ABLending 1

Nov. 13: CFO position wanted, MLO, cap. mkts. jobs; private money, marketing products; private MI company updates

Anonymous — Fri, 13 Nov 2020 18:37:49 +0000

Welcome to the first Friday the 13^th of 2020 since March. What an eight months! Cindy E. writes, “The longer I stay at home, the more homeless I look.” I start fielding emails every year around this time about the following year’s conforming loan limits and the impact on home ownership. It was a bigger deal in the past, when the price difference between jumbo and conforming was greater, but every year the threesome of Fannie, Freddie, and the FHFA announce conforming parameters around or after Thanksgiving. Stay tuned for a few weeks, but the jungle drums are beating somewhere around $535k (versus 2020’s maximum of $510,400 and 2019’s of $484,350; units and states aside). With rates these low, with these high loan amounts, plenty of renters are considering owning a home. 80.4% of renters paid their rent payment by November 6, up from the 79.4% of renters who paid by October 6, but down from the 81.5% who paid by November 6, 2019.

Jobs & transitions

A strategic CFO with a track record for generating millions in annual savings is looking to join a great company. This candidate is confident they can pay for themselves 10x over through creative savings strategies, negotiations, automation, and unit costing. Additionally, the candidate is experienced in both expense branches and corporate branches in Consumer Direct and Retail environments. To start a conversation, please email Chrisman LLC’s Anjelica Nixt for details. Credentials include a master’s in financial engineering, experience at Fortune 20 companies, and CFO positions at independent mortgage banks.

MortgageCTO (“MCTO”) is seeking new Account Managers to support the company’s rapidly growing userbase of its industry-leading fee disclosure platform, FeeWise™. Candidates should have a solid understanding of the loan manufacturing process and preferably have experience with the Ellie Mae Encompass product suite, too. If you are technology savvy, have a thirst for knowledge and are ready for exciting work around a cutting edge product, send your resume to letsbegin@mortgagecto.com. MCTO offers competitive compensation and a flexible work environment.

“We’ve maintained an upward trajectory for several years running, with no sign of slowing down. Fundings have exceeded $1 billion 7 months running, and November is on track to make it 8. The key to our success lies in our company culture and the team we’ve built. American Financial Network, Inc. (AFN), approaching its 20th year in business, thrived through the great recession in 2007 and has grown exponentially every year since. We are a true national lender, closing loans from coast to coast and each branch that comes aboard offers its community a local expert with the power of a big organization behind them. When asked, our people say the best thing about being a part of Team AFN is the culture. Although we’ve grown and expanded, we haven’t lost the “family” feel and the collaborative mentality that makes us a cohesive team. We are always looking for people who don’t want to feel like they’re on an island (unless of course, they’re actually on an island like our Hawaii branch). If you’d like to join our winning team, contact https://joinafn.com/.”

“On Q Financial is proudly expanding employment opportunities in the mortgage industry! We currently seek a Secondary Marketing Manager and a Mortgage Trader. The ideal candidates will be energetic and analytical with a proven record of accomplishments. We are looking for out-of-the-box thinkers who can hit the ground running and bring in fresh ideas. These positions ensure effective management of complex hedging functions, pipeline governance, loan sales, buy side bidding, pooling, and trade settlements for Retail/TPO channels. Additionally, these positions are responsible for managing existing partnerships and building new relationships. At On Q Financial, we are passionate about making the dream of homeownership a reality! We are highly collaborative, extremely innovative, and like to have fun – and we move FAST! If you are someone who accelerates and propels Capital Markets to the next level, we want to meet you! Interested candidates please email your resume to Juan Rodas.”

We’ve created something EPiQ! CMG Financial and Realty One Group launched a true joint venture partnership EPiQ LENDING. This dynamic lender gives loan officers unparalleled support to maximize their growth. Clients and partners get the hands-on service of a direct lender and the unique experience of the powerful Realty One Group, UNBROKERAGE. Mortgage industry veteran Raffie Kalajian will lead as Joint Venture President and is staffing a team to demonstrate the power of EPiQ LENDING’s industry influence. Chris Harris, Senior VP, National Joint Venture Manager, CMG Financial stated, “With a combination of our proven mortgage platform and engaged partner with a network of over 15,000 agents, EPiQ LENDING is poised to be one of the best destinations for loan officers.” To discuss joining EPiQ LENDING’s team contact Raffie Kalajian (626-705-2506). To learn more about joint venture opportunities with CMG Financial contact Kevin McGarrity (856-287-2659).

Sun West Mortgage Company, [NMLS 3277] a leading full-service national mortgage lender, is excited to announce the expansion of its west coast operations. Tyler Fowler recently joined Sun West Mortgage Company as the new Producing Branch Manager for Middletown, CA. Tyler, along with his experienced team of mortgage professionals, are dedicated to guiding customers through the mortgage process with transparency and trust. With nearly 23 years of banking and lending experience, Sun West is pleased to have Fowler a part of the company’s continued growth. For more information on Sun West Mortgage Company, please contact Managing Director, Leif Boyd or SVP, Business Development, Peter Schwartz at 916-770-0053. For Sun West Mortgage Company, Inc. licensing information and disclosures, please click here.

Thrive Mortgage has the largest complement of diverse product offerings. Clearly, many lenders are experiencing amazing growth in 2020, but few have also included an emphasis on Reverse. In 2019, Thrive hired Loren Riddick to lead the company’s national initiatives regarding Reverse Lending. Since then, Thrive has seen this niche product become a rapidly growing component of their record-breaking total business in 2020. Recently joining Riddick and Thrive Mortgage in expanding that message is industry veteran Mike Stanley. “The Reverse Lending market is poised for some amazing success in the days ahead,” stated Stanley. “Because of Thrive’s focus on expanding that message, more of our client base is learning how valuable a tool this product can be as component of a smart financial strategy.” Thrive is seeking mortgage operations and sales professionals who are “Hungry, Humble, & Smart”! To learn more about your new opportunity to Thrive, visit join.thrivemortgage.com.

First Community Mortgage has named Antonio Roundtree VP of Community Engagement, a new role responsible for increasing lending activities, promoting homebuyer and financial education programs, and community outreach efforts.

Out of Arizona comes news that Geneva Financial Home Loans (130 branches in 43 states) has a new National Head of Underwriting: Tiffany Graves. She’ll “focus on industry-leading rapid underwriting turn-times while maintaining the integrity of the company’s underwriting policies and standards and protect and support the company’s risk management goals.”

Broker & lender products & services

According to Inman, the real estate media company, a whopping 73% of agents are re-evaluating their current relationships or looking for new ones. Momentifi is launching its new solution at the Inman online conference this week and at the Finovate online conference later this month that helps mortgage companies and LOs protect their current relationships and find new ones. “The challenge we’ve found is that LOs are too busy to get in front of referral sources, and COVID is also making live events impossible,” says Momentifi CEO, Gibran Nicholas. “Meanwhile, agents still need CE credits. So, what if we could turn the process of earning CE credits into an online networking opportunity? Your LOs don’t need to do anything other than invite their referral partners. We teach the classes and handle everything else. The referral partners walk away with RESPA-compliant free CE and co-branded marketing with their LO.” Click here to email Gibran directly and get a sneak preview.

Synergy One Lending held its first Modern Mortgage webinar, “The Cost of Being Invisible — No Nonsense Social Media with Bill Hart” for its new digital event series on Tuesday, November 10th. Loan officers and real estate agents in attendance listened to Coach Hart present on what real estate sales and finance professionals need to be doing right now on social media to make 2021 their highest volume year yet. Further, Coach Hart discussed how to use social media to stay top of mind with referral partners, connect with prospects through social videos, and guarantee long-term production through proactive social media strategies. In case you missed it, you can view the recorded digital session and learn more about how you can use social media to increase your volume. If you have any questions about Synergy One Lending’s new online event series, please contact Ben Green.

Amidst today’s refi boom, successful originators are also looking ahead at what their next big opportunity is. For many, it’s developing an investment real estate channel. CIVIC Financial Services is a leading institutional private lender, funding more than $4B in private money loans. With CIVIC as your private lending partner, you can serve customers throughout their entire real estate journey: purchase, refi, fix and flip or long-term rental. 15-20% of the average mortgage originator’s prospect list is a potential investor who could use a private money loan to buy an investment property as a flip or a rental property in today’s hot real estate market. To learn more about real estate investment financing check out CIVIC’s video and download the free whitepaper to help you build your business.

1981-1996 = Millennials = home buyers

Early forecasts pegged Millennials (ages 24-39 this year) as the “Peter Pan Generation,” never wanting to grow up and therefore, less likely to settle down and buy a house. Like many predictions about 2020, those predictions appear to have missed the mark. So far this year, Millennials have comprised 52 percent of purchases and 42 percent of all mortgage loans. In his November MortgageSAT Tip, MortgageSAT Director Mike Seminari offers three strategies that lenders can leverage to capture Millennial interest and loyalty. Don’t miss the new MortgageSAT Tip, “What is the Secret to Becoming the Mortgage Lending Choice of Millennials?”

Private Mortgage Insurance trends

Some industry watchers view MI companies as “barometers” in terms of equating their performance to that of the industry in general. Let’s take a look!

Given the recent vaccine headlines, KBW’s Bose George recently took a look at how some MI companies, title insurers, and mortgage originators/servicers are positioned for a recovery. Mortgage insurers, with exposure to residential mortgage credit, stand to benefit the most. Higher interest rates are neutral to positive for the sector as long as they are not high enough to impede the housing market. It’s also likely to be a positive for the title insurers, given a quick recovery in commercial real estate activity. While title insurers have benefited meaningfully from the refinance wave this year, one concern is that the decline in refinance volume will not be offset by a growing purchase and rebounding commercial market. Mortgage originators would likely fare the worst amongst the three groups during an economic recovery, as the rise in interest rates would slow refinance activity more quickly than expected. Finally, this scenario should be positive for mortgage REITs that have exposure to mortgage credit risk.

