TNR - February 2009

Page 1

Issue 020 February 2009 TheNicheReport.com

advisory services Complete Real Estate Advisory & Financing

Find out more on page 7

Clients Streamlined The Crux and 13 Orphaned 16 FHA 22 and Customers Refi's Craze of Loan They are waiting for your call.

Put your client into a better loan.

Modification Loan modifications are here to stay.

Niche to 26 Pitch the Rich! What you know, who you know.


Attend Leonard Rosen’s Pitbull Mortgage School Now accepting enrollment for our Hard Money Seminar Hard Rock Hotel & Casino - Las Vegas April 30th Reserve your seat today. Always sells out! The Pitbull Mortgage School teaches you specifics not hypotheticals. Here is a sample of what you will learn:

Are you ready to prosper in the hard money lending industry?

• How to start and create a REG D 506 Federal Filing

how to become a direct hard money lender and also teach you how to create an investment mortgage pool.

• How to start and create a private placement memorandum (PPM)

With the recent credit crunch crises, conventional funding has become more difficult for borrowers to obtain financing. The real estate industry has always been dependent on the ability of lenders to source loans. We have several distinct messages that we communicate at our live event. Mortgage brokers who want to broker hard money, are introduced to direct hard money lenders from all areas of the country. There are many mortgage brokers who have an interest in becoming a hard money lender. We teach you

Marketing hard money for commercial and residential properties is a key element to your success. Quite frankly, nobody knows how to market hard money better than us. We show you a proven, time tested business model. There is nothing sold at the event. Whether you are a broker who wants to originate hard money or have a desire to become a hard money lender, I can assure you that you will be shocked at the high level of content.

This is a one day event. April 30th at the Hard Rock Hotel and Casino 4455 Paradise Road, Las Vegas, NV 89169

Room Reservations at 800-HRD-ROCK. Individuals must identify themselves with Pitbull Seminars Inc. or PITK08B to receive the special group rate. Seminar will be held from 8am to 6pm . Followed by a hosted Networking Cocktail Party

Questions? Call 858-736-7788

www.PitBullMortgageSchool.com

• How to start and create a mortgage pool • How to start and create a fractional investment mortgage pool • How to broker mezzanine and conduit loans • How to start and create a hard money mortgage company • How to ask the right questions of the borrower • How to manage your borrower • Where to place your loan scenario • How to determine the real value of the property (the Pitbull Hard Money way) • How to package and sell your loan to the investor • How to broker raw land loans, hard money commercial projects, foreclosures, NOD’s and hard money real estate development projects • How to assess an appraisal that will lead to funding the loan • How to broker second mortgages and home equity lines of credit • How to become a hard money lender • How to broker commercial hard money loans • How to broker hard money rehabs • How to fund and broker home equity lines of credit (HELOC´S) • How to learn strategic technques of foreclosure training



Does commercial financing still exist?


Remington Financial Group offers an extensive network of private and public lending partners, dramatically improving close rates for borrowers. With a successful track record of closing hard money and conventional transactions, Remington delivers expertise and competitive options, even in these challenging market conditions. Call us today to find out how Remington Financial Group can help make your next transaction a success. 480.905.3239 www.remingtonfg.com apply@remingtonfg.com


CONTENTS

16

Issue 020

February 2009

FHA Streamlined Refi's Leslie Petersen Put your client into a better loan

NICHE REPORTS agency & FHA

pg 35

JUMBO

pg 36

PORTFOLIO & ALT–A

pg 37

REVERSE

pg 38

Manufactured

pg 38

NON-PRIME & HARD MONEY

pg 39

CONSTRUCTION/REHAB

pg 42

COMMERCIAL

pg 43

FOUNDER & PRESIDENT Robert Pegg robert@nichereportonline.com CO-FOUNDER & PRESIDENT David Pegg david@nichereportonline.com

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Orphaned Clients and Customers

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TOM Ninness Vice PrEsident Cherry Creek Mortgage They are waiting for your call.

22

The Crux and the Craze of Loan Modification Andy warshaw, J.D Loan modifications are here to stay.

26

Pitch Niche to the Rich! Jack Williams www.gotrates.net What you know, who you know.

6

February 2009

Center Stage with Compliance Made Simple The Niche Report Compliance - what you don't know will hurt you.

32

Tip of the Month Stewart MeDNick The Golden Rules Part II

DEPARTMENTS

09 10 45

NOTE FROM THE FOUNDER CALENDAR OF EVENTS LENDER & RESOURCE DIRECTORY

EDITORIAL / CONTENT MANAGER Kristen Moser kristen@nichereportonline.com COPY EDITOR Stewart Mednick stewart@nichereportonline.com ACCOUNTING MANAGER Shawna Ingram shawna@nichereportonline.com sales manager Mark Moulton mark@nichereportonline.com Production Manager Henry Suchman henry@nichereportonline.com Production Assistant Dawn Exner dawn@nichereportonline.com ADVISORY BOARD Aaron Krowne President and CEO, IEHI, Inc. COLUMNISTS Stewart Mednick CONTRIBUTING AUTHORS George H. Marentis Tom Ninness Leslie Petersen Andy Warshaw Jack Williams


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There is a solution.

Published monthly by BODA Publishing, LLC PO Box 2618, Stafford, VA 22555 Phone: 866.964.2695 Fax: 703.991.2362 Email: info@nichereportonline.com www.TheNicheReport.com

SUBSCRIPTIONS This publication is intended for real estate finance professionals. If you are a mortgage broker, lender, loan officer and you do not currently receive The Niche Report, please send your name, company name, and address to subscriptions@nichereportonline.com. Send address change requests to info@nichereportonline.com. Remember to include the old address.

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To opt-out of receiving The Niche Report, please send your request, including name, company name, and address to opt-out@nichereportonline.com.

ADVERTISEMENTS To inquire about advertising in The Niche Report, please call 866.964.2695, or send an email to ads@nichereportonline.com. Visit our website, www.TheNicheReport.com to download a copy of our Media Kit.

EDITORIALS / ARTICLES To submit an article for consideration in The Niche Report, please send an email to kristen@nichereportonline.com or call 866.964.2695. We are interested in original writings relevant to mortgage brokers and other real estate finance professionals. If you have a comment or question about an article or editorial published in The Niche Report, or if you have a suggestion for a topic you would like to see featured in a future issue, please send an email to kristen@nichereportonline.com.

THE NICHE REPORT POLICY The information and opinions expressed by contributing authors and advertisers within The Niche Report do not necessarily reflect those of BODA Publishing, LLC employees and should not be considered as endorsed or recommended by BODA Publishing, LLC.


NOTE FROM THE FOUNDER

This issue of TNR is packed full of great content – including our feature article on FHA Streamlined Refinances by Leslie Petersen, the industry guru on FHA/VA and conventional guidelines. A loan originator cannot survive without having FHA or VA in their portfolio of product offerings. This article gives great insight to one of the best programs on the market. It has been reported that correspondent lending is rapidly growing while wholesale mortgage brokering is rapidly decreasing. This seems quite obvious with Chase recently shutting down their wholesale operations. I believe the small broker is getting squeezed out. To remain competitive in this market these same small brokers are joining correspondent lenders as net branches. By doing this, they are now able to compete with retail lenders but must now also carry a substantial about of risk on their shoulders, sometimes referred to as “skin in the game”. I won’t go in to all the associated risk because it differs from company to company but I will say this is not a bad thing; in fact, it will help to cleanse our industry of the “bad apples”. I am not saying the small broker is dead, only that there is a popular transformation occurring that preserves our competitiveness. Along with this transformation, be ready for much more change in terms of compliance and regulation. This is going to be a bumpy ride, but know that your services are needed and be ready to adapt. Build upon relationships and put the customer first. If you are interested in learning about net branch/correspondent opportunities, please visit our online forum at TheNicheReport.com. The thread is titled - Net Branching & Correspondent Lending. There are a number of reputable companies already listed for you to begin your research. If you happen to already belong to a net branch/correspondent lender please feel free to post about your experience and offer helpful tips for those searching for a home.

Keep up the fight,

Robert Pegg

TheNicheReport.com

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CALENDAR OF EVENTS

Upcoming Key Dates & Events: February & March February 2009 S M T W T

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February 26 FAMB - Tradeshow - Central, Space Coast & Volusia. Marriott World Center February 26 JeanMarie Hearnshaw (321) 733-0244 e-mail msinc@onemain.com BJ Simoneau (386) 738-9633 e-mail bjflmtg@bellsouth.net

February 26 FAMB - Tri-Chapter Mortgage Showcase World Center Marriot Resort February 26, 3:00pm - 7:00pm Please join Central Florida Chapter, Volusia Chapter and Space Coast Chapter on February 26, 2009 for this historic trade show. This year Vendors will benefit from the Unity of 3 Chapters, Lower Costs and more foot traffic than ever before. This years Venue: The Luxurious World Center Marriott Resort Date: February 26, 2009 Tradeshow time: 3pm till 7:00pm Theme: Frontier Days Foot Traffic: Estimated 2500 to 3500 Contact: Steve (407)767-5343; Dan (386)788-5211; Jean Marie (321)733-0244.

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February 2009

February 27 CAMB - LAM, BOD Meeting 8:30 am - 10:00 am GB Mortgage Solutions 407 S. La Brea Ave, Inglewood, CA 90301 Phone: 310-590-1235 March 2-4 NJAMB - New Jersey Licensing and Compliance Course 3:00 - 6:00 p.m. Holiday Inn, 2339 Rte 4 East, Fort Lee, NJ March 3 FAMB - Annual Tradeshow Palm Beach County Convention Center 5:30pm - 8:30pm, "Roll the Dice and Win in 2009" Attention Marketing Directors, Join us for our 2009 Annual Tradeshow. March 10 AAMB - Southern Chapter Luncheon Viscount Hotel - 4855 E. Broadway, Tucson Members - $20, Non Members - $25 RSVP to Rita Thomson-Zurita mortgagemom@msn.com March 11 CAMB - CAMB SD BOD Meeting San Diego, 5:00 pm - 7:00 pm Karen Satterwhite http://www.cambsd.org/ March 11 AAMB - Central Chapter Luncheon 11:30-1:00, The Hilton Garden Inn 4000 N. Central Avenue, Phoenix, AZ (just w. of central on Clarendon) March 13 CAMB - SV 2009 Tradeshow, Silicon Valley Diana Liffengren, www.siliconvalleycamb.com Mark your calendar now for the best tradeshow in Silicon Valley! Location and more details are forthcoming. If you want the luck of the Irish and want to see green ($$) come your way, you won't want to miss this year's event. Exhibitors can call now to hold their spots. Contact Chapter Coordinator Diana Liffengren at 408-404-5202.

March 15-18 MBA’s National Technology In Mortgage Banking Conference & Expo at Mandalay Bay Resort and Casino, Las Vegas, NV. Register Info: (800) 793-6222, option 3 Exhibitor Info: 202) 557-2791 or (202) 557-2792 Sponsor Info: (202) 557-2790

March 15-19 NJAMB - 26th Annual Regional Conference of Mortgage Bankers Associations, Trump Taj Mahal, Atlantic City, NJ Visit us at our booth at both the Residential and Commercial Expo's!

