to serve as MBA’s 2020 Chairman and I am excited for the year ahead,” said Stoffers. “I look forward to working with Susan and Kristy to help MBA be successful and ensure that our members’ needs and issues are well served.” Stewart joined SWBC in 1989, and under her leadership, SWBC Mortgage has grown from three employees to 615 individuals operating in 39 states, with annual sales of $3 billion and a servicing portfolio exceeding $10 billion. She currently serves as a member of MBA’s board of directors, sits on MBA’s Residential Board of Governors (RESBOG), and is on the board of the MBA Opens Doors Foundation (ODF). In addition to serving on ODF’s board, both Stewart and SWBC Mortgage have been recognized as Guardian-level donors of the organization.

MBA’s 2019 ANNUAL CONVENTION & EXPO Fercho joined Flagstar Bank in 2017 after 15 years with Fannie Mae, where she served as senior vice president, customer delivery executive, responsible for the strategy and business performance of all single-family customers in the western United States. Prior to Fannie Mae, she worked for PepsiCo and Baxter Healthcare. Fercho currently serves as a member of MBA’s board of directors and sits on MBA’s Audit Committee, as well as RESBOG. She is also on the board of the Detroit Zoological Society and CityYear, and is a past president of the board of Habitat for Humanity, Chicago. Stoffers will chair the board of directors, which consists of 35 elected members and one ex-officio member, the MBA president and Chief Executive Officer Bob Broeksmit, CMB. MBA directors represent its commercial/multifamily, residential and associate membership. The Board sets the strategic direction for MBA and oversees management of the association’s affairs. “2020 is shaping up to be a busy year full of regulatory and legislative activities impacting our industry,” said Stoffers. “I look forward to working with MBA’s board of directors to lay out a strategy to ensure the association is aligned with, and working in, the best interests of its members.” The new members of MBA’s board of directors include: l Laura Escobar, Eagle Home Mortgage LLC l Marla Guillaume, Century Mortgage Company l John M. Hedlund, AmeriHome Mortgage Company l Mary Ann McGarry, Guild Mortgage Company l Gary Otten, MetLife Inc. l Kurt Pfotenhauer, First American Title Insurance Company l Erin Stafford, DBRS Inc.

Members remaining on MBA’s Board of Directors are: Brian F. Stoffers, CMB (Chairman), CBRE Capital Markets Susan T. Stewart (Chairman-Elect), SWBC Mortgage Kristy Fercho (Vice Chairman), Flagstar Bank, FSB Christopher M. George (Immediate Past Chairman), CMG Financial l Byron L. Boston, Dynex Capital Inc. l Todd Chamberlain, SunTrust Mortgage Inc. l Gary D. Clark, Sierra Pacific Mortgage Company Inc. l Jonathan Corr, Ellie Mae Inc. l Michael J. DeVito, Wells Fargo Home Mortgage l William C. Emerson, Quicken Loans and Rock Holdings Inc. l Matt Galligan, CIT l Mark A. Jones, AmeriFirst Home Mortgage l Christopher LaBianca, UBS Investment Bank l Angela Mago, KeyBank Real Estate Capital l Frank D. Martell, CoreLogic l Michael C. May, Newmark Knight Frank l Stanley C. Middleman, Freedom Mortgage Corporation l Peter R. Norden, HomeBridge Financial Services Inc. l Eduardo Perez, CMB, Equity Prime Mortgage LLC l Julie Piepho, CMB, Milestone Lending Consulting l Jay Plum, The Huntington National Bank l Tony Premer, Pacific Life Insurance Company l Andrew Rippert, Arch Capital Group Ltd. l Debra W. Still, CMB, Pulte Mortgage LLC l Jeffrey C. Taylor, Digital Risk LLC l Richard G. Thornberry, Radian Guaranty Inc. l William M. Walker, Walker & Dunlop LLC l Fowler C. Williams, CMB, AMP, Crescent Mortgage Company

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Housing Reform Liquidity Dominates MBA Annual Speeches

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the QM Patch, or any other issue, our message to legislators and regulators alike is the same: be smart and be careful. Our members, and American consumers, need clear policies and clear timelines. Actions should be gradual and telegraphed– a dial, not a switch. We’re telling them, in no uncertain terms: do not disrupt the market.” Mark Calabria, Director of the Federal Housing Finance Agency (FHFA), told the MBA audience that the GSEs were nowhere near ready to be released from their 11-yearold federal conservatorship. “One way to think about FHFA’s standards for safety and soundness is: Are Fannie and Freddie equipped to withstand a downturn on the scale of what we saw in 2007 and 2008?” Calabria said. “We know they cannot meet that standard right now. But I believe they are capable of and committed to getting there. In fact, today I think we see the strongest board and management teams in the history of these companies. I will measure progress by looking at whether they are moving in the right direction and as quickly as possible without jeopardizing their mission.” Calabria admitted that the GSEs were unable to “change their risk profiles overnight,” adding that the recently introduced reforms proposed by his agency and Trump Administration offer a guide to “begin the process of calibrating their risk to their capital levels.” Still, Calabria insisted that the process cannot proceed at a leisurely pace. “When tailoring risk, we will proceed thoughtfully,” he said. “But

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The question of housing finance reform and an ensured continuation of liquidity was front and center at the Mortgage Bankers Association’s (MBA) Annual Convention & Expo in Austin. MBA President and CEO Robert Broeksmit assured the convention audience that the trade group was “talking with leaders from both parties in Congress and we’re talking with every federal agency imaginable.” Broeksmit made it clear that government-sponsored enterprise (GSE) reform could not be a return to the pre-2008 status quo. “Our goal isn’t ‘recap and release,’” he said. “We recognize the need to rebuild capital, but we will fight to ensure that before the GSEs are released from conservatorship, we will have reforms in place–by rule and by legislation–that meet our core principles and will remain in place after conservatorship ends.” Broeksmit acknowledged that “leveling the playing field for private capital could mean a smaller GSE market share, which means it needs to be done with great care. It needs to ensure access to affordable credit–to preserve the mission of the GSEs to serve low-, moderate- and middle-income families–and to make sure there is liquidity nationwide through all market cycles.” However, Broeksmit insisted that speed should not be given priority over safety in the process. “The name of the game is action and caution,” he continued. “The balance between them is where we’ll find the stability you need. Whether it’s housing finance reform,

MBA’s 2019 ANNUAL CONVENTION & EXPO this does not mean moving slowly. Small adjustments to the footprint can pay significant dividends in trimming the tails of risk. Matching Fannie and Freddie’s risk profiles to their capital levels is also part of addressing overlaps between the enterprises and the Federal Housing Administration.” U.S. Department of Housing & Urban Development (HUD) Secretary Ben Carson also addressed MBA Convention attendees on the subject of liquidity, with a focus on Ginnie Mae’s role in the process. “Following the 2008 financial crisis, Ginnie Mae’s outstanding mortgage-backed security guaranty portfolio swelled nearly fourfold to over $2 trillion,” Carson said. “Then, as now, Ginnie Mae has been

able to fulfill its mission because of the full faith and credit guaranty of the Federal Government. Ginnie Mae could–if authorized by Congress–extend its explicit guaranty to mortgage-backed securities backed by conventional single family and multifamily mortgages, as the agency already has the experience of administering and managing the growth of its own mortgage-backed security portfolio.” Carson added that his department had called on Congress to “pass legislation granting the agency authority to administratively adjust its guaranty fee within a narrow, permissible range. This authority would allow Ginnie Mae to ensure these amounts are high enough to meet its statutory obligations, under even the most extreme circumstances.”

Pfotenhauer Honored by MBA With Woodward Distinguished Service Award

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The Mortgage Bankers Association (MBA) has honored Kurt Pfotenhauer, vice chairman of First American Title Insurance Company, with its Andrew D. Woodward Distinguished Service Award, presented in recognition of dedication and prominent service to MBA and the mortgage lending industry in a variety of capacities involving both legislative and regulatory activities. “Kurt is well-deserving of this award, as he has demonstrated tireless dedication to the mortgage industry,” said Brian Stoffers, 2020 MBA chairman, and global president, debt & structured finance at CBRE. “Throughout his extensive career, Kurt has become a fierce advocate for our industry, and I am honored to present him with this year’s Andrew D. Woodward Distinguished Service Award.” Pfotenhauer has more than 30 years of political and financial services industry experience. Prior to joining First American, Kurt served as chief executive officer of the Washington, D.C.-based American Land Title Association (ALTA). Prior to joining ALTA,

Pfotenhauer served as senior vice president of Government Affairs at MBA, where he was twice named one of Washington, D.C.’s top lobbyists. He previously served as chief of staff for U.S. Sen. Gordon Smith (R-OR) and U.S. Rep. Denny Smith (R-OR), and was vice president of public affairs for the United Parcel Service. Pfotenhauer currently serves on the MBA board of directors and board of directors of the Opens Doors Foundation, and sits on the Housing Policy Council’s Executive Committee. He previously chaired the Board of Directors of MERSCORP, and is past chair of MBA’s political action committee (MORPAC). He currently chairs the board of directors of the Mortgage Industry Standards Maintenance Organization (MISMO). The Woodward Distinguished Service Award is the highest honor an individual can receive from MBA members, and nominees for the Award must meet the following criteria: Be associated with an MBA member firm; compile a record of long, sustained and extraordinary service to MBA and the mortgage industry; and have a strong reputation for ethical and professional conduct.

MBA Opens Doors Foundation Recognizes Charitable Contributions MBA Opens Doors Foundation has announced its 2019 annual awards, recognizing those who have made lasting contributions to advance the Foundation’s mission of providing mortgage and rental assistance grants to parents and guardians caring for critically ill or injured children. The Opens Doors Foundation award winners for 2019 include: Community Champion Award: Jonathan Corr, president and CEO of Ellie Mae The Community Champion Award, created in 2013, recognizes an individual, group or company that has dedicated significant time and effort to advance the Foundation’s mission. Jonathan Corr exemplifies those traits and has led the Ellie Mae team in supporting the MBA Opens Doors Foundation

personally and professionally through the Ellie Mae Classic Golf Tournament, which first selected Opens Doors as the beneficiary of the Classic’s 2018 Monday Community Pro-Am. Ellie Mae and other sponsors, such as the PGA Tour, joined together in 2019 to raise more than $113,000 for Opens Doors. Founder’s Award: Karen Fratantoni, MD, Ph.D., pediatrician and medical director, Complex Care Program, Children’s National Medical System The Founder’s Award recognizes significant contributions to the Foundation’s mission of helping vulnerable families with critically ill or injured children remain in their homes while a child is in treatment. The award recognizes one or more individuals whose demonstrated action has occurred over a sustained period. Honorees exemplify the core values, spirit and essence on which Opens Doors was founded. Dr. Karen Fratantoni has served on the Opens Doors board of directors since 2012 and has spearheaded the Foundation’s relationships with a network of hospitals, helping Opens Doors to define a grant program that would lead to impact while not creating a burden for applicant families and social workers during a period of extreme stress.

MBA’s 2019 ANNUAL CONVENTION & EXPO Spirit Award: Rick Thornberry, chief executive officer at Radian and the team at Radian The Spirit Award recognizes a group of individuals, from one or more organizations, whose enthusiasm and support for Opens Doors brought new people and organizations to the Opens Doors roster of supporters and whose efforts amplified the impact the Foundation has on vulnerable families in America. As the Premier Sponsor of Concert MBA for the past nine years, including the 2019 Concert MBA, Rick Thornberry and the Radian team, have infused the MBA Annual Convention with the spirit of giving. In addition to sponsoring talent, such as James Taylor, John Legend, Kelly Clarkson and Keith Urban, who have donated personal guitars

and other instruments for the benefit of Opens Doors, Radian also challenged the mortgage banking community to join them in a Lip Sync Challenge in 2018. Combined with Concert MBA, Radian’s efforts resulted in more than $100,000 in donations to Opens Doors. “We are thrilled to honor these recipients for their commitment and sustained efforts in boosting the Opens Doors Foundation’s reach to help families in need across the country,” said Debra W. Still, CMB, president and CEO of Pulte Mortgage and Chairman of the Foundation’s board of directors. “The recipients’ hard work and dedication embody the mission of Opens Doors and its commitment to helping families with critically ill or injured children stay in their homes.”

MBA Recognizes Five Diversity and Inclusion Residential Leadership Award Winners

Market Outreach Strategies Award: SunTrust Banks Inc., Synovus and the Idaho Housing and Finance Association The Market Outreach Strategies Award recognizes company

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Organizational Diversity and Inclusion Award: FirstBank and Equity Prime Mortgage The Organizational Diversity and Inclusion award celebrates company initiatives that were specifically developed and designed to increase diversity and inclusion within the leadership and employee base of member companies, thereby leading to a mortgage banking industry that may better reflect and understand its customers. For companies with more than 1,000 employees, FirstBank is being awarded for its initiative on hiring and training a diverse employee population. FirstBank prides itself on employing individuals with strong moral compasses. With the help of FirstBank’s Director of Diversity and Diversity Committee, FirstBank’s D&I policy provides a framework to ensure that equality and equity are at the forefront of all business practices. The committee guides FirstBank to fostering, nurturing, and preserving a culture of inclusion at its organization. For companies with less than 1,000 employees, Equity Prime Mortgage is being recognized for its dedication to creating a diverse and welcoming culture for both employees and clients. Through its efforts, Equity Prime Mortgage creates an approach that fosters, celebrates and infuses diversity into the company’s core mission, which includes promoting an inclusive culture and improving financial performance and innovation.

initiatives that are specifically developed and designed to increase outreach, marketing, and products to attract customers from the industry’s fastest-growing market segments. For companies with more than 1,000 employees, SunTrust Banks Inc. is being awarded for its inclusive Lending/CRA plan. Its plan includes several innovative strategies aimed at supporting homebuyers, promoting sustainable homeownership, and providing greater stability within the communities it serves. With a deep understanding of its clients’ needs, SunTrust creates targeted solutions to benefit its client groups while supporting its referral partners and the communities it serves. For companies with less than 1,000 employees, Synovus is being recognized for its inclusion and diversity strategy, which was founded on the belief that improving inclusion and diversity is not just the right thing to do, but critical to the success of Synovus’ business. The program has three areas of focus: increasing minority representation across the organization; increasing the number of women in leadership positions; and improving inclusiveness in six areas identified by and prioritized through a team member survey. Several diversity initiatives were implemented in 2018, including revised job posting guidelines, leadership training, and the hiring of a diversity and inclusion director. For the non-lender category, Idaho Housing and Finance Association (IHFA) is being recognized for its The Finally Home! Homebuyer Education course, which helps first-time homebuyers during the homebuying process. IHFA devotes a variety of resources toward targeted marketing and in-person outreach to ensure that everyone in its community has the resources needed to make homeownership possible. In the past year, 46 percent of Finally Home! students were women; 24 percent identified as nonWhite, Hispanic or bi-racial. This year’s submissions were reviewed by two groups of judges: Members of MBA’s Diversity and Inclusion Committee and MBA staff. The companies were broken into two groups based on the number of employees, then were scored by the quality of their overall submission, identification of a target audience, and annual goals. Winners were also determined based on the level of success achieved by the diversion and inclusion enterprise and the replicability of the program. Innovative program approaches and potential success in broadening the culture of the organization through the values of diversity and inclusion were also considered.

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The Mortgage Bankers Association (MBA) has announced that five companies have been recognized as 2019 Diversity and Inclusion Residential Leadership Award recipients, recognizing MBA members for their leadership efforts in diversity and inclusion in two award categories: Organizational Diversity and Inclusion, and Market Outreach Strategies. “As we enter the fourth year of our Diversity and Inclusion Residential Leadership Awards, I am amazed to see the progress of the mortgage industry when it comes to creating successful D&I programs,” said Brian Stoffers, CMB, 2020 MBA chairman, and global president, debt and structured finance at CBRE. “This year’s recipients have an unwavering commitment to diversity and inclusion, and I look forward to seeing the future successes of their programs.” The five 2019 Diversity and Inclusion Residential Leadership Award winners are as follows:

MBA’s 2019 ANNUAL CONVENTION & EXPO

MBA’s Future Leaders Program Honors 72 Graduates

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The Mortgage Bankers Association (MBA) has recognized a total of 72 mortgage professionals–37 from the residential market segment and 35 from the commercial/multifamily market segment– in a graduation ceremony for MBA’s Future Leaders Program. “Each year, MBA’s Future Leaders Program enriches the careers of dedicated mortgage professionals who are looking to become successful leaders in the real estate finance industry,” said Brian Stoffers, CMB, 2020 MBA chairman, and global president, debt & structured finance at CBRE. “As the graduates continue to excel in their careers, I look forward to seeing new, innovative leadership techniques, as well as strategies, that will bolster the future success of our industry.” MBA’s Future Leaders Program, now in its 23rd year, delivers a comprehensive leadership training experience for selected

participants through three sessions offered throughout the year. These handson sessions are geared toward customized assessment of leadership skills and their strategic application; business analysis; and problem-solving and experiential learning through collaboration, networking, and peer group interaction. The new class will join a national network of more than 640 real estate finance professionals who have been acclaimed by the industry as its next generation of leaders. This is the sixth class to include graduates who completed a program specific to commercial/multifamily real estate finance. Initiated in 1996 by then-MBA President Ron J. McCord, CMB, the Future Leaders Program delivers a highly regarded curriculum focusing on leadership and business analysis skills that help candidates advance their careers in real estate finance.