Essent posted solid quarterly results due to a lower loss provision and lower operating expenses. Expectations are now for a lower run-rate expense ratio, partially offset by a lower average premium yield. The delinquency rate continues to improve, down to 4.25% in October from 4.54% in September and 5.19% in June. The improvement is tracking pretty much in-line with overall GSE forbearance rates. Management estimated the mark-to-market LTV on the default population of loans is about 80%, suggesting there is a margin for a drop in home prices without materially impacting the frequency or severity of losses.

Radian posted a positive quarter due largely to a lower loss provision and higher singles cancellations. Delinquent inventory levels continued to decline through October month-end. As more clarity on credit emerges, it will be easier to predict future performance, though forward loss estimates should remain roughly unchanged. The company kept its default-to-claim rate assumption on new defaults unchanged at 8.5%, which is slightly more conservative than the industry average. Estimates are for a roughly 2.2% cumulative loss assumption over the 3-year period 2020-2022.

NMI Holdings beat earnings estimates in Q3, driven largely by lower credit losses. This was partially offset by lower net premiums earned and lower investment income. The reported October 31 delinquency rate was 3.41%, down from the previously reported 3.60% on September 30. The company applied an unchanged 7% default-to-claim rate assumption on new defaults in the quarter. Insurance in Force (IIF) grew 21% quarter-over-quarter, and New Insurance Written (NIW) came in at $18.5 billion, making NMI one of the fastest growers out there. PMIERs excess capital increased to $681 million (69% cushion) from $609 million (58%) last quarter, benefiting from issuing its fourth and fifth ILNs during the quarter at attractive spreads.

MGIC’s Q3 included lower losses incurred than Q2. Losses at these levels would remain below the attachment points of the ILNs. Those points increase over time as the insured portfolio runs off, though the collateralization is currently locked since delinquency triggers have been reached. MGIC’s delinquent inventory declined to 5.5% through October versus peak of 6.4% on June 30, and broader GSE forbearance rates are down to 3.5% in early November versus peak of 7.2% at the end of May, per the MBA. Additionally, home price appreciation has been very strong, which could reduce the severity and frequency of losses. In this scenario, delinquent borrowers would be more likely to be able to sell the house to pay off the mortgage in order to avoid foreclosure. Going forward, the company hopes a slightly lower average premium yield is offset by stronger IIF growth. Industry NIW volumes remain very strong, though runoff also remains quite elevated.

Capital markets

To those that were mourning the lack of volatility in the bond market throughout the summer, are you happy now? Last week’s volatility was all about the U.S. election, while this week is centered around “vaccine euphoria,” increasing COVID cases, and the implications for an already sluggish economic recovery. U.S. Treasuries & MBS rallied as three of the world’s top central bankers, including Fed Chair Powell, warned that the prospect of a coronavirus vaccine isn’t enough to put an end to the economic challenges created by the pandemic.

We learned that Initial Jobless Claims continued to trend downward but with new curfews and restrictions on business activity in many cities and states due to rising coronavirus infections, expect an increase in jobless claims in coming weeks. The Consumer Price Index figures are far from the Fed’s aim of lifting the average inflation rate. Separately, the Treasury Budget showed a $284 billion deficit in October, which is more than twice the deficit seen in October 2019 as the nation (and the world) has been forced to deal with the fallout from the pandemic. For good news, Black Knight reported that the number of mortgages in active forbearance saw another round of strong improvement, dropping by 121K (-4%) over the last week. Finally, yesterday’s Primary Mortgage Market Survey from Freddie Mac had the 30-year rate rising 6 bps to 2.84%.

Today’s economic calendar is already underway with October’s Producer Price Index (+.3%) and Core PPI (+.1%), both near expectations. The only other release on today’s calendar is the Preliminary November Michigan Consumer Sentiment Survey. Three Fed presidents are currently scheduled to speak: New York’s Williams, St. Louis’ Bullard, and Philadelphia’s Harker. Today’s MBS FedTrade purchase schedule sees the Desk conducting two operations targeting up to just $4.2 billion, starting with $975 million UMBS15 1.5% and 2%, and followed by $3.2 billion UMBS30 2% and 2.5%. We begin Friday with Agency MBS prices roughly unchanged from Thursday’s close and the 10-year yielding .88 after closing yesterday at 0.89%.

Nov. 13: CFO position wanted, MLO, cap. mkts. jobs; private money, marketing products; private MI company updates

Anonymous — Fri, 13 Nov 2020 18:03:35 +0000

Jobs & transitions

Broker & lender products & services

1981-1996 = Millennials = home buyers

Private Mortgage Insurance trends

Some industry watchers view MI companies as “barometers” in terms of equating their performance to that of the industry in general. Let’s take a look!

Capital markets

Tips to Sell Your House Safely Right Now [INFOGRAPHIC]

Anonymous — Fri, 13 Nov 2020 14:04:33 +0000

Some Highlights

Your agent now has over 6 months of experience selling houses during the pandemic and can make the process easier and safer for you today.
COVID-19 protocols and technology usage recommendations from the National Association of Realtors (NAR) are making it possible to sell houses right now, while agents continue to abide first and foremost by state and local regulations.
Reach out to a local real estate professional to discuss how to sell your house safely in today’s housing market.

The post Tips to Sell Your House Safely Right Now [INFOGRAPHIC] appeared first on Keeping Current Matters.

Tips to Sell Your House Safely Right Now [INFOGRAPHIC]

Anonymous — Fri, 13 Nov 2020 13:37:10 +0000

Some Highlights

Your agent now has over 6 months of experience selling houses during the pandemic and can make the process easier and safer for you today.
COVID-19 protocols and technology usage recommendations from the National Association of Realtors (NAR) are making it possible to sell houses right now, while agents continue to abide first and foremost by state and local regulations.
Reach out to a local real estate professional to discuss how to sell your house safely in today’s housing market.

The post Tips to Sell Your House Safely Right Now [INFOGRAPHIC] appeared first on Keeping Current Matters.

from Mortgage News https://ift.tt/3nrsMc9
via IFTTT

Nov. 12: MLO, Ops jobs; Marketing, non-QM, jumbo products; company news re: lenders, investors, & originators

Anonymous — Thu, 12 Nov 2020 17:03:09 +0000

Are the election results under control? Thank you to Hawai’i’s Joe G. who sent along this site where the odds of who the next president will be are posted; you can buy shares in your favorite! Is COVID under control? In some parts of the nation, it is as if there is no pandemic at all, despite rising cases in 49 states. With this pandemic uncertainty, and hopes for a viable commercial vaccine a long way off, and possible further shutdowns, how is senior management expected to make decisions about office space? No one wants to request employees come back into the office, and then have some come down sick. Or will everyone be working from home permanently? (STRATMOR’s blog is, “Time to Call the Landlord?”.) Parents are grappling with children returning, or not, to school. Remember: Education is important, but opening up the bars is importanter.

Jobs

On Tuesday, Nov. 10, Caliber Home Loans CEO Sanjiv Das joined an outstanding lineup of industry executives at #NEXTDC20, a women’s executive mortgage summit. Caliber was one of several sponsors of this interactive online event, which featured an array of lending professionals on its agenda. Das participated on a prominent panel of experts and discussed the critical issues that have affected our industry for the past two decades. You’ll be able to catch the replay soon on the #NEXTDC20 website. “Caliber is a company with smart, strategic leaders who are enthusiastic about sharing knowledge. Come work for a company that will help you grow professionally. Visit our website today to view open opportunities.” To be immediately considered for Operations or Sales positions, email Jonathan Stanley or Brian Miller respectively.

NEXA Mortgage is a “pure broker” with dedicated underwriting teams that boast CTC in 16.9 days on average. Come learn why over 250 producing MLOs are moving to NEXA Mortgage each year. Come learn about our “7 non-negotiables” and why NEXA MLOs feel they have the edge on 1) Interest Rates 2) Products 3) Compensation 4) Support 5) Processing 6) Benefits and 7) Marketing/Technology. We host a weekly “Why NEXA” webinar at 11am MST each and every Thursday. Just find the Why NEXA link and login. The CEO and Co-Founder Mike Kortas will be covering a full demonstration about how all “7 non-negotiables” work.

Lender products & services

The approaching holidays are a perfect time for lenders to evaluate their goals, projects, and strategic decisions to improve their businesses for next year. There is no better opportunity to find and implement the right tech platform in your business. For small to midsize community lenders looking for a digital mortgage point-of-sale platform, Maxwell stands out from the competition because it uniquely caters to these lenders’ platform and partnership needs. Today, the 200+ community lenders on Maxwell gather documents over 73% faster and close loans 45% faster than the national average. That level of performance, along with a platform and team dedicated to adoption and implementation in weeks, not months, is a recipe for success for lenders in this year’s likely short “slow” season. To learn more schedule a demo today.

MCT recently released two pieces in its Newsroom blog, only a small part of MCT’s commitment to clients and industry members alike to promote understanding and profitability in the secondary marketplace. Both Best Execution Analysis in the Secondary Mortgage Market and History of Best Execution for Mortgage Loans provide solid and understandable industry tips on best execution, while also being quite enjoyable reads. At the end of the day, it’s all about yielding profits, and no hedge advisory does that for clients quite as well as MCT. Between the award-winning software, best-in-class client services and learning center, you are doing the most with MCT on your side. To be notified of future whitepapers, blogs, market commentaries, and webinars, join MCT’s Newsletter.

Have you seen the simple innovation that quadrupled productivity and revenues for a division of American Pacific Mortgage? The division’s manager Charlie Christensen says a simple change to their daily processes boosted efficiency and revenues by 280%–without outsourced processing or hiring more staff. Director of Operations, Indica Weatherwax also reports that despite the significantly higher volumes she sleeps better at night knowing that every task, file, deadline, and detail is tracked so that nothing falls through the cracks. The team now serves four-times the customers while working remotely from anywhere. How did they do it? Charlie explains how they used a simple process automation tool to scale production and automate their entire “lead to loan” process. Work smarter. Discover TeamworkIQ.