March 16-18 MBA’s National Fraud Issues Conference at Mandalay Bay Resort and Casino Las Vegas, NV. Register Info: (800) 793-6222, option 3 Accommodations: Once your registration has been processed by MBA (approximately 3-5 business days after receipt), you will receive a registration confirmation letter with information on how to make your hotel reservations. Please do not call the hotel directly to make your hotel reservations. Exhibitor Info: (202) 557-2791 or (202) 557-2792 Sponsor Info: (202) 557-2790 March 19 FAMB - Jax Luck O'Jacksonville Trade Show Hyatt Riverfront, Downtown Jacksonville Celebrate with us as we showcase the economic fortunes of Jacksonville! Single booth space prices are $795, if paid by January 31, 2009, and Double booth space (only 8 available!) prices are $995, if paid by January 31, 2009. Don't miss this 11 time sold out event...you just gotta ask yourself "How can you not feel lucky?" March 27 CAMB LAM, BOD Meeting 8:30 am - 10:00 am GB Mortgage Solutions 407 S. La Brea Ave, Inglewood, CA 90301 310-590-1235



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ORPHANED CLIENTS AND CUSTOMERS They are waiting for your call BY Tom Ninness

L

ast year, Colorado joined the ranks of states to finally regulate mortgage brokers to register. Over 10,000 loan originators state-wide filled out the necessary paperwork, got their E&O Insurance, Surety Bond, and criminal background check. Later in the spring, the State of Colorado changed the rules and said that mortgage brokers had to take 40 hours of education along with getting tested by December 31st. The last number I heard, only 1,200 brokers completed and past the test. Did we lose that many mortgage brokers? Are mortgage brokers procrastinators or did that many leave the business? It’s probably a little of both, and I can only assume that the percentage of exodus in Colorado is similar to those in your territory. There is a tremendous amount of orphaned builders, Realtors, buyers, sellers and professional referral sources waiting for you to call on them. They are looking for professionals like you to help them with their clients. Now is the time to make prospecting and setting up appointments as a daily discipline. When it comes to building relationships, it takes more than one sales call. Statistically, 46% of all sales people ask for the business once and stop making calls to the client. 24% ask twice and stop. 14% ask three times and stop. 12% ask 4 times and stop and only 4% ask 5 times or more. An interesting fact is that 60% of all business is sold after the person is called on at least 5 times! This is the number one reason why I like calling on builders. Most of my competition already assumes that

the builder has a lender in place so why bother making the call. In this kind of market change, most builders do not have a relationship. A number of them closed down their mortgage company and are looking for solid lending relationships. I’ve had builders tell me how surprised to see me call on them multiple times as most lenders stop after the first call. It’s immature for a sales professional to expect business the first time out. It happens sometimes—but rarely. The one who has the “call till it croaks” will have success. Same goes for Realtors. A Realtor called me a few weeks ago and was surprised how quickly I returned her call. I told the Realtor that I’m neurotic about returning calls quickly and that when someone doesn’t return my call in a timely matter, I consider it unprofessional. Lenders are finally getting busy with refinances and have abandoned the agents. This Realtor ask to set up an appointment with me as she put in a call to her loan officer three days ago and still hadn’t heard from them. Past clients, buyers and sellers have also been abandoned. Even in normal markets, loan officers do a poor job in staying in touch with their clients. I read an interesting article from Kevin Johnson regarding client satisfaction and client retention in the mortgage industry. Over 1,000 clients were asked the question how satisfied were you with your last lender and how was the experience. Over 89% said that they were satisfied or very satisfied with the service. The next question was, “Did you go back to that lender the next time you did your next purchase or refinance?” Only 16% went back to their previous lender. Why--Because 80% of us do not

TheNicheReport.com

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stay in touch with our clients. We assume that since we did a good job the first time, that the client will break their necks trying to find us for their next transaction. As mortgage professionals, we have to look at our business long-term and our responsibility to our clients is to manage their mortgage, even though we are not servicing the mortgage. You must have a “Customer Management and Retention System” in place that lets you know when a client’s birthday, mortgage anniversary, ARM is adjusting and alarms when it makes sense for past clients to look at refinancing. Lastly, buyers and sellers are looking for a lender who will adopt them. Write press releases, articles on market changes. Offer free seminars on what’s going on in your market place. Participate in civil, social and community groups. The one who builds the biggest list, maintains that list and works that list will win big in today’s market.

also the President of Summit Champions, Inc. and creator of the “The 90 Day Journey to Your Sales Success”, a powerful 90 day action plan for the sales professional. To learn more about The Journey and all what Summit Champions has to offer, go to www.90dayjourney.com, www.summitchampions. com or contact Tom at information@summitchampions.com Office: 720-221-4396.

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FHA Streamlined refi's Put your client into a better loan

By Leslie Petersen

W

ork less, make more money and put your client into a better loan! Yeah, right – heard that before, haven’t you? What about no appraisal and no income qualifying? Too good to be true, right? Let’s test it out. All of the following are rumored to be features of the FHA Streamlined Refinance program. How would you answer?

T F o o 1. Unemployed borrowers are eligible; there is no income qualifying o o 2. No FICO requirements o o 3. No new appraisal required, even in declining markets o o 4. Borrowers who no longer occupy the home may be dropped from the new loan o o 5. No asset verification o o 6. Loan can be done at no cost to the borrower o o 7. There is no one-year seasoning requirement o o 8. Borrowers end up with a better loan, usually with lower payments o o 9. Secondary financing may be subordinated without regard to CLTV o o 10. Current occupancy is not necessary


You’re correct if you guessed that they are not all true; number 4 is false. But the rest are legitimate, and a fairly comprehensive synopsis of the FHA streamlined refinance features. Read through them again for a better appreciation of the program, skipping over #4 this time. There are two pretty big catches: (a) an FHA streamlined refi is only for borrowers who currently have an FHA insured mortgage; and (b) to originate an FHA mortgage, streamlined refinance included, you must be a W-2 employee of an FHA approved company. Pretty big catches.

What Are Streamlined Refinances? The premise of streamlined refinances is to originate a new mortgage with minimum qualifications that place the borrower and HUD in a better position. Take Danny Homeowner, for instance, who purchased his home with an FHA insured mortgage. The FHA insurance means that HUD is already on the hook if Danny’s home were to be foreclosed (an unfortunately common occurrence lately). To mitigate this possibility, HUD is willing to insure a new streamlined refinance mortgage that makes it easier for Danny to make payments. So what if Danny lost his job or his home declined in value? Who Qualifies To qualify. FHA’s basic rule is that the P&I on the newly created mortgage must be less than the borrower’s current P&I payment. An exception to this rule allows increasing the current interest rate of an ARM loan by as much as 2% without additional qualifying other than ensuring that the borrower was making timely payments. There are other exceptions to a P&I reduction, most specifically for those going to or coming from ARM loans or reducing the loan term. Details can be located in HUD’s Handbook 4155.1 REV 5, Mortgagee Letter (ML) 04-28, and ML 05-43; or, in my own FHA and VA Streamline Refinance Handbook, found at my website. The bottom line is that it may not be just borrowers with high interest rates who are good candidates for a new FHA streamlined refinance. With or Without Appraisal Although FHA streamlined refinances may be performed with or without an appraisal, the typical

reaction is, “Why on earth order a new appraisal if it’s not required?” ‘With’ appraisal is not nearly as common as ‘without’, but it does have an advantage. As you will see in the loan amount calculations, next, the maximum loan amounts for streamlined refinances without appraisals are limited by the original note amount (plus UFMIP). Calculations for ‘with appraisal’ are based on the new appraisal. In other words, if the value of the home increased since the first loan was originated, the maximum allowable loan amount is higher. Typically, Originators choose the ‘without appraisal’ route, and pay for cost shortages through their yield spread premium (YSP) or servicing release premium (SRP), resulting in a higher interest rate to the borrowers. The ‘with appraisal’ option is desirable if you’re trying to keep the rate low by increasing the loan amount to cover all of the new loan costs.

How Much Can They Borrow? 1. The maximum loan amounts calculations are: • Without an appraisal: the original note amount (which includes the UFMIP*) of the FHA insured mortgage being refinanced PLUS the entire new UFMIP. • With an appraisal: 97.75% of the new FHA appraisal plus the new UFMIP (UFMIP is covered below) 2. But we’re not through. Because this is a rate & term and not a cash-out refinance, the clients may never borrow more than the mortgage indebtedness, which is: • Existing Lien Calculation: Add the existing lien with no more than 60 days interest, new closing costs and prepaids, discount points as applicable to reduce the rate, costs of home repair if required by the appraiser; then subtract the UFMIP refund, if applicable; then add the new UFMIP The final loan amount is the lower of the two. If the “existing lien” calculation is higher than the first calculation, the borrower will be short funds to close. The difference is the amount that must be derived through premium pricing (YSP or SRP) for a ‘no cost’ loan. Upfront MIP (UFMIP) The UFMIP premium amount for all new streamlined refinances is 1.5% [ML 08-23 & ML 08-40.] Borrowers whose loans were in force less than 3 years are due for a pro-rated refund of the UFMIP that they paid

TheNicheReport.com

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on the original loan. This definitely lessens the burden by eliminating the need to pay UFMIP all over again. FHA borrowers are hit twice with Mortgage Insurance and must also pay a monthly premium. However, they’ve already been paying a monthly premium on the existing loan. The new premium seldom goes up by very much and depending on the LTV and loan term, the dollar amount to the borrower can actually be reduced or dropped.

Seasoning HUD’s only seasoning requirement is that the current loan be HUD insured. Some lenders impose a six month loan seasoning, yet it’s not a HUD requirement and not required by all lenders. The true restriction comes from the lenders of the loans being refinanced. Most lenders contractually require the loan officer on the original loan to refund, or pay back, the YSP/SRP if the loan is paid off within a certain amount of time – usually six months or a year. Often, the pay-back is required regardless of who originates the new loan. As an originator, this reinforces the need to keep in contact with prior clients. If it’s in the best interest of a prior client to refinance an FHA mortgage currently in the lender-pay-back-the-YSP period, contact the lender and discuss potential options. Other Eligibility Requirements Some of the other requirements for FHA streamlined refis are: • The borrower can never get cash back in excess of $500 • The new loan can never pay off secondary financing. However, new or existing secondary financing may be subordinated without regard to CLTV. • Non-occupants can never borrow more than the outstanding balance of the current mortgage. The maximum loan is calculated by taking the current balance plus the new UFMIP minus the UFMIP refund. All costs must be paid by the borrower or derived from premium pricing. • A valid Social Security verification is necessary. Any time the current FHA loan was originated with an invalid SS# (it happens), the outstanding loan is ineligible for a streamlined refinance. 18

February 2009

• The maximum loan term is the remaining outstanding term plus 12 years • Borrowers may not be dropped from title except by devise of law (i.e., divorce, death), and even then, are subject to additional conditions.

QUALIFYING Without Qualifying: As previously mentioned, qualifying is not required as long as the borrower fits into all of the eligibility requirements. There is no verification of income, employment, or assets. Additionally, neither credit reports, nor FICO scores, nor CAVIRS are required. A 12 month payment history is customary (or less, if the new loan was originated less than 12 months ago) and is required by the new lender. A payment history is also required by HUD when increasing the P&I. A word of warning: if you provide the lender with a FICO, the lender will use it. A low FICO may cause your loan to be rejected; so remember to NOT provide a FICO unless it’s specifically mandated by the lender. With Qualifying: When removing a borrower from title who doesn’t qualify on his/her own through devise of law (last bullet above), or if the P&I on the new mortgage increases by 20% or more over the P&I on the existing loan – the remaining borrowers must go through the entire re-qualification process. Examples include dropping parents who originally co-mortgaged on the loan; or, refinancing from a 30 year term to a 15 year term. Although it may seem contradictory to originate a streamlined refinance that requires qualifying, the saving grace is the lack of appraisal required. A no-appraisal transaction is often a deal saver in today’s market. COMMISSIONS & FUND SHORTAGES I find it’s common for originators to end up with far less commission than anticipated. Either that, or funds are required at closing that the borrower just doesn’t have and were never quoted. Both of these circumstances are not only devastating, they are avoidable. With a streamlined refinance it’s always a numbers game. A couple of suggestions: • Don’t quote an interest rate until you have all of the numbers necessary to calculate an accurate loan amount. • Take control of all calculations, including the loan


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amount. The borrower’s interest rate, and your commissions are all intermingled and it shouldn’t be the processor’s problem. • Always ask the borrower to bring a house payment to the closing table. • Don’t underestimate the payoff or the amount of prepaid expenses. Especially the expenses necessary to establish a new escrow account at the new lender. It can make a huge difference in the loan amount. • Recognize that any time the “existing lien” exceeds calculation number one, (see “How Much Can I Borrow” above) the difference in funds must come from someplace – whether it’s your commission, the YSP/SRP or from the borrower

Streamlined refinances are easy and profitable mortgage loans to originate, but you must pay attention to all of the details and nuances. This current low interest rate environment opens the door to an exciting mortgage refinance option that can benefit all parties, including (especially) the loan originator. If you’re FHA approved and serious about digging in, you might as well become a Streamlined Refinance Expert and make your life easier.