Congratulations to the following graduates of the residential program: l Michelle Adams, Property Asset Management Manager, Wells Fargo Home Mortgage Bankers Association l Delfino Aguilar, Regional Vice President, Stearns Lending l Hector Amendola, Senior Vice President, Retail Lending, Alterra Home Loans l Jared Blackburn, Director Mortgage Product & Strategy, Ally Bank l Steve Bostater, Vice President, Area Sales Manager III, Fifth Third Bank l Barry Brantley, Senior Vice President, Regional Sales Manager, South State Bank l Daniel Carson, Senior Vice President, Willow Bend Mortgage l Lindsay Chatman, AMP, Structured Transactions Director, Freddie Mac l Brandon Cottone, Director of Branch Support, Benchmark Mortgage l Joseph De Luna, Quality Control Assistant Manager, DHI Mortgage Company l Victoria DeLuce, EVP, Capital Markets, Success Mortgage Partners l Kenneth Flaherty, AMP, Home Equity Underwriting Manager, VP, The Huntington National Bank l Daniel García-Vélez, Senior Marketing Program Manager, Channel Strategies & Digital Marketing, Mortgage Guaranty Insurance Corporation l Matthew Geis, Senior Financial Analyst, HomeServices Lending l Andrew Gibson, Manager, Sales Development, Roostify l Lora Grenier, National Account Executive, DataVerify l Paige Hagerhorst, AMP, Senior Vice President, Technology & Business Analytics, McLean Mortgage Corporation l Julia Hoffman, Vice President of Technology, Product Manager, PrimeLending–A PlainsCapital Company l Michelle Juarez, Vice President, Business Systems, SWBC Mortgage Corporation l Selene Kellam, Chief Operations Officer, Thrive Mortgage l David Kinney, Special Products Manager, Cenlar FSB l Nicole Krukovsky, Vice President, Midwest Division, Arch Mortgage Insurance Company l Colin Luba, Vice President, Credit Officer, PlainsCapitalBank– National Warehouse Lending l Tyler McGee, AVP, Correspondence, RoundPoint Mortgage Servicing Corporation l Lara Miramontes, Senior Correspondent Sales Executive, Plaza Home Mortgage Inc.

l Shannon Moore, Director, Real Estate Operational Governance, USAA l Sara Niemann-Davis, Transaction Manager, Pingora Asset Management l Russell Okoth, Vice President, Information Security, Mr. Cooper l Christopher Patrick, Vice President of Internal Audit, RoundPoint Mortgage Servicing Corporation l Jennifer Peterson, AMP, Structured Transactions Director, Freddie Mac l Dianna Rodriguez, Paralegal, First Guaranty Mortgage Corporation l Lauren Rogers, Consumer Direct Sales Manager, South State Bank l Ryan Rosales, Director, Mortgage Strategy & Business Development, Experian Information Solutions l Susan Simpson, Quality Control Assistant Manager, DHI Mortgage Company l Joe Thompson, Senior Vice President, South Texas Regional Manager, PrimeLending–A PlainsCapital Company l Richard Tucker, Senior Vice President, Loan Operations, Waterstone Mortgage l Jake Williams, Mortgage Loan Originator, Lake Michigan Credit Union Congratulations to the following graduates of the commercial/multifamily program: l Brooke Boyarsky, Chief Operating Officer, Mortgage Banking, Berkadia Commercial Mortgage l Jennifer Carey, Assistant Vice President, DBRS Inc. l Dustin Carpenter, Director–Asset Management, Situs l Charles Conkling, Senior Vice President and Chief Underwriter, Walker & Dunlop l David Connors, Managing Director, John Hancock Life Insurance Company l Chelsea Cutler, Managing Director–Debt & Structured Finance, CBRE Capital Markets l Patrick Dähnert, Managing Director, Essex Financial Services LLC l Ronald Darby, Managing Director, Greystone & Co. Inc. l Paul Freese, CPA, Senior Director–SMI Operations, Accounting & Finance, StanCorp Mortgage Investors l Sarah Hadley, Vice President–Collateral Surveillance, PNC Bank l Ryan Haines, Vice President–Servicing, Berkadia Commercial Mortgage l James Hilton, Vice President/Mortgage Loan Originator, Grandbridge Real Estate Capital

MBA’s 2019 ANNUAL CONVENTION & EXPO l Victoria Khoury, Vice President, Deputy Chief Underwriter, CBRE Capital Markets l Kelley Klobetanz, Managing Director, Greystone & Co. Inc. l Barbara Lloyd, Managing Director–FHA Construction Lending, Housing and Healthcare Finance, LLC l Lisa Lundeen, VP–GSE Portfolio Management, Merchants Capital Corp. l Scott MacIntosh, Director–Commercial Real Estate Capital Markets & Finance, Wells Fargo l Brendan McBreen, Director of Underwriting & Credit, Western Region, Freddie Mac Multifamily l Jason Miller, Principal–Multifamily Origination, PGIM Real Estate Finance l Heather Olson, Vice President, Walker & Dunlop l Lain Porter, AMP, Director–Mortgage Loan Investments, American National Insurance Company l Scott Rosburg, Senior Analyst, Allstate Investments LLC l Devon Roxbury, Supervisor, Loan Closing, StanCorp Mortgage Investors

l Blake Rudolph, Vice President, Servicing, PGIM Real Estate Finance l Fortunat Semadeni, FHA Chief Underwriter, SVP, NorthMarq Capital l Pratik Shah, Vice President, Wells Fargo l Josh Simon, Managing Director–Producer, HFF l Joe Tarantino, Senior Vice President, Walker & Dunlop l Sarah Thomas, Vice President–Servicing, Wells Fargo l Peter Trazzera, Vice President–Institutional Capital (Healthcare), KeyBank Real Estate Capital l Truss Tyson, Vice President–Loan Servicing & Asset Management, KeyBank Real Estate Capital l Kimberly Weber, Vice President–Portfolio Manager, Grandbridge Real Estate Capital l Terry Wellman, Senior Vice President, FHA Chief Underwriter, PNC Bank l Jonathan Woodland, Vice President, Senior Underwriter–Agency Group, KeyBank Real Estate Capital l Ann Zager, Assistant Vice President, Bellwether Enterprise Real Estate Capital

MBA’s CMB Society Awards Frank Donnelly With Rosser Lifetime Achievement Award emerging and experienced mortgage professionals is unrivaled.” Donnelly is a 30-year veteran of the mortgage banking industry in the Washington, D.C., area. He is a Master Certified Mortgage Banker, the highest designation in the real estate finance industry; an Accredited Mortgage Professional; and a Certified Financial Planner. He has been an instructor with the MBA School of Mortgage Banking for 12-plus years and has served on countless exam panels. As a Master CMB, he has sponsored and mentored many up-and-coming candidates in the program. Donnelly is also very active in the Mortgage Bankers Association of Metropolitan Washington, having served on numerous committees and as a past president and chairman of the board. He has also served as a member-at-large for the CMB Society.

The Mortgage Bankers Association Political Action Committee (MORPAC) has awarded Mike Heagerty, CCMS, principal and chief financial officer with Newmark Realty Capital, with the 2019 Schumacher-Bolduc Award. The Award was given to Heagerty in recognition of his tireless work on behalf of MBA’s political advocacy programs and the mortgage lending industry. “The Schumacher-Bolduc Award is for individuals who exemplify MORPAC’s mission and display commitment to expanding the reach of MBA’s political advocacy efforts, and I can think of nobody more deserving of this honor than Mike,” said Brian Stoffers, CMB, 2020 MBA chairman, and global president, debt and structured finance at CBRE. “His dedication to nurturing MBA’s political advocacy programs is unmatched, and that is reflected in his

tireless commitment and success.” Heagerty is an active Mortgage Action Alliance (MAA) member, a MORPAC contributor, and regularly attends MBA’s National Advocacy Conference (NAC). He leads an annual MAA enrollment campaign at Newmark Realty Capital and has an 85 percent participation rate among his employees. Heagerty also finds creative ways to promote MAA through his participation in several MBA policy committees/councils. Outside of his political advocacy efforts, Heagerty was the 2019 Chairman of the Commercial Real Estate/Multifamily Finance Board of Governors (COMBOG) Committee. During his tenure as chairman, Heagerty consistently made MAA a priority in meetings and conference calls, and led the charge to achieve 100 percent COMBOG participation in MAA. Through his efforts, COMBOG yielded a record 98 percent participation rate.

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Mike Heagerty Named 2019 Distinguished Schumacher-Bolduc Award Winner

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The Certified Mortgage Bankers (CMB) Society has presented Frank Donnelly, CFP, CMB, mortgage branch manager at BB&T Home Mortgage, with its E. Michael Rosser, CMB, Mortgage Bankers Association (MBA) Education Lifetime Achievement Award. The Award is presented to an individual who has shown outstanding service to the association, Certified Mortgage Bankers Society, and real estate finance industry. “Frank’s dedication to educating the mortgage industry has been phenomenal, and I am thrilled to see his efforts recognized,” said Brent Green, CMB, 2019 chair of the CMB Society. “His influence throughout the mortgage industry is well-known, and his efforts in assisting both

MBA’s 2019 ANNUAL CONVENTION & EXPO

Susan Milazzo Honored With MBA’s Burton C. Wood Award The Mortgage Bankers Association (MBA) has presented its annual Burton C. Wood Legislative Service Award to California Mortgage Bankers Association (California MBA) Chief Executive Officer Susan Milazzo. The Burton C. Wood Award is given annually to an MBA member employee in recognition of his or her sustained superior service to the association and the real estate finance industry as a whole. Throughout her tenure since 2004 as California MBA’s CEO, Milazzo has been a strong advocate for MBA and its political action programs. Milazzo has helped grow MBA’s annual National Advocacy Conference, and consistently serves as a state leader for her delegation during the conference’s ”advocacy day” on Capitol

Hill. Milazzo has also been a steadfast leader when advocating for California issues, including leading efforts on data privacy laws and defeating a recent rent control ballot initiative (Prop 10). “Susan has dedicated her career to addressing the legislative and regulatory challenges facing our industry,” said Brian Stoffers, CMB, 2020 MBA chairman, and global president, debt and structured finance at CBRE. “She has been a strong advocate and leader for our industry, and I can think of nobody more deserving for this recognition. It is an honor to present her with this year’s Burton C. Wood Award.” The Award is named after the late MBA Legislative Counsel Burton C. Wood, who devoted more than 30 years of service to MBA’s advocacy efforts, and passed away in 2010. Wood was the first recipient of the award in 1990, and his lobbying skills gained the respect and attention of both Republicans and Democrats alike.

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FirstClose Announces the FirstClose ONE Platform

Fidelity National Financial Launches Digital Closing Hub

Fidelity National Financial (FNF) has announced the launch of its new Digital Closing Hub, available to FNF title agents nationwide. “We are proud of all the work that we’ve done when it comes to digital closings and Remote Online Notarization,” said Steve Day, president of National Agency Operations for Fidelity National Financial. “Our goal is to give our agents the technology and strength they need to succeed, but we are focused on their education too. This new Hub is the key our agents need as they unlock the power of digital closings for the customers in their markets.” The Digital Closing Hub will be full of content focused on industry news, educational materials for agents and their office staff, marketing tips when it comes to dealing with lenders and real estate agents, and a list of approved vendors to help with the digital closing process. “Our goal is to ensure our agents are fully informed on all the latest news and education regarding digital closings and remote online notarization,” said Jason Nadeau, Fidelity National Financial’s chief digital officer. “This new Hub will provide them with the material and information continued on page 47

n National Mortgage Professional Magazine n NOVEMBER 2019

FirstClose has announced the launch of its FirstClose ONE platform, designed to give lenders access to all the tools they need to be successful in home equity lending, in one place. FirstClose ONE combines property and borrower data intelligence, consolidated vendor management, and a suite of rich UX/UI features to ensure that lenders are streamlining their loan fulfillment process in order to maximize profits. FirstClose ONE includes SMART Select, which uses intelligence logic to automatically select the title vendor with the best service, best price and best turn-time for each financial institution’s

lending footprint. FirstClose ONE also includes a rich and smooth user interface, seamless user experience, one-screen navigation, live production reports, and custom workflow management tools. “We’ve been working on this initiative for the past year and it’s great to finally see it all come together,” said Tedd Smith, chief executive officer and co-founder of FirstClose. “Our product team has done a tremendous job of listening to our lenders and creating a platform that’s truly designed for their needs. We are confident with this great technology that lenders can be more efficient and productive with FirstClose ONE.”

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streamlined VA refinance program, which allows them to finance closing costs and avoid paying for a full appraisal,” said NewDay USA Chairman Retired Rear Admiral Thomas Lynch. “Having earned their VA benefits through their honorable service to our country, and with rates near their lowest levels in a halfcentury, many veterans and active-duty servicemembers can take advantage of a once-in-alifetime opportunity to lower their mortgage payments. We’re trying to help every veteran and service member get back on the road to building their savings.” To qualify, borrowers must have made six payments on their VA loan and be able to lower their current interest rate by 0.50 percent if they are refinancing a fixed-rate mortgage to another new fixed-rate loan. Once they have applied for a loan with NewDay, customers will be guided through the refinance process by a NewDay account executive who has been thoroughly trained about the military lifestyle and how to best serve military borrowers. “Today’s low interest rates have created an opportunity for all current and former members of the military to take greater advantage of their VA benefits,” said NewDay USA Founder and Chief Executive Officer Rob Posner. “We are honored play our part.”

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Addressing Post-Housing Crisis Issues

Pilot Program Connecting MLOs and Real Estate Agents to Housing Counselors BY PAM MARRON rior to being selected for the U.S. Department of Housing & Urban Development’s (HUD) Housing Counseling Federal Advisory Committee (HCFAC)1, my knowledge of what HUD-approved housing counselors could do to assist clients was very little. From the very first meeting during my three-year term from 2016 through 2019, so many areas of help for challenged clients were discovered. By 2019, a pilot program that connects mortgage loan originators and real estate agents to HUDapproved housing counselors to assist challenged clients had begun. The pilot program focuses on three top needs of potential homebuyers: 1. Help with credit issues and building credit 2. Assessing for available downpayment assistance 3. Budgeting for a home purchase

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The Tampa Bay Community Development Corporation (TBCDC)2 is the Florida housing counseling agency that has worked on this rollout for the last year. Details such as cost, multiple revisions of a document called a “Memorandum of Understanding (MOU)3,” how client progress would be communicated back to the referring party, and using the Fee for Service Model4 to construct a method of payment that is tied to a credit for the client towards closing costs on their mortgage were hammered out. While being on the HUD Housing Counseling Federal Advisory Committee, I continually checked to make sure that each step of this

effort was being done correctly. And on Sept. 10, 2019, the CFPB issued a No-Action Letter (NAL) that states … the Bureau will not take supervisory or enforcement action under RESPA against HUDcertified Housing Counseling Agencies (HCAs) that have entered into certain fee-for-service arrangements with lenders for prepurchase housing counseling services.5 This helped immensely with clarity needed for the MOU. The method of payment to Housing Counseling Agencies (HCA) that this pilot is using is called a Fee for Service. Referred clients pay a pre-determined fee upfront to the housing counseling agency. That fee is credited back to the client closing costs on their home purchase by the referring mortgage loan originator or realtor who signs the MOU. Using the Fee for Service model allows two benefits: 1. Encourages clients above Low- to Moderate-Income (LMI)6 levels to utilize housing counseling services. Historically, HCA services have been geared to LMI income levels and below. 2. Provides a funding mechanism for independent loan originators to utilize housing counseling services with an incentive for the client if they return to same referring loan originator who signed the MOU. l Why important? Bank loan originators often form partnerships with housing counseling agencies through their institutions that can pay for housing counseling services by using Community Reinvestment Act (CRA) funds. Independent loan originators do not have CRA funds.

A few extra points: 1. The client is not required to return to the referring loan originator or real estate agent. However, the credit is only available from the signor of the MOU. 2. Real estate agents can also sign an MOU and provide a credit towards the home closing. This MOU is being developed now. 3. Businesses can utilize this pilot program as well. Recently, I spoke with a forward-thinking entrepreneur who thought this program could be helpful to his employees who work at his franchise locations. Kudos to businesspeople who realize the benefit of assisting employees into homeownership! 4. A downpayment assistance (DPA) matrix that includes

wholesaler DPA programs is being developed now and will be available to HCA’s to assess clients for all available DPA programs. 5. Millennials often need help building credit and budgeting for a home purchase. Their excitement when they see the end of the tunnel is inspiring! Thanks to my colleagues on the HUD HCFAC and especially to Sarah Gerecke who has inspired me more than you know. Thank you to the Tampa Bay CDC … Wanda and Beverly … who have worked so hard to make this pilot a reality. And thank you to National Mortgage Professional Magazine for allowing the reported progress of this effort to be chronicled in your monthly publication. Stay tuned!