Are you ready for VA IRRRL and FHA Streamline refinance opportunities in this market? Learn how to efficiently submit your files once for a final approval! Join Freedom Mortgage Wholesale for live webinar training sessions on VA IRRRL or FHA Streamline mortgage products and origination processes. Ideal for new or experienced government originators. Sign up for a VA IRRRL or FHA Streamline webinar on 11/13 (FHA SL), 11/20 (VA IRRRL) or 11/24 (VA IRRRL).

Expand your loan offerings with MAXEX, the first exchange for buying and selling residential loans through a single, trusted clearinghouse. Get fast, consistent liquidity and competitive pricing on Jumbo, Conforming and Non-QM loans from a marketplace of ready-to-buy institutional investors. MAXEX has several recently introduced programs. Jumbo Express: Leverage certain results from Desktop Underwriter® (DU) and/or Freddie Mac’s Loan Prospector Advisor^SM(LPA) to reduce the complexity of underwriting Jumbo Loans. Include loan amounts from $510,401 – $1.5M for transactions that are DU Approve / Ineligible or LPA Accept / Ineligible for loan size only. Non-QM: Access a broad range of fixed, ARM, fully amortized and IO options for loan amounts from $150K to $2.5M. Better serve self-employed borrowers with Full Doc and Alt Doc programs. To learn more about MAXEX, visit us at maxex.com.

If you’re like the average lender, you have a database of 5,000 records, and only retain 20% or less of your borrowers. In one month, you’ve lost over 39 loans to your competitors. That’s a whopping $10 million of loan originations! Sales Boomerang notifies mortgage lenders when someone in their database is ready for a loan. Our clients retain more than 65% of their borrowers. The longer you delay, the larger that loss becomes on your bottom line. We want to be your retention hero and win back the loans that you’re losing. “I have LO’s that only work Sales Boomerang leads, and my ROI is in the 20-30X Range.” (John Kresevic, CEO, JFQ) The numbers speak for themselves: 20X Avg ROI, $240 Avg Cost Per Acquired Loan, 10-20% Avg Lift to Loan Volume. Want to see exactly how much you lost this year? Request your report today.

He Made the President’s Club While Hospitalized! Here’s a true story about the power of Relationship Engagement: On a Mortgage Company’s Production Cruise in 2003 a winner slipped near the pool and landed on the back of his head. He was unconscious for 20 minutes, but when he woke up, he felt fine. Turns out he wasn’t fine. In fact, he almost died and spent a year in the hospital. The crazy thing is he did $12 million in production that year. How? He had great relationships, a great assistant, and his marketing was automated. His Realtors and clients had no idea he was even sick. They continued to get great service from his assistant and targeted, personalized marketing from Usherpa. According to the Loan Officer, “Without Usherpa, I’d be out of business.” Local Content sent to the right people at the right time with the right message: Usherpa.com.

Who’s doing what in our business

Some will argue that real estate agents believe loan underwriting guidelines should just go away. Underwriting limits the buyer pool, right? Let’s not do that. But NAR presented its thoughts on what a Biden Administration means for Freddie Mac and Fannie Mae. Things to keep in mind: a) a full release from conservatorship will require legislation and that won’t happen under divided government, and b) we’ll see how the Supreme Court decides a lawsuit regarding the structure of the FHFA. Many believe that the Biden Administration will be in no hurry to recapitalize and release them, given the profits flowing into the U.S. Government and to continue to promote and increase affordable housing mandates.

M&A is still occurring. For example, First Citizens BancShares, Inc. and CIT Group Inc., jointly announced that they have entered into a definitive agreement under which the companies will combine in an all-stock merger of equals to create a top-performing commercial bank. The combined company will operate under the First Citizens name and will trade under the First Citizens ticker symbol FCNCA on the Nasdaq stock market with headquarters in Raleigh, NC.

The 2020 myCUmortgage Annual Awards recognized a record 55 credit unions and loan originators. Awards received included the Purchase Money Lender of the Year: Canton School Employees Federal Credit Union, Canton, Ohio. Originator of the Year: Misty Brown, Desco Federal Credit Union, Portsmouth, Ohio. Lender of the Year: Midwest Community Federal Credit Union, Defiance, Ohio. Additionally, 42 loan originators were individually recognized for each helping over 100 members with home ownership. Receiving the highest individual honor was Tim Muffley, Mortgage Lending Manager with Desco Federal Credit Union in Portsmouth, Ohio. The annual award, the Tim Mislansky Belief Award, recognizes an individual with a credit union who exemplifies former myCUmortgage President Mislansky’s belief in the importance of living one’s core values at work, home and in the community.

Mortgage market share continues to shift away from commercial banks and to independent mortgage banks (IMBs). Rocket Companies reported third quarter numbers this week, including a share repurchase authorization – even though it just went public! Volume increased 122% year-over-year to $89 billion, and Rocket reported GAAP net income of about $3 billion, a 3.4% profit margin. Gain on sale margins were wide at 4.5%.

Speaking of publicly held lenders, remember when loanDepot was going to do an IPO in 2015? A memo was sent out saying LD will give it another shot. A few months ago Bloomberg reported that Anthony Hsieh’s and Parthenon Capital Partner’s loanDepot (retail, wholesale, and correspondent) was contemplating an IPO that would see it valued at between $12 billion and $15 billion, a long way from 2015’s $2.5 billion expected valuation. It recently sold $500 million in senior notes at a 6.5% coupon.

United Wholesale Mortgage is expected to debut via a special purpose acquisition company this quarter at a valuation north of $16 billion. Guild Mortgage went public last month but its private equity firm owners sold less stock than they had planned to sell, and AmeriHome Mortgage and Caliber Home Loans postponed their planned IPOs.

Redwood Trust, which alienated many lenders in March with its retreat from buying jumbo loans, reported a strong quarter driven by mortgage banking and an improvement in asset values. Management noted on the quarterly earnings call that about half the gains in mortgage banking reflected spread tightening. The company also saw rising values in the company’s investment portfolio, and purchased $176 million of jumbo loans versus $155 million in the second quarter. March is a distant memory apparently, as jumbo rate locks spiked to $2.1 billion, which suggests higher volume levels in Q4. The company also originated $261 million of business purpose loans (BPL) and $196 million of SFR loans. The BPL segment contributed a record $52 million of earnings through both valuation gains on loans in inventory and origination income. Early stage delinquencies and forbearances have trended down meaningfully, and the portfolio appears well-positioned in terms of credit.

Capital markets

The U.S. presidential election grabbed most of the headlines last week (and this week) and proved to be the catalyst for a dip in mortgage rates once it became clear the Joe Biden would prevail, but there would be no “blue wave” that would have potentially led to a large new stimulus package to combat the economic effects of the coronavirus pandemic. Economic data released last week showed an economy that continues to improve in some areas and stagnate in others. Residential real estate continues to benefit as shifting preferences for more space boosted residential construction spending in September. Meanwhile, the service sector continues to struggle and increasing coronavirus cases makes it more difficult for close-contact services to see a similar recovery to manufacturing. Additionally, the uncertainty around the pandemic has led to an increase in COVID-related goods spending. Despite the economic headwinds, 638,000 new jobs were added in October and that number is even more impressive as 906,000 private sector jobs were added and a 200,000 decrease in government jobs was due temporary Census workers officially cycling out of employment data.

Bond markets return today to a busy economic schedule. October Consumer Price Index (flat), Core CPI (flat), initial jobless claims for the week ending November 7 (709k, lower than expected, down 48k), and continuing claims for the week ending October 31 (6.8 million). Later this morning, Freddie Mac will release its Primary Mortgage Markets Survey for the week ending November 12, and our Treasury auctions off $27 billion in 30-year bonds, along with a heavy dose of Fedspeak (Chair Powell, Fed Vice Chair Quarles, Chicago Fed President Evans, and New York’s Williams). The MBS purchase schedule sees the Desk purchase up to $5.3 billion across three operations. The Desk will also report on MBS purchases for the week ending November 11 which total $5.8 billion net per day. Thursday starts with Agency MBS prices better by a solid .125 and the 10-year yielding .92 after closing Tuesday at 0.96%.

I recently had this conversation with an older gentleman friend.

Yesterday my son e-mailed me again, asking why I didn’t do something useful with my time. “Like sitting around the pool, drinking beer isn’t a good thing?” I asked. “I served 20 years in the Army; I deserve a break.”

Talking about my “doing something useful” seems to be his favorite topic of conversation. He is “only thinking of me,” he said, and suggested I go down to the clubhouse and hang out with the guys.

I did and when I got home, decided to play a prank on him. I sent him an e-mail saying that I had joined the Senior Parachute Club since I did that in the army.

He replied, “Are you nuts? You’re 86-years-old and now you’re going to start jumping out of airplanes again?”

I told him that I even had a Membership Card and e-mailed a copy to him.

Immediately, he telephoned me and yelled, “Good grief, Dad, where are your glasses?! This is a membership to a Prostitute Club, not a Parachute Club.

“Oh man, am I in trouble,” I said, “I signed up for five jumps a week!”

The line went dead. Life as a Senior Citizen isn’t getting any easier, but sometimes it can be fun.

Visit www.robchrisman.com for more information on our industry partners, access archived commentaries, or to subscribe to the Daily Mortgage News and Commentary. If you’re interested, visit my periodic blog at the STRATMOR Group web site. The current blog is, “Time to Call the Landlord?”.

qoɹ

Nov. 12: MLO, Ops jobs; Marketing, non-QM, jumbo products; company news re: lenders, investors, & originators

Anonymous — Thu, 12 Nov 2020 16:37:18 +0000

Jobs

Lender products & services

Who’s doing what in our business

Capital markets

I recently had this conversation with an older gentleman friend.

I did and when I got home, decided to play a prank on him. I sent him an e-mail saying that I had joined the Senior Parachute Club since I did that in the army.