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THE CRUX AND CRAZE OF LOAN MODIFICATION Loan modifications are here to stay by Andy Warshaw, J.D.

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s the economy crumbles, more and more Americans are at risk for losing their home. Lenders and servicers are overrun by distressed homeowners trying to avoid foreclosure. Unfortunately, lenders lack the resources to save every homeowner and many are getting lost in the resulting economic quagmire. An individual’s sense of pride, joy, and security of home ownership is withering away with the crippling economy. The rate of foreclosure is staggering. But there is a way to avoid this tragedy. That solution is a loan modification, which allows normal, everyday people to save their home. If you are in financial trouble, professional loan modification specialists can act as your white knight, saving you from losing your home. It is a solution that both lenders and borrowers champion because it benefits both parties. A loan modification benefits the lender because some (or all) of the outstanding principal and interest, as well as other associated fees, can be rolled into the new loan and, as a result, does not result in lost revenues. Homeowners, of course, value the option to stay in their home, even if it means making payments over a longer period of time. A loan modification, as the Department of Housing and Urban Development defines, is a “a permanent change in one or more of the terms of a mortgagor’s loan,” that “allows the loan to be reinstated, and results in payment the mortgagor can afford.” In essence, a loan modification allows homeowners to continue living in their home while making more affordable payments. Try not to confuse a loan modification with other banking concepts. A loan modification is not the same as debt consolidation, refinancing, or even forbearance. Debt consolidation combines multiple loans into one loan, often with a lower monthly payment http://www. 22

February 2009

investorwords.com/3634/payment.html and a longer repayment period. Refinancing is a similar concept in which the borrower pays off an existing loan with the proceeds from a new loan. Forbearance is a process whereby the lender temporarily changes the terms of the loan allowing the homeowner to get caught up on their late payments. Forbearance is not a great option for most people because the payments increase after the forbearance period and the terms of the loan are left unaltered. Loan modification is a long-term solution for borrowers with hardships that overwhelm their budgets.

The Legalese The loan modification process is a sticky, involved process. Each lender has its own standards and procedures that make it difficult for borrowers to manage the process on their own. To further complicate matters, these standards and procedures are ever changing as laws and regulations adjust to the current economic crisis. Both federal and state lawmakers are presently involved in the loan modification process, further contributing to the complexity of the rules governing the process. There are two core pieces of federal legislation affecting the loan modification market: the Truth in Lending Act (TILA) and the Real Estate Settlement Procedures Act (RESPA). TILA was developed to protect borrowers from predatory lending by requiring clear disclosure of key terms of the lending agreement and the costs associated with it. RESPA similarly requires lender disclosures of closing costs and settlement procedures. Professional loan modification companies sometimes use these statutes as leverage in marketing the modification to the lender.


They may also refer the violation to an attorney to proceed against the lender.

Painting a Picture To give you an overall picture of how the loan modification process works, it begins with a series of phone calls to the lender during which the caller is greeted by a series of menu options, automatic phone messages, number options, and hours of unpleasant hold time full of staticfilled music. It can best be described as miserable. By the time you finally reach a person on the telephone, you will be redirected to a new representative, who has absolutely no idea who you are or what your file is about. They are often overburdened with hundreds, if not thousands of files on a daily basis. The best solution - Use a professional service company that specializes in loan modification and are there to help you. Professional loan modification specialists are able to dedicate their full attention and expertise to modifying your loan. They will investigate the numerous possibilities to make your loan modification successful, with as little stress as possible. There are literally thousands of loan modification variations that professionals use, depending on the borrower’s circumstances. The most common modifications available are lowering the interest rate, establishing a fixed interest rate, forgiving payment defaults and fees, or a combination of any or all of these. Principal reductions are sometimes considered but are rarely granted. The most prevalent method of loan modification is an interest rate reduction, which involves establishing a fixed rate of interest for an extended period of time. Lenders prefer this option because it ensures that there is a continued stream of payment and it prevents more drastic measures, such as foreclosure or a short sale. Lenders, of course, do not want to resort to a foreclosure or a short sale because they stand to lose an inordinate amount of money. Department of Real Estate in California An example of very strict state licensing is The Department of Real Estate in California. They have an exclusive list of approved loan modification companies that can assist you. Beware of loan modification companies that are not in compliance with DRE regulations. The DRE requires that loan modification companies have an approved contract and fee agreement prior to collecting advance fees. Do not pay an advanced fee to a company

not in compliance with the law. As of now, only a small percentage of loan modification companies in California are in compliance. Please visit the DRE website for a listing of approved companies. California is one of the first states to regulate this industry, though other states are rapidly following suit.

The Crux of the Decision The loan modification process is an intricate, multifaceted procedure. The loan modification decision is not always made by the firm that owns the loan. Instead, the decision is often made by a group of investors who own pieces of the mortgage-backed security. The decisions are based upon what is the most lucrative option for the investor, or what minimizes their losses. A loan modification with an interest rate reduction is often the preferred avenue. Nonetheless, foreclosure is an option if it generates lower costs to the investor or the lender. The effect of the foreclosure on the borrower is sadly not a consideration to the investor and lender, though the presentation and the facts of the borrower’s condition do impact the decision. This is why it is imperative to use a loan modification specialist to present the strongest possible case to the lender for the modification. The amount of equity in a home is a crucial factor affecting the modification. The lower the equity in the home, the greater the chances are for a modification service. The level of equity depends on the overall property value, which a homeowner can generally determine by comparing the sale value of other homes in the neighborhood and the trend of the sale prices. The greater the equity in the home, the less motivated a lender is to allow a modification. Other criteria considered in the loan modification process include whether the loan is based upon an adjustable rate. Adjustable rate loans are preferred for qualifying for the modification. The adjustable rate should be coupled with a borrower who is behind on payments and who has a verifiable, reduced income. This reduced income is known as the homeowner’s hardship and is used as leverage in the modification process. The hardship is a major consideration by the lender in deciding whether to accept the modification or not. An example of hardship is a married couple where one of the spouses loses their job. Solving the Lender’s Dilemma The housing crisis has crippled the economy, leaving TheNicheReport.com

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many lenders turning to financial instruments such as loan modifications that protect their housing investments. Loan modifications are often a win-win situation for both lender and borrower, but lenders are careful to ensure that loan modifications continue to protect their investment. As a result, many lenders have been flooded with phone calls and inquiries about loan modifications but are unable to move quickly on the applications. Lenders are often understaffed and unwilling to invest in new staff to handle the homeowners’ questions. A loan modification company, whose only job is to assist homeowners for a loan modification, will be able to assist you in dealing with this stressful experience and ensure that the process moves quickly and smoothly for you.

The Future Loan modifications are here to stay! Legislators and government officials are pushing new proposals and legislation to save homeowners (and the economy). The FDIC recently unveiled its own proposal from Chairwoman

Sheila Bair to streamline the process. “It is imperative to provide incentives to achieve a sufficient scale in loan modifications to stem the reductions in housing prices and rising foreclosures,” the Federal Deposit Insurance Corp. said in a statement on November 14, 2008. One of the key elements of the proposal is that housing payments for the delinquent borrowers would be reduced to 31% of their income. The plan would help 2.2 million borrowers in obtaining loan modifications. Bair’s proposal is commendable but it is only one of several options currently being considered. However, regardless of whether the FDIC’s plan is approved or whether alternate legislation prevails, borrowers are the beneficiaries and loan modifications are here to help keep people in their homes. The economic crisis has no immediate end in sight. Homeowners who need to reduce their current mortgage payments should consider using the resources of a fully compliant loan modification service such as one approved by DRE.

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pitch niche to the rich! What you know, who you know BY jack Williams

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pon fleeing the wreck that was Enron Corp. after 6 years of corporate communications positions within Fortune 10 Corporations, I realized I needed a new line of work. A sales position opened up for me as a Title Sales AE here in San Jose CA. Thereafter, mortgage sales positions of ever-increasing seniority and scope began to come to me in rapid fashion. This was in direct proportion to the passion I brought to the table and to the service I provided to my clients. Once I learned that proportional ROI, I could never do anything else again. Just think – mobile, connected electronically and in relationships – I could never go back to “driving a cube” again. I needed to figure out a way to make sure that I was presenting a unique and valuable sales proposition. “He Who Loves Cherries Soon Learns to Climb” – ancient Chinese proverb. Within wholesale and later retail mortgage banking experiences, I was doing the “complicated” loans when everyone else was being all “NINJA’d” back in the “good old bad old days”. Things like Pledged Asset Lending, One-Time Close Custom Construction, Asset-Dissipation Loans, Trust/LLC/Corporate Lending, Foreign National Lending, and Structured/Laddered Financing were all “too much paper” for the lazy folks to get behind back then.

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That left ME to become known as a niche player. NICHE NOTE: My recommendation to all of you out there who desire to work in the niche lending marketplace is to become an expert in all things FHA while you pick up speed in the niche market. The first few years can be frustrating if you’re doing it on your own. How to Navigate the Stormy Seas of Niche Residential & Commercial Lending: OK. You’ve got a great package on your desk. What do you do with it? Other vague resources can give you a few places to check out, but you most likely don’t have an established relationship with these resources, someone who can advise you and help you keep your errors to a minimum. You need a mentor. Make friends with seasoned commercial lenders. Use online networking tools to learn as much as you can about how these seas are navigated. NICHE NOTE: Get familiar with the following concepts: Executive Summary, Personal Financial Statement (PFS), Expression of Interest (EOI), Letter of Interest (LOI), Non-Compete Non-Disclosure Agreement (NCND), Exclusivity Agreement (if you are DIRECT to the client you need this RIGHT AWAY before you shop), Consulting Agreement, and last but not least – the dreaded “daisy chain” – the success of your deal is in an inverse proportion to your success. The more cooks in the kitchen, the worse the sauce, I say. Climb that cherry tree, if you really like cherries! “At each stage of the game, and with each new rung position on the ladder, make sure you update your database, reflect on your connections, and decide what


your focus will be when you’re positioning yourself for battle on the High Seas of International Niche Financing” Niche Lending Providers: Just as in the conventional lending world, the niche market has various classes of residential and commercial funding providers. NICHE NOTE: Today’s standard for custom SFR construction is 70% LTC – NOT LTV. BANKS: There’re many mortgage banking niche products in the conforming world (more on the way, too). These are the government products for the most part. Some direct lenders will offer their own “competition buster” conforming products. Other national and international banks have what they call “Private Mortgage Banking” divisions – this is where the banks do their magic super jumbo products for high net worth individuals. PRIVATE EQUITY FIRMS: There are many, many private funding firms around the country. Some deal with their own portfolio, others have uncommon access to international trusts and institutions. The may have “hard”, or better yet, what I call “jello money” – not quite bank rate/fee but still not SO hard as to be considered hard money. The emphasis here is not on full doc/credit qualification, rather on collateral or “skin in the game”. HEDGE/PENSION/TRUST/INSURANCE FUNDS: This is where the HUGE projects go – into the BILLIONS and beyond! Each fund or entity has its own appetite for difference niche deals – be it Green Energy, Humanitarian, Spec, Custom Estate, Developments, Mines, Accounts Receivables… SELLERS: We can’t forget the seller of the destination property. When we can’t find conventional or even exotic funding sources, a good consultant will approach the seller to see if seller-financing can be arranged. I recently came across a $4MM Knob Hill SF Condo deal where the seller is willing to carry 80%!