Footnotes 1—Housing Counseling Federal Advisory Committee (hudexchange.info/programs/housingcounseling/federal-advisory-committee). 2—Tampa Bay CDC (tampabaycdc.org). 3—Memorandum of Understanding (MOU): HUD Housing Counseling Program Handbook 7610.1, Pg. 68 (hud.gov/sites/documents/76101HSGH.PDF). 4—Fee for Service|U.S. Department of HUD/Office of Housing Counseling/Model Funding Agreements and Fee Structures/Fee for Service specifically noted on pgs. 2 and 4, but touched upon throughout handbook (files.hudexchange.info/resources/documents/Housing-Counseling-Model-FundingAgreements-FeeStructures.pdf). 5—CFPB Issues Policies to Facilitate Compliance and Promote Innovation/First No-Action Letter Issued to HUD Housing Counseling Agencies/Sept. 10, 2019 (consumerfinance.gov/about-us/newsroom/bureauissues-policies-facilitate-compliancepromote-innovation). 6—Low to Moderate Income (LMI) Levels: Low and Moderate Income Census Tract Data Analytics/FFIEC “Census 2019” Census Tract Characteristics Interactive Table (proximityone.com/tractslmi.htm).

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) 375-8986, email PMarron@InnovativeMortgage.onmicrosoft.com or visit HousingCrisisStories.com, CloseWithPam.com or 8Problems.com.

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Five Tips for Building a Con ecently, I spoke at AFN’s Branch Manager Conference and was asked about my views on how mortgage loan originators can achieve better results with content marketing. I discussed in-depth about how we need to get to the consumer first, grabbing their attention, and more importantly, retaining that attention. This is where the local MLO is going to win. I had some great conversations with MLOs after my talk and my message resonated with them to where they were excited to start. It is at that point where a lot of MLOs find trouble. “Where do I start and how do I begin?,” they generally ask. It is usually the top question I get after anything I talk about, so that is what this edition of “The Shred Marketer” will be about. Stop me if you have heard/seen this type of marketing ...

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l l l l

Here is what the bond market is doing ... Rates experienced moderate to low volatility ... Last week, the MBS market improved by ... Although business is good, I am always happy to help with your referrals ... l Flyers on loan programs!! I see it every day on social media, and I see every day that these posts get little to ZERO engagement. Most of the time, these are automated posts that are the same as every other MLO that is using those services. I think we can all agree that in today’s online world, we need our marketing to stand out and be different. In this industry, people do business with you because they know YOU, like YOU and trust YOU. YOU are the face of your brand. and YOU are the one people want to have a connection

with. The top producers I know have this strategy down cold. You start by putting a spotlight on your value proposition, which is a major key to getting new business. It is for this reason that your marketing should not be canned or automated with rates and industry news. Instead, focus on making connections and creating commonality with your audience. Don’t get me wrong … there is a time and place for rates and news if you can be creative with it. With the state of our current digital world with low attention spans and the need for “thumb stopping” imagery, posting about rates and industry news alone won’t cut it. But, by taking the time to learn what the consumers care about, what they are searching for and creating your content marketing strategy to match, can make all the difference. This is why we talk about how to use Google to help them create content and I show MLOs tools that can be used to go deep into trending search terms. As MLOs, you all have a ton of expertise and experience on these mortgage topics, which happens to be exactly what consumers are searching for. They want experts to answer the questions they have, and that is where you can start getting your brand in front of them. With that, here are my “Pro Tips for MLOs” on where to start with creating a content marketing strategy … 1. Stop thinking about ROI. Marketing is a marathon, not a sprint. Don’t look for instant

ontent Marketing Strategy success with any one tactic. Have patience, try everything and give it time. 2. Be your own customer. Think about marketing messages you respond to yourself as a consumer. Too often, loan officers think about what THEY like as opposed to what their CLIENTS like. 3. Be where your competitor’s aren’t. Right now, there is still a tremendous opportunity to grab attention and reach online. Using voice marketing like Podcasts and Flash Briefings to own market share before the rest of the industry catches on.

Jason Frazier is the chief creative officer and co-founder of Shred Media. Frazier has more than 20 years of expertise in marketing, technology startups and venture capital, holding various senior-level positions. Frazier is an award winning marketer, voice marketing evangelist, and a national marketing speaker. He currently hosts three successful podcasts, the Mortgage X, Shred X, and Originator X. Jason may be reached by phone at (801) 702-3176 or e-mail Jason@ShredMedia.com.

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5. Focus on the relationship, not the loan transaction. Don’t think of your clients as leads. These are people, and you are helping them with one of the largest financial transactions they’ll experience. Take the opportunity to connect with the emotions of buying a house so you can create a relationship that leads to a customer with lifetime value.

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4. Give, give, give then ask. Based off of Gary Vaynerchuk’s book, Jab Jab Jab, Right Hook, add value above all else. Share your knowledge, and establish yourself as a trusted resource before asking people to do business with you.

Independent Mortgage Originators By Andy W. Harris, CRMS

Jeff Foody Northwest Reverse Mortgage LLC NMLS#: 253303 / NMLS#: 1834787 NWReverse.com

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Tell our readers a bit about yourself. Jeff Foody: I have been serving the reverse mortgage industry since 2002, a time when it was a relatively obscure concept. Since then, the industry has evolved to where reverse mortgages are widely understood and are often used by thousands of homeowners who 62 and older. I have been called one of the country’s foremost experts on reverse mortgages, and frequently present the benefits of the reverse mortgage to large audiences. As of 2019, I am the proud owner of my own reverse mortgage brokerage, Northwest Reverse Mortgage in Clackamas, Ore. My belief in the advantages of reverse mortgages is so strong that even my parents are happily enjoying one of their own. I understand you are a mortgage broker now after previously working as a mortgage banker. What motivated you to make the change? Jeff Foody: As I am sure, most bankers eventually wake up one day and notice, we were paying a premium for services we did not require. We were working for a traditional mortgage lender that did not understand—nor were capable of—offering us any level of support for our specialized area of production. We were constrained to trying to fit into a mold of traditional mortgage banking that did not offer us any level of control over our business. Being a broker, we are able stop wasting time, energy, effort and money in an unproductive environment. What would you say so far are the biggest differences you’ve experienced coming from the retail side? Jeff Foody: Control. There is a great deal of freedom in being able to decide when and how resources are being deployed in the most productive areas. We have so many more options now. Having more options means we can better cater to our client’s needs. How would you compare pricing when compared to the mortgage banker world? Jeff Foody: I was under the impression, as I am sure many mortgage bankers are, that being a part of larger lender was somehow financially beneficial to us and to our clients. Something about bulk production allowing for better pricing, but I could not have been more wrong. I was shocked at how infinitesimal the pricing difference was that was in no way worth the amount of money I was giving up to the retail mortgage lender. I was shocked. Knowing what I know now, I cannot imagine doing it any other way. I only wish I had done it sooner and wish all mortgage bankers knew the benefits of brokering. What are you seeing in your local market in terms of trends, inventory and consumer/real estate agent mortgage education? Jeff Foody: Reverse mortgages are still a relatively obscure concept for a lot

of folks, there is a great deal of misinformation. Our goal is to educate people about this product, not just the consumer, but their network of professional advisors. We try to educate financial advisors on how to use a reverse mortgage to fund their client’s retirement planning. We are seeing more seniors who are unprepared or underprepared for retirement. From a real estate agent education perspective, we think it is vital that they learn about this program so they can be able to provide options for their clients. More seniors want to downsize, but aren’t aware they could buy a new home with a reverse mortgage and not have a monthly mortgage payment. The educational opportunities to learn about reverse mortgages are slim. We are always looking for new ways to educate more people. It is our mission to get the word out about this loan option. We offer CE classes to real estate agents on how to use the reverse product to increase a borrower’s buying power or to pick up more listings. We have videos and a blog on our Web site (NWReverse.com) that help explain some of the “ins and outs” and provide educational seminars to explain how this loan works. 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? Jeff Foody: Being a mortgage broker has been liberating. We were under the impression, as a banker, that being a mortgage broker was risky and unpredictable. That has not been the case. We have been able to control a lot more of our business, down to the vendors we choose and the timelines we follow. Our weekly schedules are now dictated by us and our needs. Everyone I talk to who works as a mortgage banker. I can’t help but try and convince them of the error of their ways. I just keep thinking, “If you only knew!?” What would you say are your best forms of marketing today to generate new business? Jeff Foody: Because we are so specialized and very few people do what we do, the vast majority of our business comes from referral partners. We have long established ourselves as THE local expert, so we get a lot of referral business from credit unions and banks, as well as other mortgage bankers and brokers. But since we also focus on dispelling the misinformation about reverse mortgages to Oregonians everywhere, we also do mailers, newspaper articles, TV and radio commercials, and just generally being active in our communities.

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.

NEW TO MARKET continued from page 39

they need to stay current on these topics for their customers. We are just at the beginning of this digital revolution, and FNF is proud to be ahead of the curve for our agents. Whether they are ready to go fully digital now with their lenders or just wanting to explore this topic for customer conversations down the road, the new Digital Closing Hub will be full of information that is useful and engaging.” Black Knight Unveils Regulatory Assist Solution

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DataVerify has announced that it is now providing flood zone determinations to the mortgage industry. Life-of-loan tracking, Census tract data, borrower’s notices, and aerial map copy makes DataVerify Flood Services a single-source for flood zone determinations. DataVerify Flood Services focuses on accuracy and delivering flood zone determination solutions that save lenders time and money. “DataVerify now provides flood determinations prepared by DataVerify Flood Services, a sister company previously known as FZDS,” said DataVerify President Brad Bogel. “Recently rebranded to reflect DataVerify’s commitment to meet our customers’ demands and create more efficient workflow, DataVerify Flood Services is an important asset that we can now make available.” As a National Flood Determination Association member company, DataVerify Flood Services offers state-ofthe-art mapping, tracking, convenient reporting options, and dependable flood zone determinations. Leading-edge technology enables DataVerify Flood Services to provide timely and reliable determinations during the lending process while enabling reliable property tracking throughout the life of the loan, thus ensuring its status remains compliant with the mandatory purchase requirement.

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Black Knight Inc. is now offering its Regulatory Assist solution, which is designed to work with both the Black Knight Empower loan origination system and other loan origination in streamlining compliance-testing process. According to the Jacksonville, Fla.-based company, Regulatory Assist is a centralized rules engine that can perform a broad scope of both state and federal loan-level compliance validation tests at greater speeds. As a result, clients can to run “lightsout” validations based on the client’s configuration, with no manual intervention by leveraging the Empower Orchestration Engine, or run specific regulatory tests from a “Quick Select” screen. Regulatory Assist displays an overall risk level and other important messages to assist clients with understanding test results while alerting lenders when actions may be required. Test results are saved as a PDF and stored in the Empower document repository for future reference. “Black Knight offers several services today to support our clients’ compliance requirements, and we are excited to expand that support with the launch of Regulatory Assist,” said Rich Gagliano, president of Black Knight Origination Technologies. “Compliance testing can add significant time and cost to the loan origination process. By embedding state and federal compliance checks in the origination process via Empower, Regulatory Assist will significantly streamline loan-level testing, which can result in reduced operational costs.”

DataVerify Now Offering Flood Zone Determinations

The D n my senior year of college, a required class, as part of the demands for graduation was “Psychological Statistics” … an impossible course for someone as limited, mathematically speaking, as me. There was a day that became two, then three, where our professor Dr. Arnessen, a German born mathematical genius who told “US,” then wrote for “US” the derivation of “K.” “Us” was about 40 seniors hoping to acquire a Bachelor’s Degree in Psychology at St. Joseph’s College, now University, in Philadelphia. He was the most difficult professor that had raised chalk in any class I had taken. Difficult because of two simple reasons: First, he spoke with the very hard accent of his native land and, second, because he was just an awful “teacher.” Most of the things he said were completely out of bounds for almost everyone in the class, even when he was able to suppress his accent. The small amphitheater held no more than 100 seats, and since we occupied less than half, I found that being in the front of the class would be the best for me. Some of the smart-assess sat up at the top or back of the room. The front and one side of the room held four greenboards, two in the front and two on the right side. He announced, about two weeks into the first semester, that he was going to give us the derivation of “K.” He wasn’t going to teach it, he was going to give it to us. Someone asked him what it was and in his unintelligible way he related to us that the question was stupid, just copy it as he wrote it. So, he started on the green board in the front, left hand side, to write numbers and symbols. The symbols represented other numbers, none of which he explained, ever. He continued to write on that first panel, then moved on to the second, third and fourth, then back to one. First, he erased all he had written then started to continue to write. He was copying what he was writing from a hand-held sheaf of papers. He wrote for the

The

Mortgage

Godfather

Derivation of K entire 40 minutes and then left the classroom. We copied. The next day and for three days in total, from one green board to the next and so on and so forth, he just copied from this cluster of papers, until, at the end, he put an equal sign followed by “K.” He stopped, the class was dismissed and we all left. The subject was never discussed again. The class was over. Inexplicably, both before and after this derivation of “K” episode, he was trying to teach us the mathematics of statistics. Utterly impossible. It isn’t fair to say I was lost. I was dumfounded as if I was in a class of quantum physics and still had not learned my A-B-C’s or even knew that numbers existed. Sharing my frustrations with my classmates was silly. We all found out pretty quickly that everyone was lost. He had told us at the beginning of the semester that the entire grade was going to be based on one final exam. ONE! How was it possible to get a passing grade in a subject that I knew less of than before I had entered the classroom. What a conundrum. I had a limited number of choices and after eliminating the hard ones, chose, what appeared to me, the one solution to my problem. I would learn statistics myself. I would teach myself to understand what this awful man was unable to do. Off to the Philadelphia Library I trotted. The mission of the Free Library of Philadelphia is “to advance literacy, guide learning, and inspire curiosity.” I was going to take advantage of every part of that mission. It was there I found the most basic books on statistics that could be found and began my educational journey into the unknown. From the time I decided to teach myself, I’m remembering it was about four weeks until a mid-term exam was going to be given. Plenty of time, plenty. From daily class dismissal until the library closed, I spent almost every waking hour studying. I had to pass that course. There was no way I was going to summer school. More than just the

afternoons, I additionally spent about four weekends immersed in the books that I found. It was “nose-in-the-books” from opening to closing. I worked my way up to advanced high school texts and taught myself the most complicated mathematics that has ever come my way. Learning is the most basic of instincts. From the first time that children can speak, they are constantly asking questions. Daddy, what does this mean? Mommy, what is that? More and more questions enter our conversations than ever. Now we have a smartphone that can answer almost any question that can be asked or sought after. When time came for the midterm exam, I felt confident in my ability to understand what was being discussed in the classroom. Notice that I didn’t say “taught,” because as I’ve written above, our esteemed professor could not “teach.” Anyway, he gave a test, and the results were as expected: One person had an “A,” one had a “D,” and the rest of the 40 of us had “F’s.” I had the “A.” Me, the guy who knew nothing when we started, had not only passed, but got every answer correct. I was truly ecstatic. Dr. Arnessen announced that because of the embarrassing results, he would therefore repeat the entire first half of the semester and give another exam at the end of the term. He did both things, but still, almost no one was able to absorb his instructions. He then gave the same exam and that SOB who saw the same answers that I had given before, not making any comments on my answers, gave me a “C.” I wound up appealing to the dean of students who passed me off with a dismissal of my complaint. I was really pissed. But it did me no good. That terrible man gave me a “C” for my final grade, with no explanation or logic. He said that was what I deserved. Learning is so important. When you know the intricacies of your business, both the

public and potential referral sources will be drawn to you. Your referral sources will hold you up to be an expert at your business. Seeking those accolades and titles is incredibly important to your success. I expect that every person I coach to do exactly what I did. Why? Because I

BY RALPH LOVUOLO SR.

know the value of knowledge. It has been so valuable in the development of my business. Knowledge of your business cannot be exaggerated. Learn everything you can about everything you can. Using knowledge will enhance your life and your business. Go for it every day.

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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For for more information, visit nrmlaonline.org *The CRMP designation is available to members and non-members of NRMLA.