He replied, “Are you nuts? You’re 86-years-old and now you’re going to start jumping out of airplanes again?”

I told him that I even had a Membership Card and e-mailed a copy to him.

Immediately, he telephoned me and yelled, “Good grief, Dad, where are your glasses?! This is a membership to a Prostitute Club, not a Parachute Club.

“Oh man, am I in trouble,” I said, “I signed up for five jumps a week!”

The line went dead. Life as a Senior Citizen isn’t getting any easier, but sometimes it can be fun.

qoɹ

Winter Will Bring a Flurry of Activity to the Housing Market

Anonymous — Thu, 12 Nov 2020 15:37:35 +0000

In the second half of this year, the housing market surged with activity. Today, real estate experts are looking ahead to the winter season and the forecast is anything but chilly. As Lawrence Yun, Chief Economist for the National Association of Realtors (NAR), notes:

“It will be one of the best winter sales years ever.”

The typical winter slowdown in the housing market is simply not on the radar. Here’s why.

While today’s historically low mortgage rates are expected to remain low, they won’t be this low for much longer. This could be the last chance for homebuyers to secure such low rates, and they’re ready to take action. In a recent article, Bankrate explained:

“If you’re looking to buy a home…expect mortgage rates to remain low into 2021. However, the possibility of rates falling to 2.5 percent or lower has faded as the U.S. economy has rebounded.”

As long as we continue to see low interest rates, we’ll see hopeful buyers on the hunt for their dream homes. Yun confirmed:

“The demand for home buying remains super strong…And we’re still likely to end the year with more homes sold overall in 2020 than in 2019…With persistent low mortgage rates and some degree of a continuing jobs recovery, more contract signings are expected in the near future.”

The challenge, however, is the lack of homes available for sale. With that in mind, all eyes are on homeowners to see if they’ll sell this winter or wait until spring. Danielle Hale, Chief Economist for realtor.com, says it’s best for sellers to capitalize on this moment sooner rather than later:

“We currently see buyers sticking around in the housing market much later than we usually do this fall. If that trend continues, we will see more buyers in the market this winter, too. So, this winter is likely to be a good time to sell.”

With buyers ready to stay active this winter, sellers who want to close a deal on the best possible terms shouldn’t wait until spring to put their homes on the market.

Bottom Line

Experts agree the winter housing market could potentially be bigger than ever. Whether you’re ready to buy or sell, contact a local real estate professional today so you can be in your dream home by the new year.

The post Winter Will Bring a Flurry of Activity to the Housing Market appeared first on Keeping Current Matters.

from Mortgage News https://ift.tt/3pmW5yk
via IFTTT

Winter Will Bring a Flurry of Activity to the Housing Market

Anonymous — Thu, 12 Nov 2020 15:03:03 +0000

“It will be one of the best winter sales years ever.”

The typical winter slowdown in the housing market is simply not on the radar. Here’s why.

“If you’re looking to buy a home…expect mortgage rates to remain low into 2021. However, the possibility of rates falling to 2.5 percent or lower has faded as the U.S. economy has rebounded.”

As long as we continue to see low interest rates, we’ll see hopeful buyers on the hunt for their dream homes. Yun confirmed:

“The demand for home buying remains super strong…And we’re still likely to end the year with more homes sold overall in 2020 than in 2019…With persistent low mortgage rates and some degree of a continuing jobs recovery, more contract signings are expected in the near future.”

“We currently see buyers sticking around in the housing market much later than we usually do this fall. If that trend continues, we will see more buyers in the market this winter, too. So, this winter is likely to be a good time to sell.”

With buyers ready to stay active this winter, sellers who want to close a deal on the best possible terms shouldn’t wait until spring to put their homes on the market.

Bottom Line

The post Winter Will Bring a Flurry of Activity to the Housing Market appeared first on Keeping Current Matters.

Veteran’s Day: Correspondent, MLO jobs; transitions rampant; broker, AMC, marketing products; Freddie & Fannie in the news

Anonymous — Wed, 11 Nov 2020 17:06:14 +0000

The 11^th hour of the 11^th day of the 11^th month… Do the veterans in your life a favor by forwarding them this list of discounts around the nation. Speaking of the military, for those of you who say that you never learn anything from this daily commentary, did you know that George Washington is protected from being outranked by any other military officer, by law, even now. If we ever have a 6th star general, Washington would posthumously be promoted to a 7th star general to maintain the top rank. American Public Law 94-479 posthumously promoted Washington to “General of the Armies of the United States” which scholars say means that Washington might be considered America’s only six-star general, since the army has had five-star generals throughout history. How does this tie into residential lending? It doesn’t, but ever heard of Lincoln Military Housing, which owns 36,000 military family homes across the nation? It is an affiliate of Lincoln Property Company, out of Dallas, which has quite a history.

Employment & transitions

Citibank, N.A. is excited to announce the hiring of Kat Cunningham as the Correspondent Lending Account Executive covering Alaska, Northern California, Pacific Northwest and the Mountain Region. Kat is an industry veteran of over 30 years, possessing an impressive track record of driving territory growth through a client centric, solution-based approach. The addition of Kat is just the latest example of how Citi’s Correspondent Channel is focused on creating a best in class seller experience. With a 2021 implementation roadmap of new products and programs supported by technology designed to make loan delivery simple and efficient, Citi Correspondent is looking to build on the past 18 months of channel expansion. Learn how to be a part of this exciting growth through developing a correspondent relationship with Citi by contacting our National Client Services Team at 800-967-2205 or completing the Prospective Mortgage Correspondent Questionnaire

Hamilton for Heroes: Hamilton Home Loans, a residential mortgage lender headquartered in South Florida, provides home financing assistance to military members, nurses, police officers, firefighters, EMTs and physician assistants through its Hamilton for Heroes program where Active and retired Heroes who are eligible for the program receive a no lender fee offer with savings up to $1,590 on their purchase or refinance transaction. Howard Vernick, SVP National Production, stated, “Hamilton for Heroes helps us give back to the Heroes who make our country and communities safer and healthier places to live. We believe it’s important to make home financing more affordable for these Heroes.” Eligible Heroes also receive dedicated guidance from the Hamilton team throughout the mortgage process. To learn more about Hamilton for Heroes or other products, services and opportunities offered by Hamilton Home Loans, contact Anna Beltran or Ashlee Cragun.

MISMO^® announced that Seth Daniel Appleton is its new president. Appleton currently serves as the Assistant Secretary, Policy Development and Research, for HUD and as the Principal EVP of Ginnie Mae. He will join MISMO on December 1.

Bell Bank has hired Jesse Schwab as executive vice president/chief risk officer, with oversight of all non-credit related risk management for Bell Bank and its divisions. He will implement additional risk management processes and policies, important as Bell approaches the $10 billion asset threshold.

Terry Lindsey, currently Chase’s National Sales Manager, has been named Head of Correspondent Lending for Chase and will have responsibility for the channel including Sales, Operations and Underwriting.

Planet Home Lending, LLC has tapped Michele Kryczkowski as SVP, national fulfillment, responsible for expanding the growth of Planet’s fulfillment unit supporting distributed retail sales channels.

Congratulations to Dave Gottfried, at BondXN. BondXN allows mortgage bankers to more efficiently streamline and auction specified pool lists.

Nashville’s Guaranty Home Mortgage Corp. hired Charles Hoving as its new chief compliance officer.

Interfirst Mortgage announced three key new executive hires. Kendall Berry is its new VP of Wholesale Operations responsible for overseeing Interfirst’s management of its mortgage broker relationships. Nadina Bradescu is the new VP of Retail Operations managing all aspects of retail operations from origination to closing with a focus on strengthening the retail channel loan quality and reducing origination costs to the benefit of customers and investors. And Russ Therrell is the new VP of Underwriting overseeing all aspects of the underwriting process and managing a team of 30+ underwriters.

Lender services and products

In honor of those who have served, AFR Wholesale will donate $100 for each VA loan closed in the month of November to the Children of Fallen Patriots Foundation. The mission of this foundation is to provide college scholarships and educational counseling to military children who have lost a parent in the line of duty. VA loans offer up to 100% financing to qualified veterans, active service members, and surviving spouses. AFR offers a variety of VA loan products, from Renovation and Refinance options, to One-Time Close and financing for Manufactured Housing. VA IRRRLs provide an efficient, fast approval refinance from one VA loan to another to lower monthly payments; no appraisal or credit underwriting package required. Plus, AFR pays the required VA Sponsorship fees for brokers and correspondents on all AFR-related VA Loan submissions! For more information about becoming a partner, go to www.afrwholesale.com, email sales@afrwholesale.com or call 1-800-375-6071.

If populating your marketing and sales automation system with quality content seems like a daunting task, it doesn’t have to be. Seroka’s team of strategists and copywriters specialize in creating content that is customized and branded – definitely not cookie cutter. And because its niche is the mortgage industry, Seroka understands your target audiences and can help you ramp up your content quickly. Check out this video to learn more. For more information about how Seroka can help you develop compelling, quality content for your marketing and sales automation systems, reach out today!

An appraisal is not just an appraisal. There are a wide variety of appraisals available to provide flexibility given the challenges of this year, and some appraisals can even be waived. In addition to traditional, exterior-only and desktop appraisals, there’s a veritable alphabet soup of flexible offerings available, ranging from AVM (Automated Valuation Model) to BPO (Broker Price Opinion) to MACR (Marketing Analysis & Condition Report). To find out more, visit Triserv or contact Triserv Appraisal Management Solutions: learnmore@triservllc.com. Triserv is a 50-state AMC that has client-specific, dedicated teams on both coasts offering high-touch, personalized service.

Lower rates (plus lower payments) for the win! Becoming or joining an independent mortgage broker lets you offer borrowers the lowest rates possible. With multiple lenders at your disposal competing to get your business, you can bring your customers ultra-low rates in the 2s. Plus, lower interest rates mean smaller payments, making homeownership more affordable for your customers. They won’t forget it, and they’ll tell their friends, too. To learn more about what wholesale lending can do for you and your clients, visit BeAMortgageBroker.com/Contact.