“What You Know, Who You Know” – Putting that Last Best Deal to Good Use: You’re only as good, and as intelligent, as your last deal. What does this mean to you? And by last deal, is that necessarily closed and funded? Hopefully so. But in the niche marketplace, there’s a lot of sweat equity in climbing that ladder. Make sure your transactions are rock solid. Take a look at that nasty, three-times-faxed executive summary and make sure the loan adds up before you use up a “duh” marker with your funding source. If for some reason the deal doesn’t close – what’d you learn? The things you’ll learn, and the people you’ll meet each increase your What/Who factor – your W/W factor will then give you the knowledge to close the next one, as well as decrease the degree of separation from you and the actual principal party. NICHE NOTE: Make darn sure that you get “one what and one who” out of anything you do! Make it your mission to get a what and a who every single day. Make collecting the w/w’s a new passion. Use internet business networking sites to meet new people, ask questions, and increase your position as a trusted, valued, and beloved advisor to your circle of influence. It may take time but if you stick to it you will be successful beyond your wildest dreams. Remember to climb for those cherries, or they’ll all be picked over when you get to the tree. Jack Williams lives in California’s Silicon Valley with his wife and 3 children, and loves good music, good company, and spicy Szechuan food. Jack can be reached for questions and relationship referrals at his website http://www.gotrates.net and is often working when other people are not.

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CENTER STAGE

CENTER STAGE WITH COMPLIANCE MADE SIMPLE, LLC Compliance – What you don’t know will hurt you. brought to you BY THE NICHE REPORT

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his month, I would like to introduce you to George Marentis, President of Compliance Made Simple, LLC. Compliance Made Simple, LLC (CMS) is a privately owned company that specializes in assisting the mortgage professionals with compliance related services.

Can you tell our readers what is Compliance Made Simple (CMS)? First, I’d like to thank The Niche Report for the opportunity to introduce CMS. As you said, Compliance Made Simple is a privately held company that was formed to provide compliance related services to the mortgage industry. In today’s market place, the mortgage broker and banker are struggling to stay in business. Smaller mortgage brokers and bankers in many cases have been forced to reduce staff levels to only themselves and maybe a few originators to stay in business. That is were CMS comes in. For a relatively low expense, CMS can be as involved with the broker’s business as much as the broker or banker desires. In some cases, our complementary services are helpful. Our goal is to keep the mortgage broker and banker informed of industry changes because whether they like it or not, those changes will impact how they conduct their business as well as their continued success. For example, a new state regulation may require a new disclosure and if the broker is not aware of the regulation change or effective date, the broker is out of compliance. It can take only one complaint to the states lending authority for problems to arise.

As everyone knows, the industry has undergone increased scrutiny at both the state and federal levels and will likely continue this year and beyond. The days where a broker used to get away with “ignorance” are gone and those brokers will be forced out of the industry through enforcement. As I said, this is where CMS comes in. It is our goal to make our services economical and easy enough that the small resource-strapped broker can be informed and compliant. Tell our readers about your background and how that will help them. My background in lending and compliance goes back well over 15 years. I started out as an underwriter where I underwrote all types of loans and conducted loan due diligence reviews for more then 10 years. These loans ranged from your standard FNMA/FHLMC to the infamous non-prime (subprime) mortgage. In addition to my underwriting background, I originated loans for many years as a broker. In addition to my lending background, I have a law degree. Since earning my JD, I took my lending knowledge and moved into compliance where I did regulatory and legislative compliance. In this capacity, I reviewed state and federal legislation & regulatory amendments impacting the lending industry and analyzed those changes to determine impact to various lending operations. Prior to forming CMS I handled compliance related issues as a compliance officer for a medium size financial institution. Describe some of the key services offered by CMS. The services CMS provides the mortgage professional are diverse. Our level of involvement depends on the TheNicheReport.com

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CENTER STAGE

needs of the mortgage professional. Some brokers and bankers outsource their entire compliance department, while others use our monthly service to be updated on relevant state-by- state and federal legislative and regulatory changes. Others use our nationwide licensing services where we assist the broker or banker with various licensing needs. CMS also performs forensic loan file reviews for those lenders having investor buybacks or other loan file issues. Why should a mortgage professional use CMS? Whether a mortgage professional uses CMS or their own staff, they must understand that being compliant is critical. As I mentioned earlier, the level of increased scrutiny at the state and federal levels has increased dramatically and will not decrease. The mortgage broker is the target and the regulatory bodies will no longer tolerate mortgage brokers failing to comply. What’s scary is that a broker recently said to me “COMPLIANCE IS A WASTE OF TIME.” With this type of mentality, it’s no wonder the industry is in the position it’s in and why brokers are the targets. Not many mortgage brokers and bankers can afford their own in-house counsel or paralegal to handle all the required compliance functions. Those brokers who try to keep up with changes themselves soon realize that the regulations and laws are complex, convoluted and downright confusing. That’s where CMS comes in, we can help the broker navigate those complex regulations and other compliance related issues. Here are some recent changes facing the industry today: • Until recently, Colorado did not have any loan officer licensing, education or testing requirements. Now they are all required. • Are you familiar with HVCC? What steps are you

• • • • • •

putting in place to be compliant? Hopefully the broker knows what HVCC stands for? What does the SAFE Act mean to you? Are you compliant with the new Identity Theft “Red Flags” program? How will the amended TILA and HOEPA changes affect your business? When does the new RESPA rule begin? Will brokers still get YSP? What about after 1/16/2009? Amendments to REG Z and HMDA National mortgage licensing legislation

What is the biggest obstacle facing the mortgage broker and banker today? That compliance is going to be an integral part of the mortgage business whether you are an individual broker or larger shop. No broker can claim an exception based on the size of their company. Thus, the mortgage broker and banker need to realize that they need to actively monitor compliance and failure to be compliant will only create a bigger issue as the financial crisis continues to evolve and more and more homeowners face foreclosure.

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TIP OF THE MONTH

TIP OF THE MONTH Golden Rules, Part 2 BY STEWART MEDNICK

This is a continuation of last month’s column. 4. Benefit – Cost = Value The ultimate goal in any transaction is to offer a good product at a fair price to the satisfaction of the customer. In this formula, “cost” is the fair price. Cost can be monetary, emotional, time, or effort. Cost is measured by the customer. You offer benefit. If your benefit far exceeds the customer’s cost of the transaction, then the customer will experience an inherent value. The greater the benefit you offer, more enjoyable or pleasurable the experience will be to the customer and the greater the value they will have for their investment. 5. Listen to the words, not an interpretation in your mind. This is a personal pet-peeve of mine. I hate when people interpret what I say instead of listening to the literal meaning of my words. I am sure we have all had a disturbing experience of this. For example, I would tell a client that I MAY be able to lock in at a certain rate for them. The next day they want to know if I DID lock in that rate because I said that was what I would do for him. That client interpreted my words to mean I WILL perform that task when I said I MAY be able to perform the task. This may also run the other way when a client talks to you and you may interpret what they say. The sure-fire cure to avoid this is a military concept call “repeat back.” Simply repeat back to the client what was said so the words are clear and no misinterpretation is conceived. CLIENT: “I want a 30 year mortgage and I prefer a 32

February 2009

payment below $1200 per month.” LO: “I understand that you want a payment below $1200.” CLIENT: “yes, that includes escrow.” LO: “So, you want a $1200 per month payment on a 30year mortgage that includes escrow. What if the payment is over that? You said that you prefer it to be under, will you consider a bit of a higher payment?” CLIENT: “That will be fine, just let me know that best monthly payment you are able to get for me….” In this example, may variables that were not fully understood or possibly misinterpreted could have gummed up a solid deal and turned it into a nightmare for the LO. Repeat back to the customer for clarity and make sure nothing is interpreted. 6. Don’t make assumptions. This is an obvious, but dangerous Golden Rule. I made the mistake many times of assuming that a client may want something, and performed that task. It bit me in the butt. The classic situation was when I was working on a refinance for a recently divorced female client. The property was not properly documented on title, so I took the liberty of having it corrected for her at a small additional cost to the title fees. When I told her of the correction at the closing, I thought I would be adding value by performing this act. Instead, she became angry stating that this was supposed to have been accomplished already by her husband’s lawyer as part of the divorce settlement and she walked out of the closing. My assumption of a good deed was a deal-breaker. If any question arises, or any parameter of the transaction is not clear, do not assume and find out what is expected.


TIP OF THE MONTH

7. The customer does not always know what they want, nor is always right. The customer is always right. Wrong. The customer does not always know what he or she wants. The customer is as right as the knowledge held on the topic. This dovetails a bit into the last Golden Rule about being the expert. A customer may want a 30 year fixed rate just because it is the lowest interest rate available. The customer may not be aware that another type of mortgage exists that could be a better fit for the customer’s needs. You are the professional and with some basic education to the customer, the options may be clearer. Always ensure you know exactly the customer’s intentions and goals in every transaction, so you can serve his or her needs completely. 8. You are the expert, not the customer. This ties nicely with the previous Golden Rule. Many times the customer will want to drive the transaction in the direction he or she thinks it should go. That could be a recipe for disaster. Ensure that you serve the customer in a professional and courteous manner in explaining

the benefits and detriments to various situations and scenarios. Provide complete information and listen to the customer. The customer may want to flex some knowledge of the business, but you are the expert. You can serve the customer best by driving the transaction in a manner that benefits the customer the most. I hope these Golden Rules help. I am sure many of you reading this column have rules and guideline that you follow. I would love to hear them and perhaps write a follow-up column of Golden Rules that you use. Many of these rules may translate well into your everyday life. The gist of these rules is to be ethical, professional, honest, passionate and fair in all you do.

Stewart Mednick is a seasoned mortgage banker and published author. His writing focuses on relationship development, personal empowerment, customer satisfaction, marketing and sales techniques. Stewart is available for marketing consulting, personal coaching and training sessions. If you have a comment or a question for Stewart, contact him at 651-895-5122 or smednick1@netzero.net


TM

TM

TM

Š2008 Gregory Funding LLC, an Aspen Capital affiliated company. This is not a commitment to lend. Restrictions may apply. For Wholesale only. Not for distribution to the general public. LTV based on current valuation by Gregory Funding. Gregory Funding reserves the right to amend rates and guidelines. All loans are made in compliance with federal, state and local laws. High-Cost Loans prohibited. Gregory Funding LLC is an Oregon LLC, Oregon Division of Finance & Corporate Securities Lic#ML3575. Gregory Funding LLC, 425 NW 10th Ave Suite 307 Portland, OR 97209. Toll free: 888-324-3578.

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Agency & FHA Premium Listings

HCI Mortgage

HCI Mortgage specializes in FHA and 203K financing in 25+ states. Programs include 203k, 203k streamline and 203k jumbo programs

877-724-1720

Mid Island Mortgage Corp

Low/No Score FHA manual underwrites. Tough FHA deals OK. No min. Score Jumbo loan amounts. Common sense underwriting w/good turn times.