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A Salute to the Heroes of Homeownership Honoring Our Veterans

By Beverly Ray Frase

hinking about our veterans and how best to honor them in 2019, it occurred to me that one of the best stories lies in you, the “Boots Across America” working with our military and their families across the nation. Even before the first Certified Military Home Specialist (CMHS) course was written and trained in 2010, many of you were out there doing your best to deliver the most appropriate loan products and services you could to our active duty military servicemembers and their families, our veterans, retirees, and guard and reserve members. Once I hit the road to train the CMHS course nationally, the drive was on to make outstanding skilled services a priority to a very underserved niche market. What we’ve seen since then has been phenomenal! Met with the most enthusiastic crowds I’ve ever seen, eager classes of hundreds at a time sat through a two-hour “fire hose” class to earn their CMHS certifications and go forth to do whatever they could to help give back to those who dedicate their lives to all of us. What started as groups of housing professionals who showed up with wide-eyed trepidation to give it their best shot, always ended with smiling lenders, real estate agents and housing counselors who knew they had the skills to confidently put our nation’s heroes into homes and budgets they could afford. The impact this has had on our military families has been enormous. Remember, this gives our deployed members, especially, the freedom to concentrate on their job at hand without worrying about housing issues back on the home front. The biggest constant we always had, no matter the size or location of the class, was this overwhelming response: “We can’t wait to get started helping our military and giving back in some way for all they’ve done for us! We’re ready … just tell us what to do!” We began at a time when, with classes of hundreds, we often had no one in the group who had ever heard of things like the Servicemembers Civil Relief Act or “SCRA.” Now, we have legions of Boots Across America out there making sure these critical guidelines and benefits are made known where they’re most needed: Those whom they were created to protect. Many still don’t know they can cancel leases with PCS orders, have interest rates capped, certain court cases postponed and much more. The biggest hurdle we first tackled were the improper foreclosures that had already been done to far too many of our active duty and deployed servicemembers, perimeters of which are clearly defined in SCRA. Basically, no one was paying attention to these critical SCRA safeguards, written first in the 1940s as the original Soldiers and Sailors Relief Act though the original intent and language is from the late 1800s. There was no consequence or fine for these improper foreclosures, and they ran unchecked for years by a variety of lenders, both large and small. That changed with increased awareness and monitoring. There are now consequences for wrongful foreclosures and fines in place to ensure everyone involved checks the active duty status of any servicemember prior to starting foreclosure actions. Although many

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homes were irretrievably lost, many more were saved. The Consumer Financial Protection Bureau’s Office of Servicemembers Affairs reports: l It has handled more than 74,000 complaints from the military community since it began in 2011; l It has taken enforcement actions resulting in more than $130 million in relief to affected servicemembers. Checks and balances are now in place to stop this once overlooked, but so critically important, safeguard. The U.S. Department of Veterans Affairs (VA) has stepped up to refund VA loan funding fees that were erroneously collected from veterans who, because of disability ratings, should not have been charged the fee at all. Permanent Change of Station orders can now be considered a hardship, making all the difference when there’s a property to sell that might even be underwater. Fast-forward a few years to hundreds and thousands of trained professionals who are covering their communities with information that’s critical to their own military connections, saving them unfold money and grief. What starts as a job in a niche market soon evolves into friendships and networks with family, friends and neighbors in not just active duty military, but also National Guard and Reserve units. I’ve heard more than one story of lives being saved simply by working with these military folks, taking that extra step to reach out with extra help or recognizing when to share the Veterans Crisis Line number. So here we are, nine years later, charting some tremendous progress. With National Mortgage Professional Magazine, we have counted more than 15,000 Certified Military Home Specialists trained thus far. Some of them have gone on to train as well. Although 15,000 certified folks is a large number, there is so much more to do. It would be great to have a saturated market at this time, but we do not. Every person who made the personal commitment to learn and understand the tools necessary to serve this market took it to the next level, implementing ideas and events in their own communities to engage those who need them. Thus, the number of loans done through the Veterans Administration increases each year. Other

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“What started as groups of housing professionals who showed up with wide-eyed trepidation to give it their best shot, always ended with smiling lenders, real estate agents and housing counselors who knew they had the skills to confidently put our nation’s heroes into homes and budgets they could afford.”

important and critical information increases in scope as well. Working together in communities across the nation has helped to heighten awareness of the needs of our servicemembers and their families. Together, we have accomplished so much in just under 10 years, but much more remains to be done. Most servicemembers, veterans, retirees, National Guard and Reserve members are still unclear on their benefits through SCRA, VA loans, new healthcare and caregiver options, and much more. The Department of Veterans Affairs knows that caregivers are critical to helping our wounded warriors retain their independence and stay in their homes for as long as possible, and so has designated the entire month of November as “National Family Caregivers Month.” This both recognizes the physical, psychological and financial responsibilities of the commitment, and increases awareness of the resources available to these individuals. These sources are enormously important to the 5.5 million family members, friends and

neighbors caring for veterans suffering from a variety of chronic difficulties. CMHS grads in Los Angeles and Ohio have opened group homes for homeless veterans and they help spread the word about the HUDVASH (HUD-VA Supportive Housing) rental assistance voucher program that provides housing for our most vulnerable homeless veterans. As of the end of September 2015, HUD had allocated more than 78,000 vouchers to help house veterans across the country. The military suicide rate continues to escalate, up from an average of 22 each day, now estimated to be closer to 35-40 each day, including active duty servicemembers and high-ranking officers. Boots Across America has added a Service Dog program to join our efforts toward alleviating that crisis. We are learning from

some of the best and are placing our second service dog. Our President writes that: “America’s military men and women and their families are vital to the security and prosperity of our nation. We have a responsibility to protect and serve those who have made countless sacrifices for love of country.” He has signed a proclamation making the entire month of November National Veterans and Military Families Month, as was also effective in 2018. The Air Force’s civilian volunteer auxiliary program, Civil Air Patrol, founded in 1941, is a volunteer organization with an aviationminded membership that includes people from all backgrounds, lifestyles and occupations. It performs three congressionally assigned key missions: Emergency Services, which includes search and rescue and disaster relief operations; Aerospace Education for youth and the general public; and Cadet Programs for teenage youth. The age to join is 12, and there is no upper age limit. Yes, I’ve already joined and got my combat boots and uniform! I’m excited to give back to my country at this time in ways I didn’t realize were possible, and you can too. The Coast Guard established their volunteer auxiliary in 1939, and it mirrors many of the same missions as the active duty Coast Guard. The Marine Corps just established their Cyber Auxiliary in April 2019. The Cyber Auxiliary is a volunteer organization that aims to be “a small cadre of highly-talented cyber experts who train, educate, advise and mentor Marines.” Never stop striving, never stop looking for new ways to help our nation’s military. Never underestimate the impact you have already made on every servicemember you have ever helped. Factor in their family members and let it be clear: You make a difference! For more details on “Family Caregivers Month,” contact your local VA Caregiver Support Coordinator, access VA Caregiver Support resources, or call the Caregiver Support Line at (855) 2603274 from 8:00 a.m.-8:00 p.m. Call the Veterans Crisis Line at (800) 273-8255 and Press 1, send a text message to 838255, or chat online at VeteransCrisisLine.net.

Beverly Ray Frase is national director of Certified Military Home Specialists for Boots Across America. She may be reached by phone at (502) 475-5544 or e-mail BeverlyFrase@gmail.com.

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Adam P. Smith is president of The Colorado Real Estate Finance Group Inc., a commercial and residential real estate finance firm, and the owner and sales coach of Just The Tips Coaching. He may be reached by phone at (303) 770-2262, ext. 112 or e-mail Adam@CoreFinanceGroup.com. 53

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Homeownership Shouldn’t Require Heroics Underserved borrowers can become homeowners with the right lenders

urchasing your own home has long been considered an integral part of the American Dream, but in recent years, the homeownership rate has stuttered. This past second quarter, the homeownership rate was 64.1 percent, down from 64.3 percent in second quarter of 2018, according to the U.S. Census Bureau.1 This dip still represents an uptick in homeownership from the recent low of 62.9 percent seen in the second quarter of 2016, but marks a significant downturn from the high of 69.2 percent in the second quarter of 2004. The drop-off in homeownership can be attributed to a raft of causes, but credit markets certainly have played a role. Although homeownership is still a goal for many Americans, a significant portion of borrowers are shut out by traditional lending’s heightened requirements. According to Ellie Mae’s Origination Insight Report this past September, the average FICO score for all closed loans was 737, with an average loanto-value ratio (LTV) of 77.2 Unfortunately, the credit score of the average American falls well below that standard. Experian reports that the average score was 680 in 2018, and if you break those numbers down by age group it becomes even more clear why many are struggling to buy a home today.3 For those between 22- and 35-years of age (where many first-time homebuyers fall), the average score was just 644. That score accounts for just 1.68 percent of conventional loans closed this past September, according to Ellie Mae. Luckily, mortgage brokers and originators can help. By working with and serving those underserved in the market, mortgage professionals can help make the homeownership dream a reality for many who would likely go unnoticed. From government programs to new programs for non-agency loan

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“By working with and serving those underserved in the market, mortgage professionals can help make the homeownership dream a reality for many who would likely go unnoticed. From government programs to new programs for non-agency loan products, some lenders are making a difference in the market— if you know where to look.” products, some lenders are making a difference in the market—if you know where to look. Government products Historically, government products have been aimed at helping those borrowers whom conventional lenders look past. The Federal Housing Administration (FHA) has a suite of loan-guarantee programs offering quality mortgages to borrowers with low downpayments and challenging credit scores, but the government doesn’t actually originate these loans— they just guarantee them. That means brokers have to find lenders that will actually originate loans with just three percent down or to borrowers with credit scores as low as 500, and that’s not as easy as it should be.4 In fact, the

average FICO score for closed FHA purchase loans in September was 677, and just 3.55 percent of closed FHA loans went to borrowers with credit scores below 600, according to Ellie Mae.5 There are, however, some lenders that do offer these loans to help the broad spectrum of credit profiles, and mortgage professionals should partner with lenders experienced with these products to help their clients into the homes they desire. In addition to FHA products, the government also has more specialized loan vehicles through the Veterans Administration (VA) and the U.S. Department of Agriculture (USDA). Although a smaller pool of borrowers are eligible for these loans than FHA products, they offer great terms and provide help to many in the underserved segment. VA loans are for current U.S. service members, veterans, certain

By Greg Austin

reservists and National Guard members and eligible surviving spouses of military members. They offer a no downpayment loan with no maximum loan amount, but the VA does put a limit on its guaranty. Without a downpayment, borrowers can take out mortgages up to $484,350 in most of the U.S.6 There is also no minimum credit score from the VA, but according to Ellie Mae, the average FICO score for closed VA loans was 711 this past September. Just like with the FHA, every lender has different parameters that they will work within, and originators may have to look for lenders with loan requirements that fit the profile with which they are working. The USDA Rural Development office also provides home loans for qualified rural districts throughout the U.S. But what qualifies as “rural” may surprise some mortgage professionals, so investigating these low-cost loans may be worthwhile, particularly for lower income borrowers who may be eligible for a zero downpayment product.7 Non-QM products Another type of loan product that may help many left out of the homeownership dream is the non-qualified mortgage (nonQM), which just means the loan doesn’t fall into the parameters of loans backed by the FHA, Fannie Mae or Freddie Mac. These loans may be non-prime or near-prime that can help borrowers not eligible for conventional or government products, particularly those with low credit scores (sometimes as low as 500), high debt-to-income ratios or recent credit events (issues that range from a previous foreclosure to late payments). They are also helpful to self-employed or contract employees who don’t have traditional income streams and documentation. With the surge in the gig economy in particular, many in younger age groups are being left behind because documenting their income stream is more work than some lenders are willing to do.

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Non-QM offerings are becoming more popular as demand increases from borrowers not served by conventional lending. These loans cover both purchases and refinances, and include the gamut of fixed-rate and adjustable-rate terms. These loan products are typically manually underwritten because of the challenges presented by underserved borrowers; credit reports are reviewed well beyond the standard home loan, car loan and credit card survey. These underwriters will also work to analyze an income and employment history may have gaps or issues due to a catastrophic event, such as the loss of a job or the death of a loved one. Because of the extent of the documentation and research required, these loans take time, but they can help people otherwise shut out of the market. Oftentimes, in addition to originating these loans, lenders will service them, as well, to ensure that borrowers get the support they need to accompany

the mortgage product and to make sure they can stay in the homes theyâ&#x20AC;&#x2122;ve finally acquired. Although homeownership is a goal for many Americans, this dream may seem out of reach because of the tight lending requirements seen in recent years. Despite not having perfect credit scores or large downpayments, many currently shut out of the market are still creditworthy and should be eligible to take part in responsible lending. Some mortgage lenders have seen the demand in the market and are creating products and programs to meet this need, from lending that actually hits the full credit spectrum offered by government requirements to non-qualified products that will help those falling between the cracks in current mortgage offerings. By researching and partnering with these lenders, mortgage professionals can help more clients into the homes they have dreamed of owning for years.

A SALUTE TO THE

Footnotes 1â&#x20AC;&#x201D; https://www.census.gov/housing/hvs/files/currenthvspress.pdf 2â&#x20AC;&#x201D; https://static.elliemae.com/pdf/origination-insightreports/EM_OIR_SEPTEMBER2019.pdf 3â&#x20AC;&#x201D; https://www.creditcards.com/credit-card-news/experian-state-of-credit-2019/ 4â&#x20AC;&#x201D; https://www.allregs.com/tpl/ 5â&#x20AC;&#x201D; https://static.elliemae.com/pdf/origination-insightreports/EM_OIR_SEPTEMBER2019.pdf 6â&#x20AC;&#x201D; https://www.benefits.va.gov/HOMELOANS/purchaseco_loan_limits.asp 7â&#x20AC;&#x201D; https://www.rd.usda.gov/programs-services/single-family-housing-direct-homeloans

As executive vice president of Carrington Mortgage Services, Greg Austin is responsible for overseeing all aspects of Carringtonâ&#x20AC;&#x2122;s mortgage lending businesses, including retail, wholesale and correspondent. Greg has more than 30 years of experience in the mortgage banking industry, starting in the business as a loan officer. Knowing the value of hard work and determination, Greg eventually held senior leadership positions in both operations oversight as well as sales leadership. Prior to joining Carrington in February 2018, Greg held a similar position at Impac Mortgage, as well as past sales leadership positions at Lehman Brothers and Credit Suisse. When not working, Greg enjoys spending time with his wife Lisa of 30 years, collecting wine and gardening. 55

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The Ever-Changing and Evolving VA Loan By Brian Daily

or veterans of the United States military branches, there are many benefits that are offered to the men and woman who serve. The Veteran Administration mortgage loan (VA loan) is an entitlement our veterans earn. A VA loan is mortgage loan that is guaranteed and backed by the United State Department of Veterans Affairs. The purpose of a VA loan is to provide mortgage financing to eligible veterans. The “guarantee” aspect of the program provides confidence for lenders to offer the program, eliminating the fear and risk of a loss. The VA does not make the loan themselves, they are guaranteeing the performance of that loan for approved lenders. Back in 1944, under the Serviceman’s Readjustment Act, also known as the GI Bill of Rights, the VA mortgage loan was established. The intent and purpose of the original VA loan was to help returning veterans from WWII resettle and readjust to civilian life. To create this path of normality, going from being in combat to being a civilian, homeownership was seen as key requirement to make the adjustment quickly. The original VA loan helped, but it was restrictive in terms of the amount of money a veteran could borrow, eligibility timelines, the maximum length the loan could be repaid and other restrictive characteristics. For the most part, the original VA loan requirements did not change much until 1970. President Richard Nixon signed into law the Veterans Housing Act of 1970. This law was designed to revamp the historic VA loan platform, enhance the benefits offered to Veterans, and to meet past market housing demands. With veterans hitting an all-time high in population count, due to World War II, the Korean War and the ongoing Vietnam War, changes needed to be made to the VA program. Key changes, such as eliminating an expiration date for VA benefits and creating a refinancing opportunity for VA loans, made the program more attractive to veterans. The Veteran Housing Act provided a complete overhaul of the VA loan platform and created the starting point for

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“The United States military is reflective of society shifts and changes. These measureable demographic shifts will require the VA to look deeply at its eligibility requirements, types of homes and the cultures that it supports.”

future needed changes. Additional changes in the 1980’s and 1990’s, for the most part, give us the VA loan program we have today. Loan amounts are consistently changing to reflect current housing costs and other adjustments are made as needed to manage risk and borrower impact. The loan attractiveness is much more conducive to veterans today, versus decades ago. The Veteran Administration is part of the U.S. Department of Veterans Affairs. The Veterans Affairs Department is a federal cabinet-level agency with advice and consent of the Senate. One of the challenges in the near future, as it relates to demographic changes, is fewer members of Congress have military experience. With a lack of first-hand understanding by a government whose military ranks are decreasing, this could create unintended consequences for the VA who needs to enhance its mortgage programs to meet demographic shifts. It will be vital for the mortgage professional who participates in VA lending to begin a

grass roots effort of education and awareness for our government leaders who have influence and decision making capabilities as to how the VA will perform in the future regarding its mortgage programs. Looking into the future, there is veteran demographic changes that will require the VA to adjust accordingly. Today, 7.6 percent or 18.8 million veterans make up the entire U.S. population. This is down from 18 percent of the overall population in 1980. As the U.S. population ages, the number of veterans are expected to decrease significantly. VA projections

estimate the number of veterans will decline in coming decades. By 2045, the VA estimates there will be a total of 12 million U.S. veterans. That’s a 40 percent decrease versus today’s numbers. Diversity changes within the military ranks will create different housing needs versus today’s housing make up. The gender shift will change drastically. By 2045, the number of female veterans is forecasted to increase to 18 percent of the overall veteran count, versus nine percent today. Racially and ethnically forecasted changes will be considerable as well. NonHispanic veterans are expected to decrease from 78 percent to 63 percent. Black veterans are projected to rise from 12 percent to 16 percent. Hispanic military veterans are projected to increase from seven percent today to 13 percent in 2045. Diverse changing demographics are a part of everyday life in the United States. The United States military is reflective of society shifts and changes. These measureable demographic shifts will require the VA to look deeply at its eligibility requirements, types of homes and the cultures that it supports. Recent surveys have shown that Americans favorably approve spending more money on veteran’s services, which include housing entitlements. Those surveyed noted increased spending for veterans would be permitted if they were approving the federal budget. This overwhelming support provides opportunity for the VA to continually enhance and improve VA loans to meet the constantly changing demographics and the markets they serve. Enhancements is what has, and will continue to be, the driving force behind veterans using VA loans to meet their housing needs.