Whether someone is starting a family, growing a family, or looking for some extra space; these milestones require jumbo loans! At Stearns Wholesale Lending, the Gold Select 80 Jumbo Loans can cover these special life moments. These loan amounts go up to $1.5 million for experienced homeowners and require 80% LTV, 720+ credit scores, and DTI which includes 40% for wage earners and 35% for self-employed borrowers. As is the case with all of Stearns jumbo programs, borrowers will experience timely decisions and a streamlined process when they apply. If you want to learn more about the benefits of these jumbo programs, or partner with Stearns, click here to be contacted.

Freddie and Fannie’s Ripples Around Our Biz

Fanns of Fannie (like that one?) learned yesterday that, effective March 1, 2021, “only the new IRS Form 4506-C will be accepted through the Income Verification Express Service (IVES) to provide tax transcripts to third parties. This means mortgage lenders will need to have borrowers sign Form 4506-C to give permission for obtaining their tax transcripts.” Stay tuned for Fannie’s December Selling Guide for more news.

And “Fannie Mae has performed the required assessments for the Classic FICO credit score model, and Fannie Mae and the Federal Housing Finance Agency have approved it for continued use. This is an incremental step while Fannie Mae continues to assess additional credit score model applications.”

Fannie Mae updated Automatic Reclassification of Delinquent MBS Mortgage Loans with Lender Letter (LL-2020-13) to provide process requirement details for servicers related to the 24 month delinquent MBS loan reclassification that will be effective January 2021.

Don’t forget that in late September the Financial Stability Oversight Council, which is chaired by Treasury Secretary Steven Mnuchin, voted unanimously to endorse Calabria’s plan to recapitalize and release the GSEs by executive action – with the caveat that even more capital may be required than the FHFA has called for.

Ed DeMarco, who ran the FHFA until 2014 – six years ago, had some thoughts on the Financial Stability Oversight Council’s comments on the Federal Housing Finance Agency’s proposed capital rule. “The Financial Stability Oversight Council’s recent comments on the Federal Housing Finance Agency’s proposed capital rule for Fannie Mae and Freddie Mac reinforced aspects of the proposed rule but left market participants uncertain about key issues.

“For instance, FSOC’s endorsement of FHFA’s use of bank-like regulatory capital definitions and structure suggests that this approach will be retained in the final rule. FSOC also observed that the capital ‘buffers’ in the proposed risk-based framework should be risk-based, as they are in the bank framework (a point made by many market participants).

“However, elements of FSOC’s statement raise questions for market participants trying to anticipate a post-conservatorship secondary mortgage market, should the incoming Biden Administration’s FHFA go through with the GSEs’ exit from governmental control. Three stand out.

“First, market participants are concerned with FHFA’s and FSOC’s intentions with credit risk transfer, a critical housing finance reform made in conservatorship. By selling credit risk to investors, CRT diversifies the sources of private capital and broadens the universe of investors that absorb credit losses. CRT investors monitor and assess mortgage credit risk so the financial system is not solely reliant upon the risk management judgments of the GSEs. Further, CRT permits pricing transparency previously absent in the GSE market… CRT can reduce both systemic risk and the amount of common equity to be raised while expanding the investor base focused on mortgage credit risk. It should also lower the GSEs’ overall cost of capital, thereby lowering mortgage rates for homebuyers.” (More on this in my usual Saturday commentary.)

“Second, FSOC’s statements on the leverage requirement sent mixed signals. Consistent with current bank capital policy, FSOC poses that the leverage requirement should be a “credible backstop” to the risk-based requirements. Yet FSOC also noted that the final leverage and risk-based requirements should not be ‘materially less than those contemplated by the proposed rule.’

“The conflict arises because leverage is the binding, not backstop, capital requirement in FHFA’s proposal. Such a result creates adverse incentives for risk-taking. Solutions could include aligning the leverage capital buffer – an add-on component of the requirement – more with the bank framework or allowing CRT to count toward the buffer.

“Finally, FSOC notes that the risk-based capital charge for mortgage credit risk in the FHFA proposal is lower than banks face, creating an advantage for the GSEs that ‘could maintain significant concentration of risk with the Enterprises.’ This leads FSOC to ‘encourage FHFA and other regulatory agencies to coordinate and take other appropriate action…’

“Should market participants conclude that FHFA, across two very different Directors and after extensive modeling of mortgage credit risk, is under-estimating mortgage credit risk? Or are the current bank risk-based capital requirements excessive? Does this portend an increase in the GSEs’ risk-based requirements relative to the proposal?

“The Treasury’s 2019 report on housing finance reform stressed that “similar credit risks generally should have similar credit risk capital charges across market participants.” The Housing Policy Council agrees and believes that bank regulators and FHFA should seek parity in the treatment of mortgage credit risk.”

And Dave Stevens of Mountain Lake Consulting has some pertinent, comprehensive thoughts on the election’s impact on GSE reform, as well as why the GSE adverse market fee, already priced into rate sheets around the nation, is unwarranted.

Meanwhile, lenders and investors make Agency changes in the primary markets.

loanDepot’s Weekly Announcement MGIC COVID-19 update and FHA COVID-19 guidance updates.

U.S. Bank issued SEL-2020-078: Government Extension of Temporary Flexibilities Related to COVID-19.

Effective October 30 Flagstar Bank reinstated some products that were temporarily suspended earlier this year. View Memo 20109 for product details.

Plaza’s new Agency Express streamlined submission option offers brokers best-in-class initial turn times on eligible Fannie Mae® and Freddie Mac programs, and allows for closing in as little as 10-15 days.

PRMG posted numerous updates in its Resource Center. Topics include Eastern Region Underwriter Team Assignments, Lender Certification Form, VA Cash Out Refinance and IRRRL Worksheet, and Disaster Notices. QC updates include the addition of Multiple Loans for Same Borrower Questionnaire, Minimum Items Required Addenda for Multiple Loans for Same Borrower, Multiple Loans for the Same Borrower Information Sheet, Doc Order Forms (Wholesale), and Corona California Fulfillment Center Doc Order Form.

Capital markets

U.S. Treasuries didn’t muster any rebound yesterday following Monday’s large selloff. Money continued to pour into the stock market, helping to push MBS prices lower, tightening versus Treasury yields that moved marginally higher on the day. Market movement this week has revolved around expectations for improved economic activity in 2021 driven by the arrival of approved COVID vaccines/treatments, though I would caution you that the recent surge in coronavirus cases, continued lack of fiscal stimulus, and the uncertainty surrounding the transition of power to President-elect Biden are all reasons for Treasury yields to rally and rates drop going forward. In terms of economic releases yesterday, the October NFIB Small Business Optimism Index was unchanged from September, while September JOLTS – Job Openings were roughly unchanged as well.

The bond market is closed today, so question any rate sheets produced. We did learn, however, that mortgage applications decreased 0.

Veteran’s Day: Correspondent, MLO jobs; transitions rampant; broker, AMC, marketing products; Freddie & Fannie in the news

Anonymous — Wed, 11 Nov 2020 16:39:49 +0000

Employment & transitions

Congratulations to Dave Gottfried, at BondXN. BondXN allows mortgage bankers to more efficiently streamline and auction specified pool lists.

Nashville’s Guaranty Home Mortgage Corp. hired Charles Hoving as its new chief compliance officer.

Lender services and products

Freddie and Fannie’s Ripples Around Our Biz

Meanwhile, lenders and investors make Agency changes in the primary markets.

loanDepot’s Weekly Announcement MGIC COVID-19 update and FHA COVID-19 guidance updates.

U.S. Bank issued SEL-2020-078: Government Extension of Temporary Flexibilities Related to COVID-19.

Effective October 30 Flagstar Bank reinstated some products that were temporarily suspended earlier this year. View Memo 20109 for product details.

Capital markets

The bond market is closed today, so question any rate sheets produced. We did learn, however, that mortgage applications decreased 0.

VA Home Loans: Helping Heroes Find a Home

Anonymous — Wed, 11 Nov 2020 15:03:56 +0000

Today, on Veterans Day, we honor those who have served our country and thank them for their continued dedication to our nation. In the United States, there are many valuable benefits available to Veterans, including VA home loans. For over 75 years, VA home loans have provided millions of Veterans and their families the opportunity to purchase their own homes.

As we consider the full impact of VA home loans, it’s important to both understand these great options for Veterans and to share them with those we know who may be able to benefit most. For a variety of different reasons, many Veterans don’t use their VA home loan options, so being knowledgeable about what’s available and how they work may be a game-changer for many.

Facts about 2019 VA Home Loans (most current data):

624,546 home loans were guaranteed by the Veterans Administration.
306,879 VA home loans were made without a down payment.
2,055 grants totaling $118 million were provided to help seriously disabled Veterans purchase, modify, or construct a home to meet their needs.

VA Home Loans Often Offer:

No down payment options as long as the sales price isn’t higher than the home’s appraised value.
Better terms and interest rates than loans from other lenders.
Fewer closing costs, which may be paid by the seller.

Bottom Line

The best thing you can do today to celebrate Veterans Day is to share this information with those who can potentially benefit from these loan options. For more information, contact a local real estate professional who can assist you in the process. Thank you for your service.

The post VA Home Loans: Helping Heroes Find a Home appeared first on Keeping Current Matters.

VA Home Loans: Helping Heroes Find a Home

Anonymous — Wed, 11 Nov 2020 14:37:37 +0000

Facts about 2019 VA Home Loans (most current data):

624,546 home loans were guaranteed by the Veterans Administration.
306,879 VA home loans were made without a down payment.
2,055 grants totaling $118 million were provided to help seriously disabled Veterans purchase, modify, or construct a home to meet their needs.

VA Home Loans Often Offer:

No down payment options as long as the sales price isn’t higher than the home’s appraised value.
Better terms and interest rates than loans from other lenders.
Fewer closing costs, which may be paid by the seller.