703-754-9643 - Tim Dooley

AGENCY & FHA Lender Listings Powered by TheLoanPost.com Alternative Mortgage Express

800-552-5263

www.amxloans.com

Freedom Mortgage

800-843-3753

www.freedomwholesale.com

AME Financial Corp

770-406-2138

www.american-mortgage.info

Gateway Funding

800-355-5626

wholesale.gateway-funding.com

Ameribank Mortgage (FHA only)

516-833-8834

www.ameribanksolutions.com

Gateway Mortgage Group

817-799-0804

www.jerrylair.com

American BancShares

305-817-2165

www.americanbancshares.com

GB Mortgage

602-791-8950

www.gbmortgagelending.com

American Financial Resources (FHA only) 973-588-8530

www.afrwholesale.com

Global Lending Group

727-530-0110

www.glgiwholesale.net

American Home Equity

714-661-5836

www.ahedirect.com

Greystone Financial

602-574-0100

www.greystonefinancialonline.com

American Partners Bank

954-465-8595

www.apbwholesale.com

GSF Funding

262-373-0790

www.gsfsales.com

Amtrust Bank (Fannie/Freddie only)

888-321-6446

www.amtrustgemstone.com

Guaranteed Rate

866-755-0989

www.griwholesale.com

Assurity Financial (FHA only)

866-841-7863

www.assuritywholesale.com

Hollander Financial

661-476-4668

www.hollanderfinancial.com

BAC Florida Bank (Fannie/Freddie only) 305-789-8064

www.bacflorida.com/ratesheet

Home Savings of America

972-235-7366

www.myhsoa.com

Bank of Ann Arbor (Fannie/Freddie only) 800-807-6337

www.boaawholesale.com

ICON Residential Capital

888-639-5641

www.iconwholesale.com

Century Lending (Fannie/Freddie only) 407-252-7979

www.centurylending.net

ING Mortgage

877-464-0555

www.ingloans.com/wholesale/index.html

CMG Mortgage

714-357-3325

www.acceleratedcmg.com

JMAC Lending

877-841-0776

www.jmaclending.com

CNB National Lending, LLC

815-412-9305

www.cnbnationallending.com

Lenders Advantage

818-669-0974 x 0 www.lenderinc.com

Colonial National Mortgage

800-825-1311

www.cnmbrokers.com

Liberty Lending Inc

800-808-5591

Liberty Mortgage

800-986-2499

www.bbt.com/libertymortgage

M&T Bank Mortgage

804-380-7465

wholesalemortgage.mtb.com www.megacapitalfunding.net

(Fannie/Freddie only)

Community First Bank Loan

412-292-8511

secure.pricemyloan.com/custom/cfb

(Fannie/Freddie only)

www.libertylendingwholesale.com

Continental Home Loans

631-393-3800 x 114 www.chlmortgagebankers.com

Mega Capital Funding (Fannie/Freddie only) 818-657-2600

Countrywide

904-245-8008

www.cwbc.com

Merit Mortgage

310-650-0773

meritwholesale.com

Direct Mortgage Wholesale

801-924-1880

www.directmortgagewholesale.com

MetLife Home Loans

www.wholesale.metlifehomeloans.com

Federal Trust Mortgage

407-323-1833 x 153 www.federaltrust.com/brokers

Mortgage Bank of California

714-423-3295

Fifth Third

866-492-0072

Mortgage Close (Fannie/Freddie only)

714-453-0220

b2b.mortgageclose.com

First Bank Mortgage

305-577-6000 x 116 www.firstbank.com

National Direct Funding

970-672-0805

www.ndfcorporation.com

First Cal

818-793-6650

www.firstcalwholesale.net

(Fannie/Freddie only)

First Federal Bank of CA

310-630-7792

www.firstfedwholesale.com

National Home Lenders

Washington Federal

971-645-9140

www.washingtonfederal.com/wholesale

Nations Direct Mortgage

949-270-7974

www.brokerFHA.com

First National Bank of Nassau

678-942-2160

www.fnbwholesale.com

NetMore America

509-526-4007

www.netmoreamerica.com

First Northern Bank (Fannie/Freddie only) 707-423-9330

www.thatsmybank.com

Nexbank

866-389-6046

www.nexbank.com

Flagstar Bank

www.wholesale.flagstar.com

NorthStar Lending (Fannie/Freddie only) 954-843-7018 x 7018 www.mynorthstarlending.com

800-897-7222

www.53.com/wholesalemortgage

888-344-0520 x 4 www.nationalhomelenders.com

Florida Capital Bank Mtg

866-295-0014

www.flcb.com

Pacific Banc Mortgage

571-340-5593

www.pacificbanc.com

Franklin American

606-519-4165

www.franklinamerican.com

Pacific National Bank

305-539-7675

www.pnb.com

ADVERTISE YOUR NICHES HERE WITHIN Financing may not be available in all states. The above summaries are intended for Mortgage Professionals only, and not intended for distribution to consumers, as defined by Section 226.2 of Regulation Z, which implements the Truth-In-Lending Act. Information is subject to change without notice. Refer to each lender’s information on products, program, procedures, representations, and warranties for details.

TheNicheReport.com

35


NICHE REPORTS

Agency & FHA Lender Listings continued‌ Paramount Residential (FHA only)

866-966-8989 x 300 www.prmglending.net

Senderra Funding

704-831-3600

www.senderra.com

Perfect FHA (FHA only)

800-201-2317

Sierra Pacific

661-713-6564

www.spm1.com

Phoenix Funding

877-562-6414 x 230 www.phoenix-funding.com

Plaza Home Mortgage

949-910-1055 x 450 www.plazahomemortgage.com

PMC Bancorp

626-964-4040 x 8199 www.pmcmtg.com

Polaris Funding (FL, IN, MI, OH)

616-667-9000

www.perfectfha.com

SouthPoint Financial (Fannie/Freddie only) 239-949-1406

www.spfs.com

Stearns

925-628-0704

www.stearnswholesale.com www.stmpartners.com

www.polarishfc.com

SunTrust Wholesale

913-982-2150

Preferred Capital (Fannie/Freddie only) 727-418-4189

www.prefercapital.com

SWC Financial Corp.

714-680-7050 x 113 www.swcfinancial.com

Premier Mortgage Capital, Inc.

786-243-3101 x 2

www.premierwholesale.com

Taylor, Bean & Whitaker

888-678-8547

www.taylorbeandirect.com

Presidents First

877-773-7178

www.presidentsfirst.com

Primary Capital

678-308-0257

www.primarycapital.com

The Jumbo Lender

800-826-0360

www.TheJumboLender.com

Proto Fund

813-436-6803

www.protofund.com

Titan Wholesale

775-852-6888 x 225 www.titan-wholesale.com

Provident Funding

800-733-3657 x 1712 pfloans.provident.com

Trust One Mortgage

949-450-1888 x 2430 www.trustone.com

Reliant Funding

412-942-1010 x 18 www.reliantfunding.us

U.S. Bank Consumer Finance

941-539-1603

www.usbank.com

Residential Lending Network

800-749-5363 x 5276 www.reslend.com

United International Bank

313-903-2082

www.unitedinternational.us

559.476.0937

United Residential Lending

404-661-4632

www.urlending.com

(Fannie/Freddie only)

Reunion Mortgage

www.reunionwholesale.com

Royal Crown Bancorp

877-507-6925

www.crownloan.com

United Wholesale Mortgage (FHA only) 800-981-8898 x 5590 www.usmwholesale.com

Security Atlantic (FHA only)

800-956-3863

www.fhaland.com

Vertice

Security Mortgage Funding

619-249-9166

www.smfcloans.com/brokers

619-857-2700

www.securitynational.com

(Fannie/Freddie only)

Security National Mortgage

925-570-0777

www.verticelending.com

Village Capital and Investment (FHA only) 856-252-1825

www.villagewholesalelending.com

Wells Fargo

www.brokersfirst.com

310-283-8411

Jumbo Jumbo Lender Listings Powered by TheLoanPost.com American Southwest Mortgage

888-593-1003

www.amswmtg.com

ICON Residential Capital

888-639-5641

www.iconwholesale.com

American Home Equity

714-661-5836

www.ahedirect.com

Liberty Mortgage

800-986-2499

www.bbt.com/libertymortgage

Countrywide

904-245-8008

www.cwbc.com

MBS Mortgage Company

866-799-3696

mbs-mortgage.com

Direct Mortgage Corp.

801-924-1880

www.directmortgagewholesale.com

Presidents First

877-773-7178

www.presidentsfirst.com

EverBank Wholesale Lending

415-595-3968

www.everbankwholesale.com

Reunion Mortgage Inc.

559.476.0937

www.reunionmortgage.com

Fifth Third Mortgage

866-492-0072

www.53.com/wholesalemortgage

Security National Mortgage

619-857-2700

www.securitynational.com

Flagstar Bank

800-897-7222

wholesale.flagstar.com

Sierra Pacific

661-713-6564

www.spm1.com

Florida Capital Bank Mtg

866-295-0014

www.flcb.com

Taylor, Bean & Whitaker

888-678-8547

www.taylorbeandirect.com

Franklin American

606-519-4165

www.franklinamerican.com

U.S. Bank Home Mortgage

702-630-0770

www.usbank.com

Gateway Funding

800-355-5626

wholesale.gateway-funding.com

Vertice

925-570-0777

www.verticelending.com

GB Mortgage

602-791-8950

www.gbmortgagelending.com

Walker Jackson Mortgage

703-653-8183

www.wjmcwholesale.com

Greystone Financial

602-574-0100

www.greystonefinancialonline.com

Wells Fargo

310-283-8411

www.brokersfirst.com

Home Savings of America

972-235-7366

http://www.myhsoa.com

WestAmerica Mortgage Co.

303-771-2800

www.wamco.us

ADVERTISE YOUR NICHES HERE WITHIN Financing may not be available in all states. The above summaries are intended for Mortgage Professionals only, and not intended for distribution to consumers, as defined by Section 226.2 of Regulation Z, which implements the Truth-In-Lending Act. Information is subject to change without notice. Refer to each lender’s information on products, program, procedures, representations, and warranties for details.

36

February 2009


NICHE REPORTS

portfolio & ALT–A Premium Listings

ACC Mortgage, Inc.

Our Money our Rules, we make loans that make sense

240-314-0399 ext. 16 Private portfolio lender specializing in foreclosure and bankruptcy bailout loans. No credit score requirement, No pre-payment penalty. Up to 70% LTV. No seasoning requirements. Lates ok. Lending territory: AZ, CA, CO, ID, NV, OR & WA

Gregory Funding LLC 888-324-3578

Manaseh, Epharim and Associates 770-840-0112

Asset lending specialists. Your source for international and domestic funding

portfolio & ALT-A Lender Listings Powered by TheLoanPost.com Amtrust Bank

888-321-6446

www.amtrustgemstone.com

Washington Federal

971-645-9140

www.washingtonfederal.com/wholesale

Astoria

301-537-9047

www.astoriamortgage.com

Hayhurst Wholesale

813-425-7011

www.hayhurstwholesale.com

Banker West

800-518-1172

www.bankerswest.com

Home Savings of America

972-235-7366

www.myhsoa.com

Capital Alliance

415-288-9575

www.calliance.com/index.php

ING Mortgage

877-464-0555

www.ingloans.com/wholesale/index.html

CNB National Lending

815-412-9305

www.cnbnationallending.com

Liberty Savings Bank

941-735-7890

www.libertysavingsbank.com

Eastern Savings Bank

800-787-8187

www.easternsavingsbank.com

LuxMac, Covino, and Company

800-762-2274 x 312 http://luxmac.com

Emigrant Mortgage

786-314-6280

www.emigrantmortgage.com

Luxury Mortgage

203-569-4249

First Federal Bank of CA

310-630-7792

www.firstfedwholesale.com

Residential Lending Network

800-749-5363 x 5276 www.reslend.com

First Northern Bank

707-423-9330

www.thatsmybank.com

United Midwest Savings Bank

614-255-3499

www.umwsb.com

Global Lending Group

727-530-0110

www.glgiwholesale.net

United International Bank

313-903-2082

www.unitedinternational.us

GSF Funding

262-373-0790

www.gsfsales.com

US Bank

702-630-0770

www.usbank.com

Hollander Financial

661-476-4668

www.hollanderfinancial.com

West One Mortgage Corp

818-921-7602

www.westonemortgagecorp.com

www.luxurymortgagewholesale.com

ADVERTISE YOUR NICHES HERE WITHIN Financing may not be available in all states. The above summaries are intended for Mortgage Professionals only, and not intended for distribution to consumers, as defined by Section 226.2 of Regulation Z, which implements the Truth-In-Lending Act. Information is subject to change without notice. Refer to each lender’s information on products, program, procedures, representations, and warranties for details.