Brian Daily is SVP of production at Mountain West Financial Inc. Brian is responsible for the overall management, designing and implementing growth strategies, and creating world-class experiences for its clients within the wholesale channel. As a proven business strategic designer and impactful sales leader, he provides keen and candid insight to critical projects and initiatives the produce results. Brian has more than 30 years of experience in the mortgage banking sector, covering a wide range of responsibilities. Within the mortgage industry, he has managed, built and implemented strategies pertaining to origination channel rollout, mass national market expansion, B2B customer experience feedback platforms, to name a few areas.

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Getting Involved

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“Helping Out” and “Getting Involved” are two different things. If you “help out” a veteran, you may change their life, but if you “Get Involved,” we promise you that it will change yours. We had a goal to change the perception that real estate agents had of the VA home loan. Why didn’t they like a VAfinanced offer? Did they hate working with veterans? Were they unpatriotic? Did they not know where to go or who to go to? Or maybe, it was just a lack of education and understanding on how the VA home loan benefit worked? We decided to search for the truth … Initially, we thought the problem must be real estate agents. So we asked as many people as we could, and found the same answer over and over from our agent friends: “Lenders don’t know how to do VA home loans. If they ever figure it out, we would be happy to accept their offers!” The problem wasn’t really the real estate agent or sellers at all! The problem was us! If we really wanted to change, we had to stop looking outward and start look inward at our own people and our own industry. If we were going to make a difference and help veterans, we were the ones who had to change! We needed to stop worrying about being a “salesperson” and start learning how to become educators and leaders. If you truly want to be “successful” as a military lender, we believe you have to have the heart of a servant. But what does that mean? It’s not always about money; it’s about doing what is best for the veteran. We promise you that if you do what is right by the veteran, everything else will fall in line. As a lender, every time you do a VA loan, ask yourself: “Am I doing the right thing for the veteran?” Will the path be easy? So what if it isn’t! We must adapt and overcome! That’s what the United States military does. It all depends on you.

By Michael Fischer & Jay McMaken

active duty personal, active duty reserves, national guard and veterans. What forms, contacts and portals do you need to use ? What processes do you need to follow? Understand the differences are in military forms, pay and duty assignments Can you read Leave and Earnings Statement (LES), the “Military Pay Stub?” Do you know how to read Military Orders and how they relate to pay stub housing allowances (BAH)? Do you know the difference between a DD214 and a Statement of Service?

“If you truly want to be ‘successful’ as a military lender, we believe you have to have the heart of a servant.” —Michael Fischer, Branch Manager at Ross Mortgage & President of Military Mortgage Boot Camp

“Will the path be easy? So what if it isn’t! We must adapt and overcome! That’s what the United States military does. It all depends on you.” —Jason McMaken, Chief Executive Officer of Military Mortgage Boot Camp & Chief Advisor of VA Lending at Benchmark Mortgage

Ask yourself these questions the next time you decide you would like to do more to serve our nation’s veterans in the housing market: l l l l

Do I have the heart? Am I teachable? Do I have good habits? Do I truly care about putting the veterans’ needs before my own? Can I teach others and create a strong message that people will follow?

Do our VA financed transactions close smoothly?

If your answer is a resounding yes, then read on, here are some best practices we recommend you adopt as you focus on building yourself as a military lending authority. Truly understand how to get a Certificate of Eligibility (COE) Learn the difference between

Read, learn, understand and practice teaching the VA 26-7 This is the “Law of the Land.” Keep in mind … interpretation of the law is what truly wins or loses your case. The Law is the Law is the Law! VA is not FHA! The VA 26-7 is more about what you cannot do than what you can do! We will quote the words of Mark Jamison, loan production officer at U.S. Department of Veterans Affairs from the Cleveland Regional Loan Center: “If something is not in the VA 26-7, then it must be so,” meaning if the VA doesn’t say you can’t do something, then you can do it! The VA will allow it. The VA empowers companies to make prudent decisions. It is critical to learn and understand how to work alongside the Regional Loan Centers and your mortgage investors. Understand the most common myths that surround the VA home loan in the real estate market How do we overcome them? How do we make sure our message gets out to the veteran and real estate communities? What can we do to be part of the solution? Are we blaming the VA for poor lender practices that cause delays or last minute denials?

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Be a master of your craft … eat, sleep and breathe the VA 26-7 Practice daily. Dial the Regional Loan Center often. Sign up to receive any VA Circular changes! Teach classes, make videos, consistently post to social media and never stop encouraging those around you to be better. Writing a VA loan and truly being a VA loan specialist is not like riding a bike … do not let yourself get rusty! Connect with the VA Regional Loan Centers Dial the national 877 number as much as possible. Attend the Annual VA Lenders Conference, and most importantly, shake hands and thank the loan center leaders for working alongside those of us willing to help make this one of the greatest loan programs in America! Join a community of like-minded servants and champions Find the right community for you.

Community is key, and champions hang out with champions! Find people who share your mission to serve veterans. If you are not in an environment that allows you to connect with champions who truly want to serve the veteran, you may want to think about what your mission truly is. We founded Military Mortgage Boot Camp (MMBC) based on the spirit of servitude because we were sick and tired of seeing our military clients get their offers rejected by real estate agents. When we started MMBC, we had only one rule … if MMBC ever became more about money than the veteran, we said we’re out! We want to give thanks to our companies (Ross Mortgage and Benchmark Mortgage) for fully supporting what we do, challenging the mindset, pushing the limit, allowing us to be successful, and most importantly, understanding that we put our veterans first every

time with an abundance mentality. The reason we are able to enjoy the opportunities we have is because we live in a free country!

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Thank a veteran for their service, and we hope to see you all at the next VA lenders conference! No exceptions … no excuses!

Michael Fischer is a branch manager at Ross Mortgage and president of Military Mortgage Boot Camp. Michael may be reached by phone at (734) 395 7797 or e-mail Michael@MilitaryMortgageBootCamp.net. Jason McMaken is chief executive officer of Military Mortgage Boot Camp and chief advisor of VA Lending at Benchmark Mortgage. Jay may be reached by phone at (734) 478-9504 or e-mail VA.Jay@Benchmark.us.

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Selling VA Loans Starts With Vision By Brian Koss

ery few people and organizations achieve greatness by accident. For most, success begins with having a vision—an idea of where you want to be, not where you are today. But once you have a vision, you need to know the steps it takes a achieve it. When it comes to VA lending, the distinction between lenders that have had success with military borrowers and the ones that have not is very clear. The reality is that relatively few mortgage lenders are doing a good job helping veterans and military servicemembers take advantage of their hard-earned VA loan benefits. The ones that have found success with VA loans, on the other hand, have done so because they started with a vision—a vision built around the fact that VA loans are different than all other loan products, and require unique resources and skills. Any mortgage lender is capable of providing the training, expertise and resources needed to help mortgage professionals assist those who have served use their military benefits. And there is no better time to do so than now.

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Why VA loans are so important VA loans have gained a lot of popularity in recent years, and for good reason. These loans allow eligible veterans to finance a home purchase, or to refinance a loan, with no money down and no private mortgage insurance. Apart from the USDA rural lending program, there is no better deal for veterans looking to buy a home on the market today than VA loans. The next most flexible federally-insured loan product is FHA, which still requires a downpayment of 3.5 percent. Another good reason to get into VA lending is that the U.S. Department of Veterans Affairs plans to raise VA loan limits beginning in

“The key to successfully selling VA loans is not to dabble in them. The commitment begins with being a VA certified lender, training loan officers to be subject matter experts in VA loans, and providing the resources the organization needs to succeed, so everyone is in alignment.” 2020 to $484,350 in most U.S. counties. Traditionally, VA loans have been very underutilized, but that is starting to change. According to the Consumer Financial Protection Bureau (CFPB), the percentage of servicemembers who have taken advantage of the VA loan program has soared from 30 percent in 2007 to 78 percent by 2016. That’s great news, but it’s also an indicator that these loans still aren’t used as much as they could be. One of the major reasons holding VA loans back is the fact that there are many false assumptions and misconceptions about them. For example, many people think they are for first-time homebuyers and can only be used once, which is not true. Eligible veterans can use their VA benefits throughout their lifetime. We have had borrowers who were in their 70s, lost their homes during the

2008 recession, and were able to use their VA benefit again to buy a decent place to live for their remaining years—with no money down. Eligible spouses can use this benefit, too. One group that many mistakenly believe do not qualify for VA loans are those who serve part time in the National Guard. While they may not be active duty soldiers, members of the National Guard can qualify for VA loan benefits after six years of service. Other myths about VA loans persist—such as the belief that there is a minimum credit score required. There isn’t—although most lenders have their own guidelines that range between 580 and 640, and rates can vary depending on a borrower’s score. There are also no minimum debt-to-income ratios required, although most lenders have their own guidelines here as well. Another misconception about VA loans is that they take

forever to close. It is true that, on average, VA loans take longer than FHA and conforming loans, but not by much. According to loan statistics from Ellie Mae, in February of this year, the average VA purchase loan typically closed within 49 days, compared to 47 days for FHA loans. Many people also believe VA loans are difficult to originate and not worth the trouble. It’s true that there is a good deal of paperwork involved, as well as some nuances that can be challenging. VA loans are not difficult, but they are a little more complicated than Fannie Mae or FHA loans. Veterans usually understand this, being used to government paperwork. But to succeed, you better know how to help veterans navigate the loan process. The best part about VA loans is that they allow lenders to consider a wider range of borrower characteristics than other loan programs. For example, underwriters are able to take into account the borrower’s residential income, extra expenses such as childcare, and how many people are in the household the borrower has to support. Often borrowers have been approved for VA loans when they have been turned down for other loan products. It doesn’t mean the Veterans Administration approves loans like crazy or allows bad loans to be made, but they are willing to work with borrowers to make sure they are able to use their earned benefits. These are good loans that serve everybody well. What lenders can do What’s most important to know is that VA loans are more than just a loan program—they are a federal benefit, created by Congress, which enlisted men and women have earned once they meet certain service and discharge requirements. The key to successfully selling VA loans is not to dabble in them. The commitment begins with

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obviously have larger numbers of veterans living in them than others, there are ample opportunities to give back in practically every community. The bottom line is that VA loans are good business, but successfully incorporating these loans into your business—whether you are a lender or a mortgage professional—takes vision, time, training and resources. On the other hand, helping

those who have sacrificed their livelihoods in service to our country can be the most

rewarding work you’ll ever do. In our view, the effort is more than worth it.

Brian Koss is executive vice president of Mortgage Network, one of the largest mortgage lenders in the eastern U.S. Since 2000, the company has sold more than $35 billion in mortgage loans while building a reputation for delivering nationally acclaimed customer service. He may be reached by e-mail at BKoss@MortgageNetwork.com.

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being a VA certified lender, training loan officers to be subject matter experts in VA loans, and providing the resources the organization needs to succeed, so everyone is in alignment. Some years ago, we made a commitment at my company, Mortgage Network, to offer free VA loan training for all loan officers. Once they complete the training, they understand what matters to a veteran borrower and learn about military service in general, including the different branches of service and military ranks. They also learn about special loan discounts for disabled veterans. For example, the Veterans Administration allows loan fees to be waived for disabled vets. There are also special waivers for certain insurance products, which can save the borrower a ton of money. We ask our loan officers who sign up for training to be fully committed to the VA loan program, then support them with a suite of marketing products and services to help them generate business, including unique militarythemed Web sites. The whole idea is that we want our loan officers to be schooled in VA loans and know exactly what they’re talking about when serving military borrowers. For example, when working with veterans, it’s crucial to listen to each customer and understand their entire financial situation and what their life goals are. This is not only good business sense, but it helps uncover details and strengths behind each veteran applicant that can help during the underwriting process. Loan officers selling VA loan products should also be able to educate real estate agents about them, so they advocate on behalf of your client when submitting purchase offers on a home. This is a very personal mission for us, but it’s also smart business. Lenders and mortgage professionals who want to add VA loans to their business need to live it and breathe it. In our case, we regularly host seminars and do volunteer work in support of the military community. While some housing markets

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Serving the Dream of Homeownership to Those Who Serve our Country: Mastering the VA Loan By Casey Cunningham

s the wife of a military veteran, I have a special place in my heart for those who serve. As a mortgage professional of 30-plus years, I have always loved the fact that our profession has such a positive impact on peoples’ lives. It is incredibly gratifying helping people reach the American Dream … even more so when it is for those who have served our country, sacrificed time away from their families and quite often risked their own lives for our freedom. It is a privilege that we can serve this military group with the VA loan program as it is available to assist active-duty military personnel, reserve members, veterans and their families to purchase a place of their own to call home. What’s more, it offers incredible benefits such as zero downpayment and no monthly mortgage insurance requirements. For the loan originator, VA loans come with unique guidelines, disclosures and pricing and requires a little effort to learn. In my mind, this extra effort is a small price to pay when considering the sacrifices made by our veterans.

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Understanding your products and options As a sales professional, understanding your company’s loan programs is crucial for creating the best customer experience. Most companies offer VA loans, but processes can vary from company to company. It’s important to study up on the VA loan guidelines, including any company overlays. It’s also critical to familiarize yourself with VA regulations and housing laws in other states in case they differ from state(s) in which you originate. Knowing these guidelines and regulations inside and out will give you more confidence in presenting the VA loan program as an option that they are eligible for and may best fit their needs. A major challenge in working with the VA loan program is the stringent appraisal process. There are very high standards when it comes to a VA appraisal, and this can be intimidating to both a seller and a

borrower. Our military personnel are vital assets to our country, and our government puts these precautions and regulations into place to protect our military and their families which is why strict minimum property requirements (MPRs) are built into the process. Home repairs required to meet the MPRs can be costly and may deter sellers from accepting an offer with a VA loan attached to it. Luckily, there are several companies who provide VA renovation loans, which can provide up to $35,000 toward repairs that need to be made to bring the home up to the MPRs set by the VA. Brushing up on all of the options available to your borrowers is incredibly important and can even prove to be critical to a successful loan closing.

consumer’s perspective. Although her loan originator was incredibly well-versed in VA loans, her real estate agent was not as familiar which led to a few hiccups during their homebuying process. In hindsight, she wished that she had asked her loan officer to recommend a real estate agent who had more experience working with buyers using a VA loan. Being able to provide a list of vetted vendors your borrower may be looking for is a huge value-add and will set you apart as someone who goes the extra mile to secure that exceptional customer experience. Build your VA “A-Team” with a local real estate agent and home inspector who know the process and have experience working with VA loans.

Build your “A-Team” In reality, even the most knowledgeable VA loan specialist can experience snags along the way if the right team is not set into place from the start. We saw this recently with one of our own associates at XINNIX. Our colleague and her veteran husband recently purchased a new home by way of a VA loan. She was able to speak to me about her experience from the

Know your market There are many people who are

eligible for the VA loan program who aren’t taking advantage of it because they don’t have a full understanding of the benefits available to them. Those who do know about the VA program believe that military-specific lenders like USAA and Navy Federal Credit Union are their only options. While these are both great options, they are certainly not the only ones. Loan officers operating in a militaryheavy market (near military bases) should capitalize on this underserved market. Even if you don’t operate in a military-heavy market, there are still referral sources available to help you market to those eligible for the VA loan program. Local VFW (Veterans of Foreign Wars) groups are a great place to start. Reach out to these groups to see if you can sponsor one of their meetings and speak to them about home financing options available to them. VA hospitals are another great place to market to the military audience. In addition to these brick-and-mortar resources, there are also veteran and military resource hotlines and 1-800 numbers you can reach out to if you’re interested in helping veterans. Most of these organizations have a list of vendors in the area who offer services specific to active-duty military, reserve members, veterans and their families. Don’t let a lack of knowledge and understanding keep you from presenting such a great program that supports those who protect our freedoms. Just as it is the military’s duty to serve our country, your highest duty as a loan officer is to serve your military customers well. The first step to that is being a subject matter expert on the VA loan program your company offers.

Casey Cunningham is chief executive officer and founder of XINNIX Inc. In 2002, Casey founded XINNIX, a sales and leadership development academy providing training, coaching and accountability for the nation’s top mortgage lenders. For nearly 18 years, she has fostered a culture of excellence that has attracted a diverse team with deep knowledge of the industry to join XINNIX. To date, the company boasts a total of 19 culture awards, including “Atlanta’s Best Places to Work” and “Best and Brightest Companies to Work for in the Nation.”