Bottom Line

The post VA Home Loans: Helping Heroes Find a Home appeared first on Keeping Current Matters.

from Mortgage News https://ift.tt/3kkne18
via IFTTT

Nov. 10: Sales mgt., MLO jobs; digital, marketing, correspondent, ROI tools; disaster updates; collateral valuation trends

Anonymous — Tue, 10 Nov 2020 18:06:09 +0000

The headlines continue to blare and attract attention. HUD Secretary Ben Carson tested positive for coronavirus? True. Some foreign leaders not congratulating Joe Biden? Correct. President Trump fired the Secretary of Defense Mark Esper? Yup. In the builder and demographic world, replacing the term “Baby Boomer” with “Baby Chaser” is attracting attention. Labeling generations has not stopped, unfortunately, and now Boomers (the 73 million in the U.S. born between 1946 and 1964) seem to be following their Millennial kids (1981-1996) to new places so they’ll be near their grandkids. And builders are catering to them. Do Boomers think that they’re that indispensable? Lastly, don’t forget that tomorrow is Veteran’s Day (which is different than Memorial Day) and the bond markets are closed.

Employment

Norcom Mortgage is seeking a New York Area Manager. The east-coast based lender who continues to break sales records is expanding their retail sales footprint throughout the Empire State. For more information, please send inquiries/resumes to Chrisman LLC’s Anjelica Nixt.

“When we say #TeamPrimeLending is full of superstars, we mean it, and our 17,000+ 5-star Zillow Reviews, 96% customer satisfaction rating and 4.8 overall national star rating through October is proof. Through unprecedented volume in 2020, our loan officers and operations staff have worked relentlessly to deliver service beyond expectations to all of our borrowers and business partners, and our customers have been sharing their positive experiences like never before. We’ve actually seen a YoY increase of 351.45% in reviews received from October 2019 through October 2020. It’s been an outstanding display of agility, consistency, and excellent service at every phase of the mortgage process. If you’re a branch manager, loan officer or in operations and you want to be a part of our star-studded team, contact Nic Hartke today.”

Broker & lender products & services

The mortgage industry continues to grow as a true community of professionals, which is incredibly valuable, especially for loan officers that are new to the wholesale space and choosing lending partners. Take it from Thomas Mancuso of NEXA Mortgage, who recently mentioned Home Point Financial as a favorite in that area, saying: “One big thing I notice in the broker community is who helps give back to brokers, not just calling them for deals, but actually participates in the community. Home Point was brought up several times, so that made me eager to find out what it was all about.” If you’re a mortgage broker or correspondent that still needs to sign up with Home Point, visit its website.

This holiday season, TMS is putting the CARE in CAREspondent Lending. For every new lender that partners with TMS before the end of the year, TMS will donate $500 to Family Reach, a national non-profit dedicated to alleviating the financial burden of cancer. Sign up here to get started.

How many homeowners do you think are thankful for their loan officer this year? Probably a lot. During uncertain economic times, you’ve helped your clients maximize their wealth by making informed home finance decisions. In fact, in the last three months, more than 20,000 homeowners have reached out to their LO about refi options through Homebot alone. How are you staying in touch with your clients as we move into 2021?

As we close out a record-breaking year, the opportunity to develop lifetime relationships with your customers has never been greater. Join Total Expert’s webinar on Nov. 18 at 1PM CT with guests from Cornerstone Advisors as they share expert tips to engage customers beyond the close. They’ll share insight from the latest research and equip you with everything you need to know deliver the optimal borrower experience. RSVP here or sign up to receive the recording. Walk away with new strategies to master borrower touchpoints and set the stage for a successful 2021.

SimpleNexus has used the results of a third-party study conducted by independent advisory firm MarketWise Advisors to develop an ROI calculator that quantifies lenders’ expected return on investment in the SimpleNexus digital mortgage platform. According to the study, on average SimpleNexus customers enjoy improved application conversion rates (13.61%), increased inbound leads/referrals (12.85%), additional loans closed per year (6.32/LO) and noteworthy operational savings ($258.36/loan). But since no two organizations are the same, SimpleNexus invites you to take a run at the calculator yourself. If you want to see firsthand how SimpleNexus can turbocharge your business goals, save the date for the company’s third annual user conference.SNUG21 takes place wherever you are February 22-24.

Back in March, a free one-pager from Top of Mind explaining why mortgage rates aren’t zero even if fed rates were, was downloaded hundreds of times. And it makes sense. Mortgage lenders are strapped for time and need resources on hand that explain borrowers’ most relevant (and repetitive) questions. Well, in the spirit of giving back, this month Top of Mind wants to take you on a content tour throughout the entire month of November. Sign up and get a free sampler of its most popular content delivered to your inbox once a week for the next four weeks.

End of year HomeBinder offer! HomeBinder’s Alec Ahee has a special offer for you in his latest video Wood Stove Sessions with Alec. This promotion ensures that you retain that heavy influx of clients this year, setting your business up for success for years to come. See the video and get the offer from HomeBinder. (Offer ends November 30th)

“Giving is the highest form of living,” writes in FormFree Founder and CEO Brent Chandler. Kudos to FormFree on the success of its recent #HeroesGolfClassic charity golf tournament. Because of generous donations from individuals and corporate sponsors, FormFree was able to raise nearly $30,000 for the American Red Cross to fund critical disaster relief efforts and support local veterans. Speaking of Brent Chandler, you can catch him on air today at #NEXTDC20, the virtual housing policy summit for executives. Hear his 5-minute take on the essentials executives need to know about the future of digital mortgage at 9:45 am ET this morning. Registration is free, so sign up now.

Disasters

The United States of America has its share wildfires, hurricanes, acts of terrorism, earthquakes, and floods. Lenders and investors keep an eye on the FEMA announcements which determine policies and procedures for analyzing collateral and local economic conditions. Few companies want to lend money on an unhabitable house.

Flagstar is allowing loan closings and funding to resume for some California properties affected by the California Wildfires once a satisfactory re-inspection has been obtained.

PennyMac Correspondent Group posted 20-73: Government Loan Seasoning and Disasters.

Collateral changes

The appraisal industry has adapted to the COVID precautions. Full communication with the owner or occupant of the property, gloves, masks, all doors unlocked/open, and other procedures are accomplished. The Agencies have published guidance (here is Freddie’s). Meanwhile, investors and lenders continue to change the states that they will lend in, and what types of properties they will accept.

It’s a myth that comparable sales used in an appraisal report must be within one mile of the subject property. See how the myth has been vanquished by the Noble Appraiser, who is spreading the word that the best comparables are chosen using facts and data. Watch Fannie Mae’s One-Mile Myth video.

Making condo loans? Learn about Fannie Mae’s project insurance requirements through a video series. It uses hypothetical scenarios to highlight our requirements for property, fidelity/crime, flood, and project liability insurance. Also, get answers to frequently asked questions in our project insurance requirements FAQs.

AD Mortgage will no longer accept manufactured homes for submission for all products starting 10/12/2020.

The Plaza Home Mortgage® Reverse Jumbo program has expanded again and is now available in Washington state. The program allows senior borrowers in higher value homes to tap into up to $4M of their home’s equity, with no MI! Reverse Jumbo is now available in these 16 states: AZ, CA, CO, CT, FL, GA, HI, IL, NJ, NM, NV, OR, PA, TX, UT, and WA.

Mountain West Financial posted, effective immediately, single wide manufactured homes have been removed as an eligible property type for HomeReady and Home Possible programs.

AmeriHome Correspondent provided updates to temporary measures addressing the impacts of COVID-19. Notably, in ML 2020-37 FHA made changes to FHA’s Appraisal Protocols including the discontinuing the use of Desktop-Only Appraisal inspection scope of work option. Also, the extension of re-verification of employment guidance to include cases closed on or before December 31, 2020. Following suit, VA’s temporary exceptions pertaining to appraisals, repair inspections and income verifications have been extended until 12/31/2020.

Mountain West Financial Wholesale issued Bulletin 20W-130 informing clients that FHA is eliminating the option for an Exterior Only or a Desk Only appraisal. FHA appraisals ordered on or after 11/1/2020 will require a full interior and exterior appraisal. View the MWF Website to review this and other Bulletins.

United Farm Mortgage provides a variety of agricultural loans including Farm and Hobby Farm Loans. Check out its Website to discover all the options available.

Land Home Financial posted a bulletin to announce that HUD has extended the re-verification of employment guidance in ML 2020-05; and, an updated Appraisal scope of work inspection option providing for Exterior-Only Appraisal, which limits face-to-face contact for certain transactions affected by COVID-19. Updates in the announcement are temporary and will not be incorporated into the Single-Family Housing Policy Handbook 4000.1

Franklin American reversed the policy announced in National Correspondent Bulletin 2020-22. Bulletin 2020-22, in response to regulation 3NYCRR 419.12. Effective immediately, FAMC will purchase loans in the state of New York at a reduced principal balance when payments are scheduled to be collected by the Lender. The reversal of this policy does create a new requirement, however, on any loan that is purchased at a reduced balance. In those instances, a current pay history will be required to be delivered to the Agency Delivery department via email once the borrower’s first payment has been received and posted.

Today, Tuesday, November 10^th, Arch MI will release its quarterly Housing and Mortgage Market Review (HaMMR) report diving into new housing data and COVID-19’s impact on the overall industry.

Capital markets

Recent economic data continues to support ongoing but moderating real GDP growth in the fourth quarter, as shown by last week’s reports. Nonfarm payrolls were higher than expected and the unemployment rate dipped to 6.88 percent for October, a level last seen in November 2013. Total employment remains 7 percent below its peak this past February. Officially there are roughly 11 million people counted as unemployed, however data from the most recent jobless claim report shows 21.5 million individuals were collecting some form of unemployment benefit for the week ending October 17. The ISM Services Index fell while the ISM Manufacturing Index rose in October, potentially due to the continued shift in consumer spending from services to goods. Private residential construction increased 2.8 in September, reflecting the strong housing market. Mortgage refinance apps rose while purchase apps fell during the final week in October. While mortgage rates remain low and there are still many people that may benefit from refinancing, limited housing supply may be holding back purchase applications. The Federal Reserve indicated it continues to watch the trajectory of the coronavirus pandemic and made no policy changes at its last meeting.