TheNicheReport.com

37


NICHE REPORTS

REVERSE Premium Listings

Reverse It! A division of Urban Financial Group, Inc

Reverse Mortgages, fastest turn times in the industry. Training and lead support available.

888-777-3311

World Alliance Financial

Reverse Mortgage opportunity for non-FHA licensed brokers

877-692-7762 x 404 REVERSE MORTGAGES Lender Listings Powered by TheLoanPost.com American BancShares

305-817-2165

www.americanbancshares.com

Liberty Reverse Mortgage

866-871-1353

Arlington Capital Mortgage Corp

800-814-9432

www.acmcwholesale.com

MetLife Home Loans

www.wholesale.metlifehomeloans.com

libertyreversebroker.com

www.circlemortgage.com

Circle Mortgage Corporation (Fl only)

800-576-1338

NetMore America

509-526-4007

www.netmoreamerica.com

Continental Home Loans

631-393-3800 x 114 www.chlmortgagebankers.com

Pacific Banc Mortgage

571-340-5593

www.pacificbanc.com

Countrywide Bank

866-212-4378

www.cwbc.com

Quality Life Reverse Mortgage

800-955-7919

qualityliferm.com

Essex Mortgage

702-893-9200

www.essexwholesale.com

Quik Fund Inc.

813-671-0712

www.quikfund.com

Financial Freedom

800-500-5150

www.financialfreedom.com

Silvergate Bank (cml)

858-362-6300

www.silvergatebank.com

Financial Heritage

800-895-2209

www.financialheritage.com

SouthPoint Financial Services

239-949-1406

www.spfs.com

Fortes Residential

866-571-8201

www.forteswholesale.com

Sunwest

800-453-7884

www.swmc.com

Generation Mortgage

866-733-6089

www.generationmortgage.com

Wells Fargo Reverse Mortgage

800-336-7359

www.wellsfargo.com

GotMortgage.com

760-802-9630

www.gotmortgage.com

World Alliance Financial Corp.

800-562-6755

www.worldalliancefinancial.com

Manufactured Manufactured Listings Powered by TheLoanPost.com Alternative Mortgage Express 800-522-5263 American Financial Resources 973-588-8530 Axiom Commercial Funding 866-637-3014 x 10 CNB National Lending, LLC 815-412-9305 Countrywide 904-245-8008 Eastern Savings Bank 800-981-7114 x 6250 Essex Mortgage 702-893-9200 First Cal 877-224-3262 First Mutual Bank 971-645-9140 www.washingtonfederal.com/wholesale First Northern Bank 707-423-9330 Flagstar 866-998-6063 Freedom Mortgage Corp 800-843-3753 GMC Mortgage Capital 941-766-1613 Lenders Advantage 818-669-0974 x 10 Liberty Mortgage 800-986-2499

www.amxloans.com www.afrwholesale.com www.acfsonline.com/ www.cnbnationallending.com www.cwbc.com www.easternsavingsbank.com www.essexwholesale.com www.firstcalwholesale.net www.thatsmybank.com wholesale.flagstar.com www.freedomwholesale.com www.gmcmtgcap.com www.lenderinc.com www.bbt.com/libertymortgage

Liberty Savings Bank

941-735-7890

www.libertysavingsbank.com

Merit Mortgage

310-650-0773

meritwholesale.com

Multicorp Financial

925-275-8111 x 222 www.11multicorpfinancial.com

Perfect FHA

800-201-2317

www.perfectfha.com

Polaris Funding (FL, IN, MI, OH)

616-667-9000

www.polarishfc.com

Portfolio Mortgage Company

480-775-5150

www.portmort.com

Reliant Funding

412-942-1010 x 18

www.reliantfunding.us

Taylor, Bean & Whitaker

586-557-4144

www.taylorbeandirect.com

Trust One Mortgage

949-450-1888 x 2430 www.trustone.com

United Midwest Savings Bank

614-255-3499

United Wholesale Mortgage

800-981-8898 x 5590 www.usmwholesale.com/default.asp

www.umwsb.com

US Bank 702-630-0770 www.usbank.com/cgi_w/cfm/mortgagebrokers/home.cfm?redirect=brokerloans West One Mortgage Corporation

818-921-7602

www.westonemortgagecorp.com

Financing may not be available in all states. The above summaries are intended for Mortgage Professionals only, and not intended for distribution to consumers, as defined by Section 226.2 of Regulation Z, which implements the Truth-In-Lending Act. Information is subject to change without notice. Refer to each lender’s information on products, program, procedures, representations, and warranties for details.

38

February 2009


NICHE REPORTS

NON-Prime & HARD MONEY Premium Listings

ACC Mortgage, Inc.

WE DO OWNER-OCCUPIED/FULL DOC UP TO 70% REGARDLESS OF CREDIT

240-314-0399 ext 16

AFG LLC (Asset Funding Group) 720-889-1175

AgriCap Financial Corporation 213-542-5232

Ambit Funding 800-823-7101

Avatar Financial Group 888-896-0083

BRT Realty Trust 516-466-3100 or 800-450-5816

Continuum Funding Group 703-564-1659

Fairview Commercial Lending 866-634-1270

Financial Resources Mortgage 800-950-6913 or ddexter@frmortgageinc.com

First Mount Vernon (866) 908-FMV1 (3681)

Direct lender - up to 70% LTV: Bridge loans, purchase & rehab, construction financing, raw land, no minimum credit score requirments. Nationwide lending from $300k to $3 million, 24 hour commitment as fast as 5 days to close. HARD MONEY- MADE EASY Agriculture including facilities and part-time farms, commercial, special purpose properties Short-term commercial bridge lenders; Most property types including RAW LAND; All 50 states, and Canada; Max LTV 70%, 50% on Land Bridge loans for improved commercial real estate from $1 million, terms up to two years with no prepayment penalties. We are a direct lender and brokers are protected. Apply online at www.avatarfinancial.com or simply give us a call A Public Mortgage REIT Traded on the NYSE (NYSE: BRT) Fast response on loans from $2 million to $50 million on income producing commercial properties nationwide. No prepayment penalties, lock out or exit fees Specializing in hard money loans of $300,000 to $5,000,000 in DC, Virginia, and Maryland. We customize our lending program to fit your needs on a deal by deal basis No minimum credit score, foreclosure bailouts, Quick Closings nationwide, commitments in 24 hours Real Estate based private money lender. Commercial & Residential Investment. Refi cash out allowed. Retail,office,multi-family, raw land, development & modular construction are our specialties. Common sense underwriting. No upfront fees! Email or call today. No seasoning requirements, No upfront commitment or processing fees, Minimum credit score 400 - DE, MD, VA, DC, NC, SC, GA, FL

Financing may not be available in all states. The above summaries are intended for Mortgage Professionals only, and not intended for distribution to consumers, as defined by Section 226.2 of Regulation Z, which implements the Truth-In-Lending Act. Information is subject to change without notice. Refer to each lender’s information on products, program, procedures, representations, and warranties for details.

TheNicheReport.com

39


NICHE REPORTS

NON-Prime & HARD MONEY premium niches continued…

First Mount Vernon

Minimal documentation required, Combined Loan-to-Values to 105% - DE, MD, VA, DC, NC, SC, GA, FL

(866) 908-FMV1 (3681)

Private portfolio lender specializing in foreclosure and bankruptcy bailout loans. No credit score requirement, No pre-payment penalty. Up to 70% LTV. No seasoning requirements. Lates ok. Lending territory: AZ, CA, CO, ID, NV, OR & WA

Gregory Funding 888-324-3578

1-800-342-8500

Mortgages/loans secured by real estate, all commercial property types and other fixed assets nationwide; Any property type, even raw land. Specializes in development loans that need to close quickly, loans from $1 million & up. 2-days for commitment.

Manaseh, Epharim & Associates

Direct Lender with fast closings. Your source for international and domestic funding.

KENNEDY FUNDING, INC.

770-840-0112

Direct lender specializing in short term bridge financing. Interest only. No prepayment penalty. No points upfront. Commitments within 24 hours. Brokers welcomed and protected.

Metro Funding Corp 866-302-6360

Miner Capital Funding, LLC

Specializing in collateral-based real estate loans nationwide. We get deals done!! As fast as 4 days! Loan amounts 1 million to 20 million

702-466-8952

Remington Financial Group, Inc

Up to 65% of valued collateral, fast closing

480-905-3239 We are a direct lender specializing in churches, mixed-use, apartments & commercial lines of credit

Stonecrest Financial 888.884.6518

Local direct lender (DC, MD and VA) specializing in bridge, construction, rehab and business loans. Loans are based on “subject to value”, 50% LTV, minimal documentation, EQUITY DRIVEN not FICO sensitive. Brokers are protected.

TrustCapital Investments LLC 301-503-2231

NON-PRIME & HARD MONEY Lender Listings Powered by TheLoanPost.com Advantage Capital Equity Solutions

800-223-3019

Axiom Commercial Funding

866-637-3014 x 10 www.acfsonline.com

AFC Hardmoney

813-387-3800 x 311 www.afchardmoney.com

www.adcapequity.com

Bay Equity

800-229-3703

AgriCap Financial Corporation

213-542-5232

www.agricap.com

BFS Capital, LLC. (cml)

510-381-1930

www.bfscapital.com

All California Home Loans 877-462-3422 www.aboutcaliforniahomeloans.com/hard-money.html

BlueWater Funding, LLC

866-551-2583

www.bluewaterfundingllc.com

Brookview Financial

877-734-2211 x 316 www.brookviewfinancial.com

Alliance Financial, Inc.

866-603-5999

www.afiloans.com

California Equity Lenders

818-584-2320

www.calequitylenders.com

Ameribank Mortgage

516-833-8834

www.ameribanksolutions.com

Capital Alliance

415-288-9575

www.calliance.comindex.php

914-967-5780

American Acceptance (cml)

800-452-9287

www.aamcap.com

CFA Capital Partners (cml)

Assurity Financial

866-841-7863

www.assuritywholesale.com

Avant Capital Partners, LLC. (cml)

212-219-9419

www.avcapital.net

Crawford Park Financial 626-796-7979 Cushman Rexrode Capital Corporation (cml) 925-988-7200

www.bayeq.com

www.cfacap.com www.crawfordparkfinancial.com www.cushrex.com

Financing may not be available in all states. The above summaries are intended for Mortgage Professionals only, and not intended for distribution to consumers, as defined by Section 226.2 of Regulation Z, which implements the Truth-In-Lending Act. Information is subject to change without notice. Refer to each lender’s information on products, program, procedures, representations, and warranties for details.