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HEARD ON THE STREET continued from page 31

more satisfying experience for borrowers and their loan officers.” Through Finicity’s verification platform, borrower assets can be confirmed within minutes, without the need to find, copy and scan piles of paper documents for verification. This can reduce the mortgage origination time by more than a week while eliminating the hassle of paper documents and manual processes. “Today’s consumers expect simple, rapid experiences on their computers and phones, and the mortgage process should be no different,” said Steve Smith, chief executive officer of Finicity. “AFR is embracing their role as a mortgage industry innovator, focused on meeting the expectations of the next gen consumer.” New American Funding Opens Ninth Branch in Nevada

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New American Funding is expanding its Mid-Pacific territory with the opening of a new branch in Fallon, Nev. The new Fallon branch specializes in a diverse spectrum of purchase and refinance products, which includes VA, FHA, USDA, and manufactured home loans and more. This is the ninth New American branch to open in Nevada, including locations in Las Vegas, Henderson and Reno. “We’re excited to bring New American Funding’s wide range of home loan products to Fallon,” said New American Funding Branch Manager Katy Andrews. “We have a local office to serve our borrowers and we do everything in-house, so we can provide a clearly defined experience during the entire loan process and offer our borrowers with exceptional service. We make it all about the customer and as a result, people want to work with us because they know and trust us.” Andrews will oversee the new branch while working one-onone originating loans for clients and helping them make smart decisions and closing their loans on time. She has more than six years of industry experience working in the local market.

NewDay USA Adds 100-Plus to Meet Surge in Business

NewDay USA has announced the hiring of more than 100 new employees in the Baltimore area. The new recruits will be trained at NewDay USA University, the company’s proprietary training facility. NewDay reported its VA loan originations during the three months ending June 30 totaled nearly 2,500 loans, with an aggregate principal balance of $576 million, a 32 percent jump over the prior quarter. The company has determined that a staff expansion of at least 100 new team members was necessary to support its growing volume. “Rates are retreating to near historic lows, which is creating an incredible opportunity for military families to refinance and reduce their mortgage payments by an average of $2,000 a year,” said Retired Rear Admiral Thomas Lynch, chairman of NewDay USA. “I am proud that we can help the families of veterans and active-duty servicemembers save money through their VA loan benefits.” Many of NewDay’s employees are recruited from local colleges after graduation. Once on board, new recruits receive an extensive mortgage education at NewDay USA University, the company’s Ivy League-styled, in-house learning institution, where they are trained specifically to help military servicemembers and veterans with their home financing needs. “Our staff is one of the besteducated workforces thanks to the major investments we have made in NewDay University,” NewDay USA Founder and Chief Executive Officer Rob Posner said. “It’s these high achievers who will be running the mortgage industry in the next decade, many of whom will remain in the area and continue contributing to Baltimore’s economy.” Mortgage Professionals to Watch l Alan Cicchetti, executive director of Brokers Compliance Group and director of agency relations for Lenders Compliance Group, has announced his retirement. l Quicken Loans Mortgage Services (QLMS) has announced the promotion of continued on page 75

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â&#x20AC;&#x153;I work with dream makers. We help people accomplish dreams every day. What could be better than that? Iâ&#x20AC;&#x2122;ll be here for the next 30 years, doing the same thing.â&#x20AC;? â&#x20AC;&#x201D;Mat Ishbia, President & CEO of United Wholesale Mortgage (UWM)

Ishbia told us, and that word is technology. â&#x20AC;&#x153;We have almost 700 people working in our office every single day, building technology for brokers,â&#x20AC;? he said. â&#x20AC;&#x153;Thatâ&#x20AC;&#x2122;s how we make it faster and easier for the broker to do this work and more affordable for the consumer.â&#x20AC;? But making sure that the industry understands the companyâ&#x20AC;&#x2122;s brand and its position in the market is not a one-and-done proposition. It takes work and Ishbia says his team is always spreading the UWM story. â&#x20AC;&#x153;Everyone at our company knows who we are, very clearly,â&#x20AC;? he said. â&#x20AC;&#x153;We communicate that effectively. We let our partners know who we want to be, and we work hard toward that every single day.â&#x20AC;?

Like a professional athlete, Ishbia applies focus to that task, just as he focused on wholesale lending to the exclusion of any other line of business. â&#x20AC;&#x153;I have no insurance company. I am not a retail mortgage guy. I donâ&#x20AC;&#x2122;t do title insurance. Iâ&#x20AC;&#x2122;m nothing else but a wholesale mortgage lender and itâ&#x20AC;&#x2122;s very clear to people that we are trying to be the best at one thing, which is serving brokers and helping them take great care of their consumers and their businesses in their local markets,â&#x20AC;? he said. As for the companyâ&#x20AC;&#x2122;s future, Ishbia says heâ&#x20AC;&#x2122;s just getting started. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re originating more than $100 billion this year, but weâ&#x20AC;&#x2122;re not stopping,â&#x20AC;? Ishbia said. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re going to go double this thing again over the next couple of years.â&#x20AC;? 65

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THE ELITE PERFORMER continued from page 8

you strengthen and build your personal motivation as a priority? Do not let incentives replace motivation. Instead, let your motivation â&#x20AC;&#x153;by natureâ&#x20AC;? create those incentives without you even thinking about it. Motivation comes from true happiness in what you do. The result of happiness in the workplace is success in meeting your personal goals and providing better service to your clients and business partners. Happy clients and business partners create ongoing and stable success. Take pride in what you do and do the right thing even when no one is looking. Be an Elite Performer!

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O focused on quality & closing speed Operations M support and lead generation Marketing Liicensing and compliance support Agent co-marketing programs Contact me to learn more m b t exp di g you i about xpanding urr b business and career with Carrington.

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.

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which is a large factor in our goals, but the true high performers go beyond this material thought. When I see workers cleaning honey buckets after a football game, I see the incentive being money. Motivated? I doubt it (or I surely hope not). True motivation comes from deep fulfillment and enjoyment of the results that come from meeting your business and personal goals. We all know the 80/20 rule: 20 percent of the people are getting 80 percent of the business. Are you in that motivated group of 20 percent? So what builds and maintains your internal motivation? What are your external incentives? How can

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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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National Mortgage Professional Magazine Presents …

THE BEST MILITARY ORIGINATORS AND LENDERS 2019

“Word to the Nation: Guard zealously your right to serve in the Armed Forces, for without them, there will be no other rights to guard.” –John F. Kennedy

or our November 2019 issue, National Mortgage Professional Magazine presents its second annual list of our nation’s “Best Military Lenders and Originators.” As these men and women so bravely defend our nation, we felt it was time to begin to recognize those who assist these individuals achieve the American Dream of Homeownership.

General H. Norman Schwarzkopf once said, “It doesn’t take a hero to order men into battle. It takes a hero to be one of those men who goes into battle.” It is these heroes whom those in the mortgage industry cater to. These distinguished mortgage professionals should be recognized for their work in helping those who serve our nation attain the American dream of homeownership. For our “Best Military Originators,” we made our selection based on the total VA loans closed in 2018; votes from their industry peers; and an essay on why these individuals are committed to helping active servicemembers and veterans. For the “Best Military Lenders,” we chose this distinguished group based upon total VA loans closed in 2018; and support efforts and community outreach endeavors. Congratulations to the following for making homeownership a reality for those deserving active, retired and reserve servicemembers, those who have sacrificed so much for the protection of our nation and the freedoms of all Americans.

Matthew Bassitt Branch Manager, Northwestern Home Loans Bend, Oregon Bend, Ore. doesn’t have the largest population of veterans, nor a very large population overall, but as a veteran himself, Matthew Bassitt is committed to serving. Five years ago, he started a non-profit called “The Scotch,” a two-day golf tournament and auction that raises money to send veterans through the Save a Warrior program. Matthew and The Scotch have helped raise more than $240K, and have put more than 80 struggling heroes through the Save a Warrior program, ultimately saving their lives.

Michael Bolton Senior Loan Officer, Mid America Mortgage Addison, Texas “Helping those who currently serve or have served in the U.S. military is by far the least I can do to give thanks,” says Michael Bolton, senior loan officer with Mid America Mortgage in Addison, Texas. “It’s my opinion that serving in the military is the most unselfish sacrifice a person can make. The commitment these individuals made makes me give them 100 percent of my time and effort. It’s simply the best way I know how to say ‘thank you’ and show how much respect I have for them.” Michael Brandt Loan Originator, Benchmark Mortgage Austin, Texas “It is an honor to serve those who have served our great country,” says Michael Brandt, loan originator with Benchmark Mortgage in Austin, Texas “I have several family members who have served, and my nephew is currently in the Navy! I admire veterans and make it my mission to have the homebuying process be as stress-free as possible!”

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Kristin Babik Senior Loan Officer, Network Funding LP Houston, Texas “It’s important to me to help make a difference in the lives of men and women who have fought for my freedom,” says Kristin Babik, senior loan officer with Network Funding LP in Houston, Texas. “I will forever be grateful for their sacrifice.”

Blake Bogese Branch Manager & Mortgage Loan Officer, Arcus Lending Inc. Richmond, Va. “My passion is to educate my local real estate community by dispelling stereotypes that VA home loans an inferior loan products, while providing active duty and veterans a transparent, stress-free and enjoyable mortgage process,” says Blake Bogese, branch manager and mortgage loan officer with Arcus Lending Inc. in Richmond, Va.

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Lynnae Aguilar Senior Loan Officer & Sales Manager, Academy Mortgage Corp. Layton, Utah “Serving our country is the most honorable thing that one can do,” says Lynnae Aguilar, senior loan officer and sales manager for Academy Mortgage Corp. in Layton, Utah. “To have the opportunity to serve those who serve for us is a huge honor for me. Getting them into a home and helping them provide for their families, when they have provided so much sacrifice, is truly a privilege for me. I have so much respect for our veterans and am so happy to continue to serve them.”

National Mortgage Professional Magazine Presents …

THE BEST MILITARY ORIGINATORS AND LENDERS 2019

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Tony Byrne Loan Officer, Heritage Home Loans, registered d/b/a of Cardinal Financial Company Spokane, Wash. “My father, who served in the Navy, passed away two years ago,” says Tony Byrne, loan officer with Heritage Home Loans, registered d/b/a of Cardinal Financial Company in Spokane, Wash. “During his final months, I asked him why he never used his VA loan benefit. He said it was because when he came back from active duty, he was treated so poorly that he was embarrassed to go to the bank for a VA Loan. I refuse to let that feeling happen to someone else.

Doug Cook Branch Manager/Loan Originator, Hancock Mortgage Partners LLC St. George, Utah “After completing a 25-year career in the U.S. Army, I have dedicated myself to be a veteran’s advocate and to specialize in VA home loans,” says Doug Cook, branch manager/loan originator with Hancock Mortgage Partners LLC in St. George, Utah. “Servicemembers and veterans want someone they could trust and relate with. I also am involved with many veteran organizations such being an outreach coordinator for the employer support of the Guard and Reserve program, veterans mentor for the Red Cross, and volunteer at our local veteran’s care facility.”

Andrew Cady Epic Mortgage Guy, Fairway Independent Mortgage Jacksonville, Fla. “Over the last few years, I have developed a serious focus on our local veterans to fix the stigma that VA loans are inferior or over-complicated,” says Andrew Cady, epic mortgage guy with Fairway Independent Mortgage in Jacksonville, Fla. “The VA loan is something they have EARNED, and I fully intend on making sure they get the right to do so.” #servingthosewhoserve

Jody Eichenblatt Mortgage Consultant, Prosperity Home Mortgage LLC Alexandria, Va. “Every day, thousands of our servicemen and women are away from their families and friends in order to give me the ability to spend time with mine,” says Jody Eichenblatt, mortgage consultant with Prosperity Home Mortgage LLC in Alexandria, Va. “Because of that, I strive every day to provide them and their families with the best customer experience possible when they decide to finance one of the biggest investments of their lives. It is a great honor to support our heroes.”

Yvette Clermont Branch Manager, Inlanta Mortgage Lakewood Ranch, Fla. & DePere, Wis. “As a daughter of a U.S. Marine, I was brought up in a military family where I was taught to stand up and serve however possible,” says Yvette Clermont, branch manager with Inlanta Mortgage. “I continue to serve by helping our veterans with the most important purchase they will ever make, their new home! I remain close to my Marine ties, actively supporting my local Marine Corps League, and attending and supporting the annual Marine Corps Ball, which is one of my favorite events each year!”

Mark Field Mortgage Loan Originator, National Veterans Magazine Phoenix, Ariz. “As a U.S. Navy submarine veteran, I am honored to serve my fellow veterans and disabled veterans with their VA loan needs,” says Mark Field, mortgage loan originator with National Veterans Magazine. “I come to their home, pick up documents personally and ensure their needs are being met. A disabled veteran with terminal cancer had me assist him to ensure his wife could remain in their home after his passing. I am proud that this veteran trusted me to handle his VA home loan needs.”

Carlo Colantonio Branch Manager/RMLO, CMG Financial San Antonio, Texas “As a former Army veteran and seasoned mortgage professional of 20-plus years, I feel that it is my duty to go above and beyond for my fellow veterans and active duty servicemembers in fulfilling their dream of homeownership,” says Carlo Colantonio, branch manager/RMLO for CMG Financial in San Antonio, Texas. “I feel empowered in educating them to fully leveraging all of the benefits available to them from the VA home loan program!”

Danielle Filler Mortgage Loan Originator, Benchmark Mortgage Austin, Texas “I work on a team and have started to originate my own. I love what I do because I am a military spouse and mother to a handsome sailor,” says Danielle Filler, mortgage loan originator with Austin, Texas-based Benchmark Mortgage. “I know what the veteran is going through, and I know that they deserve the best!”

Steven Conklin President, Satori Mortgage Minneapolis, Minn. Steven Conklin has helped build a couple very successful d/b/a’s for Satori Mortgage VA Loan Minnesota and VA Loan Floridian. He not only originates deals, but also leads a team of loan officers that helps veterans buy homes every day. With Satori Mortgage as a broker, Steven is always offering the best rates and products in the market.

Michael Fischer Loan Originator/Branch Manager, Ross Mortgage Brighton, Mich. Michael Fischer of Ross Mortgage in Brighton, Mich. not only focuses on his own production as an originator and branch manager, but he has created a network of loan officers across the country who work together to become better at serving our nation’s finest. This training has had a ripple effect on hundreds of loan officers, training thousands of real estate agents across the nation, breaking down the myths around VA benefits and helping more veterans achieve homeownership.

National Mortgage Professional Magazine Presents …

THE BEST MILITARY ORIGINATORS AND LENDERS 2019

Ashleigh Fletcher Senior Loan Originator, CMG Financial Killeen, Texas “My father’s a former Marine, and he taught me to care for and respect our veterans,” says Ashleigh Fletcher, senior loan originator with CMG Financial in Killeen, Texas. “Our veterans and their families have sacrificed so much, and in some cases, everything, so I can have my freedom. The least I can do is help get them into a home. I love helping our veterans. I wouldn’t be where I’m at or have what I have if it weren’t for those who serve and protect our great country.” Kevin Fortier Senior Loan Officer, Mid America Mortgage Addison, Texas “I love helping everyone get into a better home, financial position, or whatever their need is … I am committed to helping everyone,” says Kevin Fortier, senior loan officer of Mid America Mortgage in Addison, Texas. “However, being a veteran myself has an extra brotherhood/sisterhood attached when dealing with active servicemembers or veterans. I have been in their shoes and as the saying goes ‘been there, done that!’”

Larry Gonzales Senior Loan Officer, Aligned Mortgage Waipio, Hawaii “I had the honor of serving in the U.S. Navy for 25 years, leading the world’s best sailors,” says Larry Gonzales, senior loan officer of Aligned Mortgage in Waipio, Hawaii. “One of the biggest rewards throughout my career was being able to help sailors grow and become leaders in their own right. My commitment to servicemembers and families drives me. Only now, I serve all veterans, educating them on their VA benefits and enabling them to own a piece of the land they swore to defend.”

Jonathan Haug Mortgage Consultant, Prosperity Home Mortgage LLC Chesapeake, Va. “The patriots who serve or have served in the U.S. military represent the best our country has to offer,” says Jonathan Haug, mortgage consultant with Chesapeake, Va.-based Prosperity Home Mortgage LLC. “I have seen firsthand how these men and women, along with their families, sacrifice so much to protect and defend the things we hold dear. I consider it a privilege to have the opportunity to help these past and present servicemembers, and their families, with one of the most important purchases of their lives.” Shelly Heimer Loan Officer, C2 Financial San Diego, Calif. “As a disabled Army veteran, there are few people who can relate and understand the true sacrifice of military service,” says Shelly Heimer, a loan officer with C2 Financial in San Diego, Calif. “My foundation as a loan officer is built on honor and integrity. These principals are a direct reflection of my commitment to serve not only in the military, but to my fellow servicemen, women and veterans.”