Although drugs have many more hurdles to go over, yesterday’s big news was Pfizer and BioNTech announcing that their prospective coronavirus vaccine was successful in Phase 3 trials, which drove a massive risk-on trade to start the week. Though experts warn that this particular vaccine still has many hurdles yet to clear, U.S. Treasuries were sold across the board yesterday, driving prices down and yields up as some of the coronavirus/growth risk premium was taken out of the market and investors weighed the likelihood of a “return to normalcy” sometime next year.

The start of the record-sized $122 billion Quarterly Refunding stumbled out of the starting blocks with a mediocre $41 billion 3-year note auction. The day saw increased supply, focused in 2.0% MBS being used to hedge pipelines. The MBS basis ended tighter, led by 2.5%, as treasuries sold off sharply with the yield on the 10-year closing at its highest since March. It was up 10 bps on the day while the 30-year was up 15 bps.

There is plenty of contention, but Joe Biden being declared the winner over the weekend in the U.S. presidential election. This aided the selloff, with investors viewing his inauguration as the start of potentially better global trade. Biden may usher in a wave of policy rollbacks and reversals, though, if Congress remains divided, few changes in tax or regulatory policies are expected in the coming years. Mortgage bankers generally prefer gridlock in Washington since it means certainty. Namely, interest rates should remain lower for longer with the continuation of the Fed’s MBS purchases and fading hopes for a big stimulus package.

Late yesterday, the MBA’s latest Forbearance and Call Volume Survey revealed that the total number of loans now in forbearance decreased by 16 bps to 5.67% of servicer’s portfolio volume as of November 1. Today’s calendar is light on economic releases but makes up for it with large supply and multiple Fed appearances. We only have two second-tier economic releases: NFIB Business Optimism Index for October and the September Job Openings and Labor Turnover Survey. The Treasury will conduct the second leg of its Quarterly Refunding when it auctions a record $41 billion 10-year notes. Dallas Fed President Kaplan, Boston President Rosengren, Vice Chair for Supervision Quarles, and Governor Brainard are all set to speak. The NY Fed will buy up to $5.3 billion over three operations today: $975 million UMBS15 1.5% and 2.5%, $2.9 billion UMBS30 1.5% and 2.0%, and $1.5 billion GNII 2.0% and 2.5%. We begin the day with Agency MBS prices unchanged and the 10-year yielding .95 after closing yesterday at 0.96%.

This Thanksgiving air travel will be a fraction of what it normally is. But that doesn’t mean you shouldn’t be safe. Do yourself and family a favor and watch this FACTUAL airline safety message. Nope, no joke.

qoɹ

(Market data provided in partnership with MBS Live. For free job postings and to view candidate resumes visit LenderNews. This newsletter is designed for sophisticated mortgage professionals only. There are no paid endorsements by me. For up-to-date mortgage news visit Mortgage News Daily. For archived commentaries, or to subscribe, go to www.robchrisman.com. Copyright 2020 Chrisman LLC. All rights reserved. Occasional paid job & product listings do appear. This report or any portion hereof may not be reprinted, sold, or redistributed without the written consent of Rob Chrisman.)

Nov. 10: Sales mgt., MLO jobs; digital, marketing, correspondent, ROI tools; disaster updates; collateral valuation trends

Anonymous — Tue, 10 Nov 2020 17:39:13 +0000

Employment

Broker & lender products & services

Disasters

Flagstar is allowing loan closings and funding to resume for some California properties affected by the California Wildfires once a satisfactory re-inspection has been obtained.

PennyMac Correspondent Group posted 20-73: Government Loan Seasoning and Disasters.

Collateral changes

AD Mortgage will no longer accept manufactured homes for submission for all products starting 10/12/2020.

Mountain West Financial posted, effective immediately, single wide manufactured homes have been removed as an eligible property type for HomeReady and Home Possible programs.

United Farm Mortgage provides a variety of agricultural loans including Farm and Hobby Farm Loans. Check out its Website to discover all the options available.

Today, Tuesday, November 10^th, Arch MI will release its quarterly Housing and Mortgage Market Review (HaMMR) report diving into new housing data and COVID-19’s impact on the overall industry.

Capital markets

qoɹ

from Mortgage News https://ift.tt/2IfanjT
via IFTTT

Homeownership Is a Key to Building Wealth

Anonymous — Tue, 10 Nov 2020 16:06:45 +0000

For years, real estate has been considered the best investment you can make. A major reason for this is due to the net worth a household gains through homeownership. In fact, according to the 2019 Survey of Consumer Finance Data from the Federal Reserve, for the average homeowner:

“…a primary home accounts for 90% of the total wealth of a family in the U.S.”

How do homeowners gain wealth?

Most large purchases, like cars and appliances, depreciate in value as they age, so it’s understandable to question how owning a home can increase wealth over time. In a simple equation, the National Association of Realtors (NAR) explains how the combination of paying your mortgage and home price appreciation grow overall wealth:

Principal Payments + Price Appreciation Gains = Housing Wealth Gain

As home values increase and you make payments toward your home loan, you’ll gain wealth through equity. The same article from NAR also addresses how wealth gains tend to play out over time:

“Housing wealth accumulation takes time and is built up by paying off the mortgage debt and by price appreciation. And while home prices can fall, home prices tend to recover and go up over the longer term. As of September 2020, the median sales price of existing home sales was $311,800, a 35% gain since July 2006 when prices peaked at $230,000.”

Taking a look at how equity has grown for the typical homeowner, it’s clear to see how real estate is a sound long-term investment. NAR notes:

“Nationally, a person who purchased a typical home 30 years ago would have typically gained about $283,000 as of the second quarter of 2020.” (See graph below):

Bottom Line

Whether you’re a current homeowner planning to put your equity toward a new home or have hopes of buying your first home soon, homeownership will always be a great opportunity to build your net worth and overall wealth. Owning a home is truly an investment in your financial future.

The post Homeownership Is a Key to Building Wealth appeared first on Keeping Current Matters.

Homeownership Is a Key to Building Wealth

Anonymous — Tue, 10 Nov 2020 15:39:44 +0000

“…a primary home accounts for 90% of the total wealth of a family in the U.S.”

How do homeowners gain wealth?

Principal Payments + Price Appreciation Gains = Housing Wealth Gain

As home values increase and you make payments toward your home loan, you’ll gain wealth through equity. The same article from NAR also addresses how wealth gains tend to play out over time:

“Housing wealth accumulation takes time and is built up by paying off the mortgage debt and by price appreciation. And while home prices can fall, home prices tend to recover and go up over the longer term. As of September 2020, the median sales price of existing home sales was $311,800, a 35% gain since July 2006 when prices peaked at $230,000.”

Taking a look at how equity has grown for the typical homeowner, it’s clear to see how real estate is a sound long-term investment. NAR notes:

“Nationally, a person who purchased a typical home 30 years ago would have typically gained about $283,000 as of the second quarter of 2020.” (See graph below):

Bottom Line

The post Homeownership Is a Key to Building Wealth appeared first on Keeping Current Matters.

from Mortgage News https://ift.tt/3eKZh1R
via IFTTT

Mortgage Refinancing and Automation: More Important than Ever Before

Anonymous — Tue, 10 Nov 2020 07:05:44 +0000

We are in the midst of an extraordinary year that has seen a surprising turn in the mortgage industry. The fact that the COVID-19 pandemic has had unprecedented economic impacts doesn’t need to be overstated. In the case of mortgage refinancing especially, record low rates have led to extraordinarily high rates of refinancing. Black Knight […]

Mortgage Refinancing and Automation: More Important than Ever Before

Anonymous — Tue, 10 Nov 2020 06:38:48 +0000

Former President & CEO Sentenced for Orchestrating the Straw Purchase of a Foreclosed Property

Anonymous — Tue, 10 Nov 2020 02:37:30 +0000

Mary Beyer Halsey, 59, Rising Sun, Maryland, the former President and Chief Executive Officer of Cecil Bank, was sentenced today for charges of conspiracy to commit bank fraud, receipt of a bribe by a bank official, and false statement in bank records, in connection with the straw purchase of a home in Rising Sun, Maryland, […]

from Mortgage News https://ift.tt/32u3PEW
via IFTTT

Former President & CEO Sentenced for Orchestrating the Straw Purchase of a Foreclosed Property

Anonymous — Tue, 10 Nov 2020 02:04:04 +0000

Former Cecil Bank President Sentenced for Bank Fraud

Anonymous — Tue, 10 Nov 2020 00:03:57 +0000

Mary Beyer Halsey, 59, Rising Sun, Maryland was sentenced to two years in federal prison, followed by five years of supervised release. Halsey previously plead guilty to federal charges of conspiracy to commit bank fraud, receipt of a bribe by a bank official, and false statement in bank records, in connection with the straw purchase […]

Former Cecil Bank President Sentenced for Bank Fraud

Anonymous — Mon, 09 Nov 2020 23:37:46 +0000

Nov. 9: MLO, Correspondent, Ops jobs; recruiting, non-QM, sales, servicing tools; credit & income shifts; vaccine news pushing rates

Anonymous — Mon, 09 Nov 2020 18:04:26 +0000

First Sean Connery, and now Alex Trebek! Their time together on Jeopardy is legendary. (“Please refrain from using ethnic slurs!”) The last time I checked, “ethnic” is not a bad word, and in fact is often celebrated. How many of you are checking out Hispanic, Black, or Asian American clubs at local colleges and universities for potential mortgage industry employees? Diversity aside, there are pros and cons in hiring “rookie talent,” but given that rates should stay relatively low for a while and residential volume is expected to continue well into 2021, lenders and vendors have a very good shot at adding staff at reasonable price points while increasing diversity (including age diversity given that it seems the age of the average LO is 77) during a time when retention or signing bonuses can be beyond the reach of some companies. Meanwhile, in the capital markets, stocks and bonds are being driven by potentially good vaccine news. If someone wins in vaccine news, we all win, right? And learn the name Gary Gensler.