40

February 2009


NICHE REPORTS

NON-PRIME & HARD MONEY Lender Listings continued… Diamond Bay Investments, Inc. 702-254-9303 Eastern Savings Bank (cml) 800-787-8187 Emerald Financial 714-965-6688 Emigrant 786-314-6280 Exeter Holding Ltd. 516-338-7500 First Credit Commercial Capital Corp. (cml) 407-843-6262 First Mount Vernon Industrial Loan Assn. 703-823-6800 First Select Capital 540-908-2205 Global Lending Group 727-530-0110 GMC Mortgage Capital 941-626-9656 HARDDMONEYLOANS.COM 813-516-5210 Hawkins Capital 208-908-5596 HMC Funding 800-273-7001 x 343 Investor Funding 864-213-3951 J & J Financial 714-256-4416 Lakeside Financial Inc. 949-297-4180 Lib Properties, LTD. 404-256-8600 LNB Commercial Capital 321-214-0585 Mager Capital 310-760-6290 Magnolia Financial Consultants 601-428-1005 Meridian Group 800-901-9301 Overland Financial 818-342-2477

www.diamondbayinvestments.com www.easternsavingsbank.com www.eprivatemoney.com www.emigrantdirect.com exeterholding.com www.fchardmoney.com www.fmv1.com www.firstselectloans.com www.glgiwholesale.net www.gmcmortgagecapital.com www.HARDDMONEYLOANS.COM www.hawkinscap.com www.hmcfunding.com www.4investorfunding.com www.10dayloan.com www.nofico.net www.libloans.com www.lnbcapital.com www.magercapital.brokerca.com www.hardmoneymortgages.com www.meridiangroupinc.com www.overlandfinancial.com

Pacific Mortgage Funding Corp. (cml) PB Financial Group Corp. Piedmont Capital Lending, LLC. Porter Bridge Loan Company (cml) Portfolio Mortgage Company PFA Capital, LLC Quik Fund Inc. Rehab Funding Remington Financial Group Right Start Mortgage SBB Financial SDI Funding SmartServ Solutions SWC Financial Corp. Swift Funding TCRM Commercial Corp. (cml) The Loan Doctors, Inc. (cml) The Money Source, LLC. (cml) Titan Hard Money Trust Deed Investments, Inc West One Mortgage Corporation WholesaleLending.com (cml)

562-864-4006 www.pacificmortgage.com 310-289-0900 www.pbfinancialgrp.com 678-292-6984 www.piedmontcapitallending.com 866-725-1777 www.porterbridgeloan.com 480-775-5150 www.portmort.com 800-531-4589 www.pfacapital.com 813-671-0712 www.quikfund.com 610-645-9939 x 310 rehabfunding.com 480-905-3239 www.remingtonfg.com 800-520-5626 www.rightstartmortgage.com 866-358-7238 www.sbbfinancial.com 864-233-3337 x 3220 www.sdifunding.com 888-633-4778 www.bronxhardmoney.com 714-680-7050 x 113 www.swcfinancial.com 727-521-6633 swiftfundingcorp.com 212-371-3933 www.tcrmcommercial.com 954-647-7679 www.regd506.com 480-946-4000 www.themoneysourcellc.com 323-377-0979 www.titanhardmoney.com 415-760-2338 hwww.hardmoney.ning.com 818-921-7602 www.westonemortgagecorp.com 866-303-6301 www.wholesalelending.com

Financing may not be available in all states. The above summaries are intended for Mortgage Professionals only, and not intended for distribution to consumers, as defined by Section 226.2 of Regulation Z, which implements the Truth-In-Lending Act. Information is subject to change without notice. Refer to each lender’s information on products, program, procedures, representations, and warranties for details.

Calling all loan offiCers! TNR has just launched our new ‘Post a Loan’ feature at www.TheNicheReport.com. Get your Commercial and Residential loan scenerios in front of hundreds of wholesale lenders and A.E.’s. If you haven’t already gone to www.TheNicheReport.com and registered, then do it now! !

ree It’s f


NICHE REPORTS

CONSTRUCTION/REHAB Premium Listings

Financial Resources Mortgage, Inc. 800-950-6913 or ddexter@frmortgageinc.com

Kennedy Funding, Inc.

Real Estate based private money lender. Commercial & Residential Investment. Refi-Cash Out allowed. Retail, office, multi-family, raw land, development & modular construction are our specialties. Common sense underwriting. No upfront fees! Email or call today. Mortgages/loans secured by real estate, all commercial property types and other fixed assets nationwide; Any property type, even raw land. Specializes in development loans that need to close quickly, loans from $1 million & up. 2-days for commitment.

1-800-342-8500

Manaseh, Epharim & Associates 770-840-0112

New construction and rehab loans for all types of commercial properties. Your source for international and domestic funding.

Direct lender specializing in short term bridge financing. Interest only. No prepayment penalty. No points upfront. Commitments within 24 hours. Brokers welcomed and protected.

Metro Funding Corp 866-302-6360

610-293-8008

Loan portfolio financing and warehouse lines of credit from $2MM $20MM for hard money lenders and investor rehab lenders. Reduce your local bank and private investor hassles with stable and consistent financing

Remington Financial Group, Inc

Up to 95% financing construction, rehab, renovation, development, starting at $1 million and moving upwards, commercial only

RBA Capital

480-905-3239

CONSTRUCTION / REHAB Lender Listings Powered by TheLoanPost.com Ameribank Mortgage

516-833-8834

www.ameribanksolutions.com

Hawkins Capital

208-908-5596

www.hawkinscap.com

Assurity Financial

866-841-7863

www.assuritywholesale.com

Kennedy Funding

201-342-8500

www.kennedyfunding.com

M&T Bank Mortgage

804-380-7465

wholesalemortgage.mtb.com

Mango Bay Mortgage

561-347-9811

www.mangobayinc.com

Mission Oaks National Bank

805-889-0301

www.missionoaksbank.com

Portfolio Mortgage Company

480-775-5150

www.portmort.com

SWC Financial Corp.

714-680-7050 x 113

www.swcfinancial.com

Axiom Commercial Funding

866-637-3014 x 10

www.acfsonline.com

Broker Capital Funding

408-438-6939

www.brokercap.com

Colonial National Mortgage

800-825-1311

www.cnmbrokers.com

Everbank

415-595-3968

www.everbankwholesale.com

Excelsion Mortgage

888-578-5441 x 1

www.ExcelsionBrokers.com

Federal Trust Mortgage

407-323-1833 x 153

www.federaltrust.com/brokers

First Mutual Bank

971-645-9140

www.washingtonfederal.com/wholesale

United Midwest Savings Bank

614-255-3534

www.umwsb.com

First National Bank of Nassau

404-218-3335

www.fnbwholesale.com

Unity Bank

904-727-7535

www.unitybank.com

First Northern Bank

707-423-9330

www.thatsmybank.com

West One Mortgage Corporation

818-921-7602

www.westonemortgagecorp.com

Financing may not be available in all states. The above summaries are intended for Mortgage Professionals only, and not intended for distribution to consumers, as defined by Section 226.2 of Regulation Z, which implements the Truth-In-Lending Act. Information is subject to change without notice. Refer to each lender’s information on products, program, procedures, representations, and warranties for details.

42

February 2009


NICHE REPORTS

COMMERCIAL Premium Listings

AgriCap Financial Corporation 213-542-5232

Avatar Financial Group 888-896-0083

Fairview Commercial Lending 866-634-1270

Financial Resources Mortgage, Inc. 800-950-6913 or ddexter@frmortgageinc.com

Gregory Funding 888.324.3578

Griffin Capital Funding 540-548-1001

Agriculture -- Farms, Ranches, Facilities. Agricultural Operating/Crop Input Loans. Great rates on commercial real estate loans, fully amortizing up to 25 years. Most property types considered including hotels, multi-family and special-use. Full doc is required for these competitive rates. Please call to request a rate sheet No minimum credit score, foreclosure bailouts, Quick Closings nationwide, commitments in 24 hours Real Estate based private money lender. Commercial & Residential Investment. Refi-Cash Out allowed. Retail, office, multi-family, raw land, development & modular construction are our specialties. Common sense underwriting. No upfront fees! Email or call today. Private portfolio lender funding small balance commerical loans up to $1MM. No credit score requirement. No pre-payment penalty. Up to 70% LTV. Foreclosure ok. Bankruptcy ok. Lending territory: AZ, CA, CO, ID, NV, OR & WA. Owner occupied and investment commercial loans nationwide except AK. We pay YSP up to 3%, offer correspondent relationships to qualified companies. We also have a non profit division that specializes in church loans. We love SBA and USDA Loans!

1-800-342-8500

Mortgages/loans secured by real estate, all commercial property types and other fixed assets nationwide; Any property type, even raw land. Specializes in development loans that need to close quickly, loans from $1 million & up. 2-days for commitment.

Light Funding Corp.

All types of commercial loans nationwide & international

KENNEDY FUNDING, INC.

877.300.1595

Manaseh, Epharim & Associates 770-840-0112

Metro Funding Corp 866-302-6360

Acquisition, Refi’s, and Development Commercial Loans. Your source for international and domestic funding. Direct lender specializing in short term bridge financing. Interest only. No prepayment penalty. No points upfront. Commitments within 24 hours. Brokers welcomed and protected.

Financing may not be available in all states. The above summaries are intended for Mortgage Professionals only, and not intended for distribution to consumers, as defined by Section 226.2 of Regulation Z, which implements the Truth-In-Lending Act. Information is subject to change without notice. Refer to each lender’s information on products, program, procedures, representations, and warranties for details.

TheNicheReport.com

43


NICHE REPORTS

Commercial premium niches continued‌

Remington Financial Group, Inc 480-905.3239

Trilogy Commercial Lending 888-875-5055

Senior financing on existing real estate all property types, competive rates Specializing in Full Doc small balance Commercial loans up to $5 M. Our unique Commercial Automated Underwriting System allows for instant approvals, including pricing options. No Upfront Fees! Experience ease of execution - call today!

COMMERCIAL Lender Listings Powered by TheLoanPost.com Acupen Financial

503-516-5823

www.Acupenfinancial.com

Mango Bay Mortgage

561-347-9811

www.mangobayinc.com

Affinity Bank

877- 862-7245

www.affinitybank.com

Met-West Commercial

866-766-4000

www.met-west.com

AgriCap Financial Corporation

213-542-5232

www.agricap.com

Midwest Financial Capital

317-844-7776

www.midwestfinancialcapital.com

American Acceptance

800-452-9287

www.aamcap.com

Arlington Richfield

248-613-7423

www.arlingtonrichfield.com

Minvest Financial

877-317-0260

www.minvestfinancial.com

Apartment Lending

303-771-1031

www.aptlending.com

Avant Capital Partners, LLC.

212-219-9419

www.avcapital.net

Axiom Commercial Funding

866-637-3014 x 10 www.acfsonline.com

Mission Oaks National Bank

951-719-1200

www.missionoaksbank.com

MiStar Financial

720-200-2600

www.mistarfinancial.com

MJM Capital Group

480-628-1943

www.mjmcapitalgroup.com

925-275-8111 x 222 www.11multicorpfinancial.com 800-830-5940 x 1 www.NationwideCommercialLenders.com

Berkshire Capital Financial, Ltd.

212-986-9890

www.berkshirecapital.net

Multicorp Financial

BFS Wholesale

800-778-3763

www.bfscapital.net

Nationwide Commercial Lenders

Blue Sky Commercial Funding

888-500-2583

www.bscfloans.com

New World Commercial Lender

561-628-2069

www.nwclender.com

Brownstone Mortgage Capital

800-547-1285

www.brownstoneloans.com

Overland Financial

818-342-2477

www.overlandfinancial.com

Capital Alliance

415-288-9575

www.calliance.com/index.php

Pacific Mortgage Funding Corporation 562-864-4006

www.pacificmortgage.com

CapitalSource Finance

212-321-7215

www.capitalsource.com

CFA Capital Partners

914-967-5780

www.cfacap.com

Pacific National Bank

305-539-7675

www.pnb.com

Ciena Capital

800-722-5626

www.cienacapital.com

PFA Capital, LLC.