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Kelly Gardner Sales Manager, American Pacific Mortgage San Diego, Calif. Kelly Gardner, sales manager with San Diego-based American Pacific Mortgage is one of the top LOs in San Diego, and helping veteran and active duty clients is her passion.

Wesley Ryan Grubbs Residential Mortgage Loan Officer, Mid America Mortgage Flower Mound, Texas “My dedication to serving our military comes from the same commitment our active duty and veterans take on a daily basis to serve our great country. I have family currently serving in the military, which only strengthens my passion for helping veterans,” says Wesley Ryan Grubbs, residential mortgage loan officer with Mid America Mortgage in Flower Mound, Texas. “I have dedicated my time to ensure that veterans are educated and aware of their benefits and how to fully maximize their value through the VA home loan process with integrity, respect and professionalism.”

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Kris Garcia Senior Loan Officer, Mid America Mortgage Addison, Texas “I know the program very well and veterans should have the ability to speak to someone who knows the answers to their questions right away,” says Kris Garcia, senior loan officer with Mid America Mortgage in Addison, Texas. “I think it’s great that veterans have their own loan program that allows them to purchase a home with little to no money down. I have friends and family that have been in the military, and I feel veterans deserve to have a program like this.

Chris Griffith Mortgage Originator, Debt Does Deals McKinney, Texas Chris Griffith, mortgage originator with Debt Does Deals in McKinney, Texas, has a unequaled passion to ensure that veterans receive the best possible rates and service, and strives to give his utmost to helping our veterans achieve the American dream of homeownership.

National Mortgage Professional Magazine Presents …

THE BEST MILITARY ORIGINATORS AND LENDERS 2019

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Balenda Hetzel Regional Production Manager, Inlanta Mortgage Destin, Fla. “Many of my immediate family are veterans, and I serve vets because of their and other’s selfless sacrifice to serve us,” says Balenda Hetzel, regional production manager with Inlanta Mortgage in Destin, Fla. “I am a part of Homes for Heroes, former president of the local spouses’ group at Hurlburt Field, serve on a couple of military affairs committees, volunteer at events throughout the year, and support the Water Warriors. We often have a local member of the military with us at the holidays who does not have family locally.”

Janice Lanning Mortgage Consultant, Prosperity Home Mortgage LLC Fredericksburg, Va. “Our servicemembers and military families have made tremendous scarifies for our country. While I have never served in the military, assisting veterans achieve the American dream of homeownership is one way to express my appreciation and gratitude, and actually give something back,” says Janice Lanning, mortgage consultant with Prosperity Home Mortgage LLC in Fredericksburg, Va. “I strive to help them every step of the way, and to always treat them with the dignity and respect they deserve.”

Alex Jimenez Branch Manager, Benchmark Mortgage Spring Hill, Tenn. “Our nation’s heroes and their families have sacrificed so that me and my family can enjoy the freedoms that our great country provides,” says Alex Jimenez, branch manager at Benchmark Mortgage in Spring Hill, Tenn. “The least I could do to give back is make sure that those very same heroes get their slice of the American dream of homeownership.”

Sue Merkendorfer Senior Loan Originator, LoanDepot Lisle, Ill. Since 1982, Sue Merkendorfer, senior loan originator with LoanDepot in Lisle, Ill., has been helping individuals and families with loan and mortgage solutions. Sue was recognized as a Five-Star Mortgage Professional by Chicago Magazine in the October 2011, 2012, 2013,2014 and 2015 edition’s, A Five Year Winner. Sue is also a recognized mortgage expert for the Illinois Housing Development Authority. She has also been active in many local causes, including Habitat for Humanity, Sleep Out Saturday, and New Beginnings Shih Tzu Rescue

Carl Anders Johnson III Sales Manager/Senior Loan Officer, CMG Financial Woodbury, Minn. “Servicemembers and veterans are the bravest among us, who voluntarily have or actively protected our country and our citizens,” says Carl Anders Johnson III, sales manager and senior loan officer with CMG Financial. “When they are interested in buying or refinancing their home, it is an honor to help serve THEM, as my way of thanking them for their service. I feel that a VA loan is the best loan program available and gives VA members the help they need with an affordable payment. Thank you military!” David Jones Mortgage Loan Originator Northwestern Home Loans Bend, Ore. As a veteran himself, David Jones, mortgage loan originator with Northwestern Home Loans in Bend, Ore., has a mission to serve those who serve us all, anonymously. David is on the board of the newly formed VAREP, is an active member of: Central Oregon Veteran’s Outreach; Central Oregon Veteran’s Ranch; Deschutes County Veteran’s Services; and as an alumni of Save a Warrior, David also mentors veterans struggling with PTS by holding weekly meetings on Friday mornings. David is also one heck of a Mortgage Professional!

Clay Murray Mortgage Loan Originator, Military Home Loans d/b/a American Pacific Mortgage Corporation San Diego, Calif. “Protect and serve, honestly, should be a twoway street … unfortunately, it’s not always the case,” says Clay Murray, a mortgage loan originator with Military Home Loans d/b/a American Pacific Mortgage Corporation in San Diego. “My team and I devote ourselves to unmatched service and a company core value of ‘Do the right thing ... ALWAYS.’ That is the bare minimum of what we can do for our military.”

Jennifer Kay Ott Senior Loan Officer, Mid America Mortgage Addison, Texas “My younger brother, Chad, died in battle in Baghdad in 2004 and he is my ‘why,’” says Jennifer Kay Ott, a senior loan officer with Mid America Mortgage. “Every time I help a servicemember or a veteran, I continue to move forward in my grief, a little piece of my heart heals more each time. It has been an honor serving all these amazing servicemen and women over the years … this is my passion, my calling and it has been an amazing journey.”

National Mortgage Professional Magazine Presents …

THE BEST MILITARY ORIGINATORS AND LENDERS 2019

Jeremy Page Branch Manager & Mortgage Consultant, Inlanta Mortgage Inc. Greenfield, Wis. “My commitment to veterans stems from my family heroes, including my father, stepfather, aunts, uncles and cousins, plus my wife’s parents … both of whom currently work at the Zablocki VA Hospital, and my wife who works for the Department of Veteran Affairs,” says Jeremy Page, branch manager and mortgage consultant with Inlanta Mortgage Inc. “I am part of Homes for Heroes and a supporter of Folds of Honor. My branch sponsors an annual banner of support which is sent with a care package to USO Bagram Air Base, Afghanistan.” Joy Prisching Senior Vice President of Mortgage Lending, Key Mortgage Services Inc. Schaumburg, Ill. “My father and father-in-law both served in the Korean War and WWII, and many family members were career military personnel,” says Joy Prisching, senior vice president of mortgage lending at Key Mortgage Services Inc. in Schaumburg, Ill. “I enjoy helping people who have given so much to our country buy their first home. So many never knew buying was even an option!”

Carter Short Senior Loan Advisor, American Pacific Mortgage San Diego, Calif. Carter Short, senior loan advisor with American Pacific Mortgage, has worked in the mortgage industry/real estate investment fields for more than 11 years. He specializes in the VA home loan because being a Navy veteran himself, he understand that the VA loan tends to be misunderstood. He has dedicated a large portion of his career to dispelling many of the common misconceptions surrounding it, through community

Jim Snyder Branch Manager, Inlanta Mortgage Pewaukee, Wis. “I believe it’s important to give back to those who have the courage to step forward and serve in our military, and who continue to protect the freedom that was given to us more than 200 years ago,” says Jim Snyder, branch manager of Inlanta Mortgage in Pewaukee, Wis. “These men and women sacrifice their own lives to keep all of us safe, and helping them buy the home of their dreams is a simple way I can use my expertise to give back to them.” Brad Stevenson Mortgage Consultant, Prosperity Home Mortgage LLC Williamsburg, Va. “We recognize that our military serves us 24/7,” says Brad Stevenson, mortgage consultant with Prosperity Home Mortgage LLC in Williamsburg, Va. “We get an opportunity to try to thank them by delivering the smoothest transaction possible for them and their families. I work to be available for them no matter what time zone they are in to answer all questions and alleviate any stress that could be part of the mortgage financing process. Helping serve the military is one of the greatest joys of my job.” Jason Stier VA Home Loan Specialist, Benchmark Mortgage Plano, Texas “The men and women who protect this country deserve the best possible experience,” says Jason Stier, VA home loan specialist for Benchmark Mortgage in Plano, Texas. “Educating them about this hard-earned benefit, while honoring my family’s service, is the greatest honor.”

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Erika Saldana Senior Loan Officer, Fairway Independent Mortgage Company San Antonio, Texas “My 98-year-old grandfather is a WWII veteran, my father is a Vietnam veteran, and brother served as an Army medic during Desert Storm,” says Erika Saldana, senior loan officer with Fairway Independent Mortgage Company in San Antonio, Texas. “Our men and women who have bravely served, or are currently serving, deserve the very best. I believe they should have worldclass treatment for their sacrifice to defend and protect this great nation and our freedom.”

Dave Slater Branch Manager, Senior Loan Officer, Academy Mortgage Corporation Colorado Springs, Colo. “Serving military servicemembers for almost two decades has been one of the highlights of my career,” says Dave Slater, branch manager and senior loan officer with Academy Mortgage Corporation in Colorado Springs, Colo. “The brave men and women of the U.S. Armed Forces sacrifice so much to ensure our freedom— delivering affordable homeownership solutions is the least we can do to support them.”

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Tyson Rondeau Branch Manager, American Pacific Mortgage Scottsdale, Ariz. “The most important factor is trust, which is the crucial factor in building any relationship,” says Tyson Rondeau, branch manager with American Pacific Mortgage in Scottsdale, Ariz. “We advise, direct and protect veterans on the journey to owning a home. We want to be the lender for life growing with the veteran family. We understand that owning a home helps our veterans in building net worth. Our goal is to meet the veteran’s deadlines, discuss all the pitfalls in the process, and they purchase the right home.”

seminars and lectures. Carter dedicates his time to non-profit organizations such as VAREP/Lions Club for community outreach.

National Mortgage Professional Magazine Presents …

THE BEST MILITARY ORIGINATORS AND LENDERS 2019

Brad Stinson VA Home Loan Specialist, Benchmark Mortgage Grand Rapids, Mich. “I am a United States Marine Corps veteran and VA home loan specialist,” says Brad Stinson of Benchmark Mortgage in Grand Rapids, Mich. “Since transitioning to civilian life, I have dedicated myself to helping my brothers and sisters in arms achieve the American dream of homeownership.”

John Thomas Branch Manager, Primary Residential Mortgage Inc. Newark, Del. “I believe that the people that risk their lives to protect this country and ensure that we have the freedoms that we have should be given every opportunity to live the American dream of owning a home and building wealth,” says John Thomas, branch manager for Primary Residential Mortgage Inc. in Newark, Del. “I want to ensure that veterans take advantage of a great vehicle to help them get started on this journey by using their VA loan to purchase a home.”

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Tamara Vandiver Loan Officer, Movement Mortgage Charleston, S.C. Tamara Vandiver, a loan officer with Movement Mortgage in Charleston, S.C. is retired from the U.S. Air Force; an MMBC-licensed instructor; a CWP class host; leader of SSON (a non-profit that provides non-military PTSD help); a veteran’s advocate; a Tri-County Veterans Support Network sponsor/board member, focusing on veterans in crisis where she swings a hammer for the affordable housing initiative, raises funds, serves meals, distributes hygiene items, connects vets to benefits/resources, homeless veteran backpack drives, and adopts foster families for Christmas. She is ethical has made a significant positive impact in the veteran community.

Andrew Vierra Branch Manager/Mortgage Planner, WealthWise Mortgage Planning Folsom, Calif. “Military women and men sign a blank check, payable to the United States of America, for an amount up to and including their life,” says Andrew Vierra, branch manager and mortgage planner with WealthWise Mortgage Planning. “They do this willingly and unselfishly, to protect our rights, freedoms and way of life. As a military father and American, I’m grateful for their sacrifice and am committed to ensuring that all know the truth about the benefit they’ve earned and are too-often discouraged from using because of either bias or misinformation.” Rick Ward Branch Manager, Benchmark Mortgage Colorado Springs, Colo. “As a U.S. Army veteran, I take great pride in serving those who have served,” says Rick Ward, branch manager with Colorado Springs, Colo.based Benchmark Mortgage. “We enjoy the freedoms that we have in the USA because of the sacrifices of the brave men and women who serve in our military. It’s a duty of all Americans to ensure that our military community receives the best possible experience when they purchase a home to achieve the American dream of homeownership. Roderic Whitfield Senior Loan Officer, Mid America Mortgage Addison, Texas “Since our veterans have risked everything to serve their country, they are entitled to the best loan options,” says Roderic Whitfield, senior loan officer with Mid America Mortgage in Addison, Texas. “VA compares very favorably to other programs in the market.”

National Mortgage Professional Magazine Presents …

THE BEST MILITARY ORIGINATORS AND LENDERS 2019

Academy Mortgage Corporation Draper, Utah Academy Mortgage Corporation is proud to serve our nation’s military personnel and veterans by providing affordable mortgage solutions and supporting military-related organizations. Academy is a featured provider with Homes for Heroes, Heroes Home Advantage, and other state housing programs. One company promotion donated $100 for every veteran who applied for a loan in November to Homes for Our Troops. Academy Loan Officers are involved with life-improving programs for veterans and military families, like the Boot Campaign.

Caliber Home Loans Coppell, Texas Caliber Home Loans has made a major commitment to our nation’s veteran and active military homebuyers. Part of this commitment included the creation of a specialized, in-house educational curriculum that prepared team members to meet the changing needs of our military borrowers. Loan consultants and branch managers who successfully complete the initial requirements and commit themselves to continued education earn the designation of Caliber Military and Veteran Lending Professional.

Hero.Loan St. Louis, Mo. Hero.Loan is an active supporter of the military. Each year, the company sponsors and sends a team to participate in the Bataan Memorial Death March, a grueling desert march to memorialize the brave soldiers who fell in the Bataan Death March. Hero.Loan also pays for every appraisal on every VA loan, and sponsors The Climb for PTSD.

Key Mortgage Services Inc. Schaumburg, Ill. Key Mortgage Services Inc.’s leadership served on a panel at an event for 100 agents in January where the common misconceptions surrounding VA loans and the Military on the Move Program were highlighted. Key Mortgage’s loan officers presented on these topics and the benefits of VA loans in real estate offices, and encouraged agents to become “Military on the Move” certified. Key Mortgage Services promotes and participates in the Military on the Move program.

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Benchmark Mortgage Plano, Texas More than a one-day event, Boot’N & Shoot’N aims to make a lasting impact on the veteran community. Each year features a memorial tribute to fallen servicemembers, with past honorees including Chris Kyle, Tyrone Woods and Glen Doherty. In addition to $6 million-plus raised for charity partners, Benchmark Mortgage is giving back 365 days of the year with a portion of every loan going back to give brain treatment scholarships.

Hancock Mortgage Partners LLC Sugar Land, Texas Hancock Mortgage Partners LLC is involved in many veteran organizations, such being an outreach coordinator for the ESGR program (Employer Support of the Guard & Reserve), a veterans mentor for the Red Cross, and volunteer at its local veteran care facility, a member of Team Red, White and Blue. Hancock Mortgage Partners also takes part in feeding veterans in need and teaching MMBC classes to agents.

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American Pacific Mortgage Roseville, Calif. American Pacific Mortgage (APM) has an entire VA division dedicated to educating, training and assisting originators in supporting veterans and to help educate them about the VA home loan benefit. APM is extensively involved in VAREP and many of the company’s originators hold leadership positions within their local chapters. APM regularly dedicates its time, financial resources, hearts and hands to VA charitable organizations, including Operation Home Front, The Scotch, Rise Above Hardship, and many others.

Fairway Independent Mortgage Corporation Madison, Wis. Fairway Independent Mortgage Corporation has received $885,000 in donations for its non-profit, the American Warrior Initiative. Additionally, Fairway Independent Mortgage has donated 21 service dogs to veterans.

National Mortgage Professional Magazine Presents …

THE BEST MILITARY ORIGINATORS AND LENDERS 2019

Mid America Mortgage Addison, Texas As the proud employer of many veterans, Mid America Mortgage encourages its staff to support veterans organizations and charities in their local communities. Examples of this include volunteering with the Wounded Warrior Program and participating in VFW fundraising efforts.

Mortgage Equity Partners Lynnfield, Mass. Mortgage Equity Partners (MEP) is committed to supporting the nation’s veterans and active military. MEP believes that protecting the country is the hardest job of all. Homeownership helps our veterans become re-engaged in civilian life, and we have a moral obligation to support them by offering VA loans.

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NewDay USA Fulton, Md. NewDay USA contributes five percent of its net income to countless military-friendly organizations, including the GWOT-Foundation, USO, Military Bowl and an endowed scholarship for veterans at University of Maryland through TerpVets. The company’s foundation has awarded more than $2 million in 60 full, four-year military school scholarships to children of killed or disabled servicemembers. NewDay’s employees volunteer thousands of hours annually, from serving the homeless at Baltimore Station, to hands-on Vietnam and Korean War Memorial cleanup.

