TNR - July 2011

Loan Officer Edition

Issue 048 July 2011 TheNicheReport.com

Still Making Loans to Small Businesses National Direct SBA Lender

Mark Feathers, President & CEO

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12

Excel When Others Fail Create new strategies and embrace this downturn

18

FEATURE ARTICLE! Putting People Before Profits The story you've never read about the mortgage community

34

Shhh ... Frank and Brian Speak Market x Activities = Results

Up 58 Bringing The Rear Michael J. Williams, Fannie Mae's President and CEO

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CONTENTS

Issue 048

18

July 2011

Putting People Before Profits The story you've never read about the mortgage community

Rick Roque

NICHE REPORTS prime & FHA REVERSE MORTGAGE RURAL LENDERS HARD MONEY Commercial Construction/Rehab JUMBO Service Providers

pg 49 pg 49 pg 49 pg 50 pg 50 pg 50 pg 50 pg 51

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

12 30 34 38

6

Excel When Others Fail Thomas e. jandt author, your money is everything Create new strategies and embrace this downturn.

40

MANAGING EDITOR Stewart Mednick stewart@thenichereport.com

Center Stage with Bank of Internet The Niche Report The Niche Report talks with Brian Swanson, Senior Vice President, Residential Lending

DEPARTMENTS

09

from the editor's desk

Shhh ... Frank and Brian Speak

10

Letters to the editor

Frank Garay Thinkbigworksmall.com Market x Activities = Results.

43

What's your mortgage IQ?

46

TIP OF THE MONth

54

LENDER & RESOURCE DIRECTORY

58

BRINGING UP THE REAR

Man on the Hill Marc Savitt President, the National Association of Independent Housing Professionals Brokers vindicated!

July 2011

ACCOUNTING MANAGER Shawna Ingram shawna@thenichereport.com Advertising Director Jessica Grizzle Jessica@thenichereport.com

Online Lead Generation Dennis Yu co-founder and CEO BlitzLocal.com What to do if you are not the big name in town.

EDITORIAL / CONTENT MANAGER Kristen Moser kristen@thenichereport.com

Advertising sales Heather Bopp Heather@thenichereport.com Production Manager Henry Suchman henry@thenichereport.com Production Assistant Dawn Exner dawn@thenichereport.com Cartoonist Martin Bradford COLUMNISTS & Contributing Authors Martin Andelman Karen Deis Frank Garay Thomas E. Jandt Stewart Mednick Rick Roque Marc Savitt Dennis Yu

Still Making Loans to Small Businesses National Direct SBA Lender

Mark Feathers, President & CEO

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EDITORIALS / ARTICLES To submit an article for consideration in The Niche Report, please send an email to stewart@thenichereport.com or call 866.964.2695. We are interested in original writings relevant to mortgage brokers and other real estate finance professionals.

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From the editor's desk

It is better to give than to receive. This is a cornerstone tenet of many religions, societal ethics, corporate community relations, and mortgage companies.

Excuse me, did you say mortgage companies? The same mortgage companies that, according to our mainstream press, pulled this country into a recession? The same mortgage companies that, according to our mainstream press, allegedly cheated millions of Americans out of a solid mortgage in lieu of an exotic product? The same mortgage companies that have been legislated to death because of their unethical behavior? Yes, these are the very ones.

But I want to make a distinction that the bankers that cost the American public hundreds of billions of dollars are the ones living on Wall Street and not the companies mentioned here in The Niche Report. Yet, in the eye of the general public, we are all crooks. So how do the mortgage industry constituents save face?

They give back.

Rick Roque wrote an inspiring and very eye-opening feature article about mortgage companies that give back. This article shows that the people that run many of the mortgage companies that have been scorned and punished are truly heroes to the non-profits and charitable organizations to whom they give.

Being a Navy veteran myself, I am very touched to have found out that many companies contribute to the Wounded Warrior Project and other veteran based organizations to assist veterans and their families. How can any company, public or private, be more American and more loyal to society than to assist our troops?

Thank you, Rick, for the wonderful article that I hope enlightens, and inspires all who read it.

With contributions by our regular cast of columnists and contributing writers, I hope you enjoy our magazine and thank you for participating in our fourth anniversary of bringing to you informative and sometimes controversial articles.

Cheers!

Stewart Mednick Managing Editor

Official

MEMBER

TheNicheReport.com

9

Letters to the editor

Letters to the editor Bringing up the Rear with Jaime Dimon by Mandelman He is still clueless on the mortgage broker! Love your articles, I always read them first in The Niche Report.

L. Miller

They Once Were Lenders, June issue 2011 by Mandelman

professionals in our industry already

* * *

know, but the difference is you have Mr. Andelman - that was an outstanding article written by you on the Housing debacle. You hit the nail right on the head from start to finish.

My only hope would be that every American politician would read your piece and learn from it! I have read many articles on our housing crisis but yours is the best! Will anyone listen or is the Banking Cartel that powerful?

This nation's darkest days are here!!

Nunez

part about Ameriquest. I loved the picture of the kid kissing the rapper necklace – that was extremely accurate.

William

folk will understand and have laid it out in a manner where it flows. The way it was laid out is perfect, one by one you took the time to explain in great detail what happened, why it happened, why it’s going to keep happening and what needs to be done to stop it.

I think there should be some reform for Realtors. There are boatloads of those agents you described who COULD NOT pass

* * *

I enjoyed your piece in the Niche Report and I especially enjoyed the

put it into words that the common

the NMLS and are now Realtors. It’s I just finished reading your article in this month’s edition of the Niche Report, and I have to say its dead freaking on. It’s the same thing a lot of people have already said and a lot of

Letters to the Editor may be e-mailed to info@TheNicheReport.com or faxed to 703-991-2362.

Include your full name, email address, and daytime phone number. We are unable to publish all letters and may edit letters for length and clarity. Visit us online at www.TheNicheReport.com to subscribe to our magazine and/ or eNewsletter. Or call toll-free at 866-964-2695 for more information.

like almost every Realtor I talk to just became one six months ago and the first thing they say is “I used to be a loan officer, where is my approval?”

Sunny Singh

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