800-531-4589

www.picconefinancial.com

CIT Small Business Lending Corp.

404-244-4592

www.smallbizlending.com

PNC ARCS

800-275-2727

www.askARCS.com

Coast Investors Capital

305-446-9125

www.coastinvestors.com

Presidential Bank

301-652-1616

www.presidential.com

866-811-9217

www.pribank.com

Commercial Bridge Loan Funding

305-852-2569

www.cblfg.com

Pribank

Commercial Funding Corp

904-885-9977

www.commercialfundingcorp.com

Prudential Mortgage Capital Co.

888-263-6800

www.prumortgagecapital.com

Commercial Hard Capital, LLC

832-607-6778

www.commercialhardcapital.com

Quik Fund Inc.

813-671-0712

www.quikfund.com

Commercial Lending Capital

714-656-3943

www.clcnationwide.com

Reliant Funding

412-942-1010 x 18 www.reliantfunding.us

Commercial Loan Capital

877-473-6984

www.clcloans.net

REM Capital

877-774-4240

www.remcapitalgroup.com

Commercial Mortgage City

954-854-6853

www.commercialmortgagecity.com

Commercial Mortgages 101

800-763-3036

www.commercialmortgages101.com

SF Partners Mortgage

305-774-0456

sfmortgagelenders.com

Community Commerce Bank

916-648-2680

www.ccombank.com

Silver Hill Financial

877-813-4685

www.silverhillfinancial.com

Small Business Loan Source, LLC.

512-215-2727

www.adelinerem.com www.farmerloan.com

Cushman Rexrode Capital Corporation 925-988-7200

www.cushrex.com

Eastern Savings Bank

800-787-8187

www.easternsavingsbank.com

St. Cloud Mortgage

877- 653-3276

Equity One Commercial

407-370-7843

www.equity1commercial.com

STA Capital Group & Advisors

866-610-4141

www.c-loandivision.com

Excelsion Mortgage

888-578-5441

www.excelsionbrokers.com

Strongtower Financial

800-333-9893

www.strongtowerfinancial.com

First California Bank

818-670-7688

www.fcbank.com

SWC Financial Corp.

714-680-7050 x113 www.swcfinancial.com

Griffin Capital Funding

800-710-6762

www.ysploans.com

TCRM Commercial Corp.

212-371-3933

www.tcrmcommercial.com

Hawkins Capital

208-908-5596

www.hawkinscap.com

Terrace Capital

212-671-1031

www.terracecapital.com

HMC Funding

800-273-7001 x 327 www.hmcfunding.com

Integrity Financial Group

916-343-7559

www.ifgloans.com

The Money Source, LLC.

480-946-4000

www.themoneysourcellc.com

Interbay Funding, LLC

877-207-6099

www.interbay.com

Trilogy Commercial Lending, LLC.

877-726-9433

www.trilogycl.com

Kennedy Funding

201-342-8500

www.kennedyfunding.com

Lib Properties, LTD.

404-256-8600

www.libloans.com

Lighthouse Commercial

614-340-3894

www.Lighthouse-Commercial.com

West One Mortgage Corporation

818-921-7602

www.westonemortgagecorp.com

LNB Commercial Capital

321-214-0585

www.lnbcapital.com

WholesaleLending.com

866-303-6301

www.wholesalelending.com

Magnolia Financial Consultants

601-428-1005

www.hardmoneymortgages.com

World Capital Bancorp, Inc.

888-922-3003

www.worldcapitalbanc.com

Union Bank of California

877-945-2265

www.uboc.com

Wells Fargo

800-840-5822

www.wellsfargo.com

Financing may not be available in all states. The above summaries are intended for Mortgage Professionals only, and not intended for distribution to consumers, as defined by Section 226.2 of Regulation Z, which implements the Truth-In-Lending Act. Information is subject to change without notice. Refer to each lender’s information on products, program, procedures, representations, and warranties for details.

44

February 2009


LENDER & RESOURCE DIRECTORY

ACC Mortgage, Inc. WeApproveLoans.com Contact: Tim Boord Phone: 240-314-0399 ext 15 Email: Tim.Boord@accmortgage.com

a la mode, inc. www.alamode.com

Ambit Funding www.ambitfunding.com Contact: Chris Bednar Phone: (570)-829-2101 (800)-823-7101 Email: loans@ambitfunding.com

AFG LLC (Asset Funding Group) www.assetfundinggroup.com Contact: Jaye Kuchman Phone: 720-889-1175 Email: Loans@assetfundinggroup.com

AgriCap Financial Corporation www.agricap.com Contact: Business Development Phone: 213-542-5232 Email: sales@agricap.com

Avatar Financial Group www.avatarfinancial.com Contact: Allison Payne, Loan Analyst Phone: 888.896.0083 Email: loans@avatarfinancial.com

Best Rate Referrals www.bestratereferrals.com Phone: 800-811-1402

BRT Realty Trust www.brtrealty.com Contact: Mitch Gould Phone: 516.773.2712 Email: mitch@brtrealty.com

CityLights Financial Express, Inc www.citylightsfinancial.com 800-530-2489 ext 301 info@citylightsfinancial.com

Continuum Funding Group www.continuumfunding.com Contact: Evan Kaplan Phone: 703-564-1659 Email: ekaplan@continuumfunding.com

Credit Plus Inc. www.creditplus.com Phone: 800.258.3488 Fax: 800.258.3287 Email: beyondbundled@creditplus.com Distressed Debt? We'll buy it! Email us at DistressedBuyers@gmail.com

DocMagic www.docmagic.com Phone: 800.649.1362

Fairview Commercial Lending www.FairviewLending.com Phone: 866-634-1270 Fax: 404-634-0319

Financial Resources Mortgage, Inc. www.commercialloanresources.com Contact: David Dexter Phone: 800-950-6913 Email: ddexter@frmortgageinc.com

First Mount Vernon I.L.A. www.FMV1.com Phone: 703-823-6800 Fax: 703-997-2499

Cogent Road Inc. www.fundingsuite.com/demos Phone: 800-848-3162

Greenleaf Legal Services, LLC www.GreenLeafLegals.com Phone: 888.326.3303 Ext 217 Contact: Simon Yarandi Simon.Yarandi@GreenLeafLegals.com

TheNicheReport.com

45


LENDER & RESOURCE DIRECTORY

Gregory Funding LLC www.gregoryfunding.com Phone: 888.324.3578 Email: info@gregoryfunding.com Griffin Capital Funding www.ysploans.com Contact: John Berardino Phone: 540.548.1001 x 104 Email: johnb@ysploans.com

KENNEDY FUNDING, INC. www.kennedyfunding.com Contact: Jonathan Weiner, Chief Loan Officer Phone: 1-800-342-8500 Email: info@kennedyfunding.com

The Lender Approval Department www.TheLenderApprovalDepartment.com Phone: 310-568-1112 Email: ben@qcmac.com

Loan Mod Lead Machine www.loanmodleadmachine.com

The Loan Post www.TheloanPost.com Phone: (877) 812-4327 Email: sales@TheLoanPost.com

46

February 2009

Madison Credit Management Services LLC www.madisoncredit.com Contact: Roger Castile Phone: 856-866-9878 x4320 Email: info@madisoncredit.com Manaseh, Epharim & Associates www.meandassociates.com Contact: R.D. Walker Email: info@meandassociates.com Phone: 770-840-0112

Metro Funding Corp www.metrofundingcorp.com Contact: Jennifer Bernabeo Email: jennifer@metrofundingcorp.com Phone: 866-302-6360

Mitigation Online Consultants www.mitigationonlineconsultants.com sales@mitigationonlineconsultants.com Phone: 818-501-1520

New Jersey Association of Mortgage Brokers/MBA of New Jersey www.njamb.org 973.379.7447

Precision Loan Processing www.PrecisionLoanPro.com Phone: 703.743.9739 Email: Kristen@precisionloanpro.com

RBA Capital www.RBACapital.com Dan Murphy 610.293.8008 x205 dmurphy@rbacapital.com

Remington Financial Group, Inc www.remingtonfg.com Contact: Aaron Enright Phone: 480.905.3239 Email: apply@remingtonfg.com

Stonecrest Financial Contact: Bill Phone: 888.884.6518 Email: Bill@stonecrest.net

Miner Capital Funding, LLC www.Minercapitalfunding.com Orlando@minercapitalfunding.com Phone: 702-466-8952 Fax: 314-667-3092

Trilogy Commercial Lending www.TrilogyCL.com Phone: 888-875-5055 Email: info@trilogycl.com

Pittbull Mortgage School www.pitbullmortgageschool.com Contact: Leonard Rosen Phone: 858-736-7788 PitbullMortgageSchool@gmail.com

TrustCapital Investments LLC Contact: Craig Severson Phone: 301-503-2231 Email: trustcapital@frontiernet.net


Highest Yield Spread Premium Paying Commercial Lender! Earn up to 6 points! 4% YSP and 2% origination.

One of Inc. 5000’s Fastest Growing Companies Needs Commercial Brokers & Correspondents! Par Lender Apply to be a Broker/Correspondent! Commercial loans from $250,000 to $5,000,000 Church loans from $50,000 to $15,000,000 Earn up to 4% Yield Spread Premium! 4% Yield Spread Premium for Correspondents & 3% for Brokers First trust loans and second trust loans Rates fixed from 6% already paying YSP! LTV’s up to 85% & CLTVs up to 90% SBA 7a and 504 loans, USDA Loans Visit www.YSPloans.com for Life Insurance Company Loans from $1,000,000 to $40,000,000

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Looking for a Church Loan? Call the Experts! Our prOcess is simple: No tax returns | No personal guarantees | No audited financials YOu chOOse the lOan that fits YOur needs: • Fixed Rates* • Maximum LTV 100% of purchase price; • 90% for construction; 80% for refinance* • No bond fees* • Quick closing* • No personal guarantees on the loan* • Closing costs built into the loan amount* • Up to 30 year amortizations* • Great rates* * Subject to program guidelines and underwriting approval.

For more details or to apply, visit www.churchloans.net or call 540-548-1001 xt. 1.


BODA Publishing, LLC,PO Box 2618,Stafford, VA 22555

PRSRT STD U.S. POSTAGE

PAID

PERMIT #379 BOLINGBROOK, IL

"TheNicheReport is a national trade publication dedicated to wholesale and correspondent lending." BRT09_ The tough_The niche.qxd:Layout 1 1/20/09 2:01 PM Page 1

When the going gets tough… Choose BRT Realty Trust for your short term commercial finance needs.

For commercial properties nationwide including: � Multi-family residential apartments � Shopping centers � Industrial buildings � Office Buildings � Hotels and motels

In a tough market you can count on BRT for your short term commercial finance needs. We have the experience and fortitude to close deals swiftly. BRT, a national leader in short term commercial financing, with over 30 years experience, BRT is known for integrity and high standards of service on financial solutions for even complex or difficult scenarios. Loan closings occur as quickly as a couple of days. BRT provides � Fast Closing � Bridge Loans � Unsold Condo Inventory Loans

� Note Purchases � Debt Restructuring � Acquisition Loans

� Minor Rehab/Transitional RE � Refinance Existing Debt � Tenant Improvements

For fast response on loans from $2,000,000 to $50,000,000 with no prepayment penalty, lock out or exit fees, contact: Mitch Gould: Mitchg@brtrealty.com I Alon Rosenzweig: Alonr@brtrealty.com I 516-466-3100/800-450-5816

A PUBLIC MORTGAGE REIT TRADED ON THE NEW YORK STOCK EXCHANGE (NYSE:BRT)


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