NEXA Mortgage Chandler, Ariz. NEXA Mortgage has multiple loan officers who have created their own services, programs and community outreach programs, such as “Mortgage Bootcamps” that are now producing last year’s yearly total VA loans every month.

Philadelphia Mortgage Brokers Collegeville, Penn. Paul Carson is a certified instructor for the Military Mortgage Boot Camp program, created in January of 2016. The Philadelphia Mortgage Brokers team is currently involved with volunteering for MANNA (Delivering Nourishment & Improving Health in the city of Philadelphia).

Plaza Home Mortgage San Diego, Calif. Plaza Home Mortgage offers an array of VA loan programs, including VA conforming conventional, non-conforming and second liens, government; fixed and ARM; VA IRRRL and VA renovation. In addition, Plaza Home Mortgage has participated in community and charity efforts in support of servicemembers and veterans, including recent involvement in the Veterans Village of San Diego’s 2019 Stand Down event.

Prosperity Home Mortgage LLC Chantilly, Va. Prosperity Home Mortgage’s mortgage consultants take great care in ensuring that our nation’s servicemen and women have a seamless mortgage experience. Prosperity’s VA Home Loan Advantage program helps veterans and active military obtain competitive VA mortgage loans they would not be able to get at other companies. In addition, Prosperity’s lenders are active in volunteering for veteran homeowner education, mental health awareness, and reintegration initiatives through organizations such as the Veterans Association of Real Estate Professionals.

VettedVA McKinney, Texas Chris Griffith would be the first to tell you his personal production isn’t his biggest value to veterans through the founding of his Debt Does Deals in 2018. His referral service, VettedVA, instead sends veterans to independent brokers across the U.S. to help heroes save on their home purchase and also serving to further unite brokers. While Chris’s work on VA lending is impressive, it is likely even more loans closed that he referred elsewhere.

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Paul Yatooma to the newly created position of vice president of sales. Flagstar Bank has named John Gibson national sales director for its Third-Party Originations Division, where he will be responsible for the strategic direction, growth and profitability of Flagstar’s broker and correspondent channels. Credit Plus has added Julie Piepho to its leadership team as executive strategic advisor, bringing more than four decades of experience in the mortgage industry to this role, where she will engage in speaking opportunities, while consulting with the firm on various research and product development initiatives. Freddie Mac has promoted Frank Nazzaro to executive vice president and chief information officer (CIO). Homebridge Financial Services Inc. has added Matt LaPorta in the roles of branch manager and mortgage loan originator in the company’s Central Tampa branch. LenderClose has announced the addition of Kiara Moyer as a software developer.

SLK Global Solutions has added another mortgage veteran to its leadership team, as Anthony Galiano, a who has more than 25 years of experience in the industry, has joined SLK Global as vice president of mortgage sales and business development. FormFree has announced that it has appointed former Fannie Mae Strategic Business and Relationship Manager Christy Moss, CMB as director of partner relationships. Altisource Portfolio Solutions has announced that Stephen J. Kolimaga has been appointed vice president, enterprise sales, where he will direct his efforts to enhancing the value that Altisource delivers to the origination market through tailoring specific products and services to customer needs. NewDay USA has announced the addition of Anita Kwan to its board of advisors. Kwan brings more than three decades of corporate and management experience to NewDay USA. Embrace Home Loans has announced the promotion of

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that every single day. There is no greater piece of advice I can offer to people. I hope you heed this advice. In ending this short “Blog,” I offer that living in the “Eye of the Storm” this year was beautiful, meaningful, rich in relationship and experience, rewarding and quite frankly far more compelling than sitting on the sidelines. I would highly recommend that you all get out there, out of your seats and out of your comfort zones and get into the mix. There is beauty in the buzz. Be part of the buzz. I feel like this year, I became part of the buzz. I like it. Long live the storm!

Christine Beckwith is a 30-year mortgage industry veteran who has broken many glass ceilings and has blazed a trail for many female professionals to come. Christine is currently president and chief operating officer of 20/20 Vision for Success Coaching and Consulting, a decorated, sought after and award-winning leader. Christine may be reached by e-mail at Christine@VisionYourSuccess.net.

Providing HELOC solutions to the mortgage broker industry since 2006 serving most major markets in the US. Ask about the new broker compensation prog am with Stand-Alone HELOC’s!

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next decade and living their lives in their best way. Personal lesson: After watching three of my family members weather terminal illnesses, I truly have accepted the shortness of our lives and careers. In the past two years, I have left a firm I worked at for 12 years and started my own company. I turned 50 as I said at the start of this article and I am realizing time is a precious commodity. So, my advice here is simply that we must live our best life and our absolute most genuine life. Time is of the essence and I think everyone should be operating with the ideology of

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THE BECKWITH BLOG

Piecemeal GSE Reform Is Risky By David H. Stevens, CMB

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ince the September announcement by the U.S. Treasury Department on government-sponsored enterprise (GSE) reform, there have been a series of statements, interviews, Congressional hearings, and actions taken from the Federal Housing Finance Agency (FHFA) and the Treasury. While calling for legislative reform, the Administration and the FHFA made clear that they were ready to move forward without Congress if necessary. To date, we have now seen the implementation of the first steps, some of which have only increased market volatility. FHFA Director Mark Calabria has established some boundaries related to GSE activities by

eliminating pilots, including things like financing servicing for some lenders and appraisal pilots, and calling for the end of any pricing incentives to select lenders. In addition they have modified the net worth sweep that was established in the third amendment to the PSPA’s by allowing for the retention of earnings to get to a higher core capital base in exchange for increased preference to Treasury. Beyond that, the Director has called for increased capital and suggested that there should be no pricing bias in the market in favor of the government guaranteed programs. In the most recent testimony, the Director suggested an option of extinguishing the private shareholders, stating that this should have been

considered as part of the conservatorship formation in 2008. This raising of the possibility of a receivership path has caused a great deal of speculation causing the share prices of the GSE’s to fluctuate significantly. While some applaud these moves, it reminds me of a management book I once read titled, Ready, Fire, Aim. While bold action can appear to be a sign of strength and commitment to results, movements in isolation from a clear, coordinated, and specific outcome can also risk disruption to the nation’s housing system. And when dealing with the complexity of this multi trillion marketplace that is intricately weaved throughout the domestic and global capital markets, it is critical for policy advocates to make sure to challenge the

notion of “change for change sake” as a process. Several major trade groups have GSE reform policy, and papers written on the subject, calling for “comprehensive legislative reform.” When determining how to address the conservatorship, a comprehensive approach is not only recommended, it should be demanded. Here is what’s at risk … For the past decade, following the Great Recession which took down financial institutions and brought the United States to the brink of depression, including the collapse of Fannie Mae and Freddie Mac, the conservatorship actually has helped the housing market recover and maintained a steady flow of mortgages to support housing. It brought continued liquidity, and through the work of then

current piecemeal series of steps, announcements, proclamations, directives, etc. may prove to only create volatility at the expense of many lenders who have been critical to market support

David H. Stevens, CMB is chief executive officer of Mountain Lake Consulting Inc. He is the former chief executive officer of the Mortgage Bankers Association (MBA) and served as the Assistant Secretary of Housing and FHA Commissioner under President Obama. Dave has spent more than three decades in key leadership roles in housing finance. In 2018, National Mortgage Professional Magazine named David as its “Mortgage Professional of the Year.”

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clear, it may result in an outcome where non-bank lenders and mid-sized to small-sized bank lenders will become disintermediated out of the market at some level. What’s important to recognize here is that it is, in fact, these nonbank lenders and community banks and more that filled in the gap, extending credit to communities across the country, while many of the largest pulled back during the peak of the crisis. GSE reform is important. It is something I have advocated for since conservatorship began. But to be clear, comprehensive GSE reform is what is needed and the

and to the families who found an access point to a home through them. Rather than pulling supports in an isolated series of steps, it would be far better for the housing market if policymakers would enact comprehensive GSE reform legislation, just as they outlined in their own Administration paper in September. It’s time to slow down what could be death by a thousand cuts, and promote a pathway of legislated comprehensive GSE reform.

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Acting Director Edward Demarco and Director Melvin Watts’ respective tenures, the GSE’s continued to provide steady liquidity to the housing sector, making it one of the stronger aspects of the economic recovery. In fact, home prices returned to pre-recession levels, thanks to this continuity and the thousands of lenders that continued to lend into the market despite other contractions in private capital. What we risk by a piecemeal approach is significant. Efforts to shrink footprints and “crowd in” private capital may simply shift the level playing field in favor of institutions with deeper capital as it will be their respective balance sheets that benefit. But to be

HEARD ON THE STREET

Photo credit: Getty Images/Sean Pavone

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Save the Date … Wednesday-Friday, April 22-24, 2020

NAMMBA CONNECT 2020

The Westin Buckhead Atlanta 3391 Peachtree Road NE • Atlanta

NAMMBA’s CONNECT 2020 provides you with an opportunity to network with mortgage and real estate professionals from across the real estate finance industry and will feature some of the top speakers in the mortgage and real estate industry.

Featuring: l Three days packed with professional development, training and networking l More than 50 sales and training sessions l More than 60 Corporate Exhibitors in the Pavilion l Network with more than 800 attendees sales, operations and real estate agents

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Keynote Speakers and Featured Speakers currently booked for NAMMBA CONNECT 2020 include: l Jonathan Lawless, Fannie Mae’s Vice President for Product Development and Affordable Housing l Samuel Luna, Senior Director of Single-Family Affordable Lending for Freddie Mac l Roberto Monaco, Founder of InfluenceOlogy l Mitchel Kider, Chairman and Managing Partner of Weiner Brodsky Kider PC l Rob Chrisman, Capital Markets Consultant for Chrisman Inc.

For more information, visit

NAMMBACONNECT.org/Connect2020. l

Ryan “Buddy” Hardiman to the role of senior vice president of retail and direct sales. In his new position, Hardiman will lead and manage the company’s direct sales team, while coordinating the company’s transition to new technologies designed to upgrade its digital customer experience. Boston-based Notarize has hired Brian Mirek as its new vice president of sales. MAXEX, an Atlantaheadquartered residential mortgage loan trading platform and exchange company, has named Erik Anderson as its chief operating officer. Gateway First Bank, headquartered in Jenks, Okla., has hired Peter Moenickheim to serve as chief risk officer. Gateway has also announced the appointment of Melissa Bogle as director of corporate communications, where she will be responsible for defining and executing the corporate communications strategy, including internal and external communications across traditional, digital and social media platforms. ACES Risk Management (ARMCO) has named Trevor Gauthier as CEO. He replaces Avi Naider, who led the Pompano Beach, Fla.-based ARMCO for the past 10 years and will transition to the board of directors. Truliant Federal Credit Union

has named Beth Eller to the newly created role of vice president of Truliant Mortgage Services, reporting to Chief Operations Officer Anderson Langford. ATTOM Data Solutions has named real estate veteran Ohan Antebian to lead its Consumer Businesses. Ohan will be responsible for charting the future of ATTOM’s consumer business by leveraging its existing portfolio of assets that include extensive real estate data Web sites: Realtytrac.com, homefacts.com and homedisclosure.com. LERETA LLC has named Bill Vassalotti divisional general manager of the company’s APG division in Texas, where he will be responsible for the management of operations and sales for APG. Waterstone Mortgage Corporation has added Scott Woodbury as vice president– risk and compliance at the company’s Pewaukee, Wis.based corporate office. Rutledge Claims Management Inc. (RCM), a San Diego-based provider of hazard insurance claims management for the mortgage industry, has promoted Aubrey Gilmore to the role of chief operations officer. In her new role, Gilmore will be responsible for client retention and satisfaction and overseeing the company’s daily operations and strategic growth. PrimeLending has promoted Tim Elkins to the role of chief production officer. loanDepot has announced the appointment of David King as the company’s new chief marketing officer.

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

NATIONAL MORTGAGE PROFESSIONAL MAGAZINE’S

calendar of events NOVEMBER 2019 Tuesday-Thursday, November 19-21 MBA’s Accounting and Financial Management Conference 2019 Marriott Marquis San Diego Marina 333 West Harbor Drive San Diego For more information, visit MBA.org. FEBRUARY 2020 Monday-Thursday, February 3-6 MBA’s 2020 Independent Mortgage Bankers Conference Hyatt Regency New Orleans 601 Loyola Avenue New Orleans For more information, visit MBA.org.

MARCH 2020 Tuesday, March 3 FAMP Gold Coast Chapter 2020 Annual Trade Show Bonaventure Resort & Spa 250 Racquet Club Road Weston, Fla. For more information, visit FAMPGoldCoast.org.

APRIL 2020 Sunday-Thursday, April 19-23 2020 Regional Conference of MBAs Harrah’s Resort & Convention Center 777 Harrah’s Boulevard Atlantic City, N.J. For more information, visit MBANJ.com. Monday-Tuesday, April 20-21 MBA’s 2020 State & Local Workshop Renaissance Washington, D.C.Downtown Hotel 999 19th Street, NW Washington, D.C. For more information, visit MBA.org. Tuesday-Wednesday, April 21-22 MBA’s 2020 National Advocacy Conference Renaissance Washington, D.C.Downtown Hotel 999 19th Street, NW Washington, D.C. For more information, visit MBA.org.

Thursday, April 23 MBA’s 2020 Capital Markets Summit Sheraton New York Times Square Hotel 811 7th Avenue, West 53rd Street New York, N.Y. For more information, visit MBA.org. MAY 2020 Sunday-Wednesday, May 3-6 MBA’s 2020 Legal Issues and Regulatory Compliance Conference New York Marriott Marquis 1535 Broadway New York, N.Y. For more information, visit MBA.org.

Sunday-Tuesday, May 31-June 2 MBA’s 2020 Chairman’s Conference The Resort at Pelican Hill 22701 South Pelican Road Newport Coast, Calif. For more information, visit MBA.org. JUNE 2020 Thursday, June 25 MBA’s 2020 Document Custody Workshop Ritz-Carlton, Tysons Corner Tysons Galleria 1700 Tysons Boulevard McLean, Va. For more information, visit MBA.org. OCTOBER 2020 Saturday-Monday, October 3-5 2020 NAMB National Caesars Palace 3570 South Las Vegas Boulevard Las Vegas For more information, visit NAMB.org.

Sunday-Wednesday, May 17-20 MBA’s 2020 National Secondary Market Conference & Expo New York Marriott Marquis 1535 Broadway New York, N.Y. For more information, visit MBA.org. Sunday-Wednesday, May 17-20 MBA’s 2020 Commercial/Multifamily Servicing & Technology Conference New Orleans Marriott 555 Canal Street New Orleans For more information, visit MBA.org.

To submit your entry for inclusion in the National Mortgage Professional Calendar of Events, please e-mail the details of your event, along with contact information, to newsroom@mortgagenewsnetwork.com. *Looking for additional exposure at key industry events? Call 516.409.5555, ext. 4 to discover how to maximize your event coverage.

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Sunday-Wednesday, February 23-26 MBA’s 2020 National Mortgage Servicing Conference & Expo Hyatt Regency Orlando 9801 International Drive Orlando, Fla. For more information, visit MBA.org.

Sunday-Wednesday, March 29-April 1 MBA’s 2020 Technology Solutions Conference & Expo JW Marriott Los Angeles L.A. LIVE 900 West Olympic Boulevard Los Angeles For more information, visit MBA.org.

Wednesday-Friday, April 22-24 NAMMBA CONNECT 2020 The Westin Buckhead Atlanta 3391 Peachtree Road NE Atlanta For more information, visit NAMMBACONNECT.org/Connect 2020.

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Sunday-Wednesday, February 9-12 MBA’s 2020 CREF/Multifamily Housing Convention & Expo Manchester Grand Hyatt San Diego 1 Market Place San Diego For more information, visit MBA.org.

Sunday-Wednesday, March 8-11 MBA’s 2020 Mid-Winter Housing Finance Conference Ritz-Carlton, Bachelor Gulch 0130 Daybreak Ridge Avon, Colo. For more information, visit MBA.org.

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Visit www.AngelOakMS.com or call 855.631.9943 Simply The Best Solution in Non-QM Wholesale and Correspondent Lending g. ÂŠ Angel Oak Mortgage Solutions LLC NMLS #1160240, Corporate office, 980 Hammond Drive, Suite 850, Atlanta, GA, 30328. This communication is sent only by Angel Oak Mortgage Solutions LLC and is not intended to imply that any of our loan products will be off ffeered by or in conjunction with HUD, FHA, VA, the U.S. government or any ffeederal, state or local governmental body. This is a business-to-business communication and is intended ffo or licensed mortgage proffeessionals only and is not intended to be distributed to the consumer or the general public. Each application is reviewed independently ffo or approval an nd not all applicants will qualify fy ffo or the program. Angel Oak Mortgage Solutions LLC is an Equal Opportunity Lender and does not discriminate against individuals on the basis of race, gender, color, religion, national origin, age, disability, other classifications protected under Fair Housing Act of 1968. MS675_0419