Employment & transitions

“The military community is important to Caliber Home Loans. We’re forever grateful and committed to serving these heroes. Caliber is dedicated to helping veterans and active duty military realize their dreams of owning a home where they can raise their families. We’ve helped many service members achieve that dream through our VA program offerings. In addition, we created Operation 1 Million, a program providing much needed education about VA Home Loan benefits. The Caliber Military Veteran Resource Group keeps us connected to the military by identifying business opportunities to deepen our relationship with this community. And we support hiring service members transitioning from the military into the civilian workforce. If you’re looking for a place to work that supports and hires veterans, Caliber has open positions in Operations and Sales. Visit our website today to view open opportunities. To be immediately considered for Operations or Sales positions, email Jonathan Stanley or Brian Miller, respectively.”

Gateway First Bank, a regional bank with nationwide mortgage originations, recently celebrated 20^thyears. Founded in 2000 as Gateway Mortgage Group, LLC, Gateway has grown considerably over the years and continues to achieve record results. In 2019, the mortgage company merged with a 100-year old community bank to become Gateway First Bank. Over the past 20 years, Gateway has grown from one employee to over 1,450 team members in more than 150 locations across the country. Gateway has become a $1.5 billion asset bank and is on track to originate over $10 billion in mortgage loans this year. Through all the growth and transition, the Gateway team has remained committed to its primary mission of strengthening families and communities. By putting people first, Gateway’s culture is strong and will be the driving force behind future success. To learn more about Gateway’s 20-year tradition of mortgage and banking success, visit www.GatewayFirst.com.

“Mr. Cooper continues to make material investments into our B2B Channels (Correspondent & Co-Issue!). October was another record month thanks to our amazing, dedicated clients! True to our partnership, we continuously work to expand our comprehensive offerings allowing clients options based on their business model. Recent enhancements include the expansion of our Mandatory program with Single Loan Mandatory Commitments, launch of the Ellie Mae platform to enable growth of our Non-Delegated business, and credit box expansion to include VA IRRRLs and FICO enhancements. In addition, to complement our Fannie Mae SMP & Ginnie Mae PIIT offering, we recently relaunched into the Freddie Max Xchange Program. Please reach out to your Regional Sales team to learn more. Our team is growing strong! If you’d like to be part of the Cooper family, contact Pamela Peak. Mr. Cooper is a Top Correspondent Lender & proud to be certified as a Great Place to Work.”

Mann Mortgage, in picturesque Western Montana, was named #12 on Outside magazine’s Best Places to Work in 2020. “We’re thrilled that we, a mortgage company, are included among this group of exceptionally innovative companies,” said Cassidy O’Sullivan, business development executive for Mann. “These organizations are defining what great corporate culture looks like in this country, and we are honored to be included with them.” Mann was recognized for encouraging a healthy work-life balance, promoting an active lifestyle, and creating a fun and supportive work environment. “We want Mann to be a positive place where people are excited to come to work and have a voice in the company,” said Cassidy. Come work for one of the Best Places to Work! Mann has openings for branch managers, loan officers, underwriters, mortgage loan processors, marketing, and operations careers across the country. Apply today at www.mannmortgage.com/careers/ or send a confidential inquiry to Cassidy O’Sullivan.

National mortgage lender Waterstone Mortgage Corporation has named Jeff McGuiness as the company’s new President & CEO effective November 16, 2020. McGuiness has more than 30 years of experience in the mortgage lending industry, including executive and C-level roles in retail, consumer direct, and correspondent. He most recently served as the Chief Sales Officer for Embrace Home Loans. In his new role with Waterstone Mortgage, McGuiness will be responsible for all aspects of the company’s business and corporate functions. He will work closely with the rest of the executive management team to continue to enhance the organization’s cutting-edge technology resources, operational excellence, and unparalleled customer experience.

Broker & lender services and products

How do top lenders gain a competitive edge even in today’s high-volume times? On the latest episode of the Clear to Close podcast, the crew sits down with Maxwell’s CEO and Co-Founder John Paasonen to discover why finding your core competencies is critical to your long-term success, perhaps now more than ever. In chaotic times like this, it’s tempting to focus purely on the day-to-day. And that’s exactly why the best lending teams are refocusing their businesses, aligning their resources, and doubling down on their strengths. Learn how massively successful companies like Netflix and Disney use a laser focus on core competencies to bulletproof their businesses—and how you can apply this powerful mentality to your lending business. Listen to the Clear to Close podcast’s latest episode on Apple Podcasts, Spotify, Google Podcasts, or your browser!

“What’s your servicing strategy: Retain or Release? Either way, PHH Mortgage can help. We’re among the fastest growing buyers on both Fannie Mae’s SMP Co-Issue and Freddie’s CRX Co-Issue platforms. Our Q3 co-issue volume is up nearly 50% from last quarter and with no minimums, PHH is welcoming all new Sellers. Send PHH an invite in the SMP platform and your team can be committing MSRs within 48-72 hours. Want to retain servicing? PHH offers subservicing with all-inclusive pricing, a new mobile app, a Recapture option, and can onboard new clients in 90-120 days. Release…Retain…Recapture: We’ve got you covered. Contact Chris Sabbe to find out how PHH can help.”

BETTER Direct Mail Marketing for Mortgage Lenders from Monster Lead Group: How is JFQ Lending scaling to $4.2 Billion this year? With better direct mail marketing from Monster Lead Group. “Somebody can charge me half as much as you guys do, but I can’t get beyond the level of your results. For me, service means a hell of a lot and the results speak for themselves.” (John Kresevic, President of JFQ Lending.) Get started driving consistent phone calls and predictable ROI from your direct mail, like JFQ Lending, by visiting monsterleadgroup.com/jfqlending.

2020 was the year of distraction and many are looking forward to putting it in the rearview mirror. As we begin to prepare to transition into a new year there are many unknowns still in our business and personal lives and change is inevitable. It comes with no doubt that those who will be most successful will have prepared with great focus, patience, and a willingness to adapt. Model Match helps forward-thinking lenders increase their market share by putting people first and elevating their talent acquisition efforts. Connect with our team and position yourself for tomorrow.

MORTGAGE ELEPHANT IN THE ROOM… are your current customers STILL leaving to the competition? Ok, lender executive – this is for you: What’s the fastest and most predictable way to increase your sales BEYOND the current market? If you said BORROWER RETENTION, you are 100% correct. Your solution: Sales Boomerang notifies mortgage lenders the moment someone in their database is ready for a loan. If you’re like the average lender, you only retain 20% or less of your borrowers. Our clients retain more than 65% of their borrowers. The longer you delay, the larger that loss becomes on your bottom line. We want to be your retention hero and win back the loans that you’re losing. “I have LO’s that only work Sales Boomerang leads, and my ROI is in the 20-30X Range.” (John Kresevic, CEO, JFQ) We’ll show you how much loan volume you lost this year.

Join National Mortgage Professional Magazine for “Where Every Scenario is Approvable – DealDesk Focus on ACC’s Non-QM Suite” on Wednesday, November 11^th, at 1 pm ET / 10 am PT. ACC Mortgage, the nation’s oldest Non-QM lender, will present a special DealDesk webinar focused on ACC’s extensive offering of Non-QM products. Join Robert Senko, President of ACC Mortgage as he helps you understand and navigate Bank Statement loans, Investment Properties, P&L Only, ITIN and Jumbo products! When rates increase, more loan officers will be chasing fewer deals, so you need to ensure you have additional tools to compete. ACC Mortgage offers solutions, not just loans. Register and submit your questions or scenarios for Where Every Scenario is Approvable Featuring ACC Mortgage – DealDesk Focus on ACC’s Non-QM Suite” webinar here.

Shifts in analyzing credit and income

With the high volume of loans coming in with low interest rates, vendors are offering alternatives to manual Verifications of Employment, 4506 Transcripts, SSA-89’s, or background checks. For example, Private Eyes Background Checks offers this service. (Contact Sandra James.) And Truework has partnered with major lenders across the country to conduct 200,000+ verifications and counting in tackling and completing VOE/VOI requests, whether manual or automated. (Email Zackary Green.)

FICO scores are only one measure of credit worthiness, but their average has hit new record high during the pandemic.

Lending Tree released several case studies on the demographics of credit and the housing market. Millennials make up the largest share of homebuyers in the United States today. Millennial homeowners have more credit accounts and more debt on average than millennial renters, but also have stronger credit profiles (693 versus 601 average FICO). Throughout the pandemic, women are more likely to work from their bedroom and living room than men, with men 60% more likely to have a dedicated office space in their home than women. Men were also 23% more likely to report being satisfied with their in-home workspace than women. Roughly 5% of women said their workspace isn’t ideal and impacts productivity, compared with just 1% of men.

Lending Tree also analyzed mortgage purchase requests made across the nation’s 50 largest metros by people aged 18 to 23 on its online marketplace in 2020 to find just where Generation Z (born after 1996) are looking to buy homes. The five most popular metros among potential Gen Z homebuyers were Salt Lake City, Oklahoma City, Indianapolis, Cincinnati, and Minneapolis. And 15 million mortgage applications showed differences in how approval rates differ across the country: South Dakota, Utah, and North Dakota have the highest approval rates for mortgage refinance loans based on credit score and home-price appreciation. (The lowest approval rates for mortgage refinance loans were found in FL, NY, and CT.)

The FHA Catalyst: Single Family Origination Module – Automated Underwriting System (AUS) is now available and may be used by mortgagees with loan origination systems (LOS) that are integrated within FHA Catalyst. To assist users, FHA released the FHA Catalyst: Single Family Loan Origination Module – Lender User Guide.

Flagstar announced updates to the overlays for the government products listed within the announcement. These updates are effective for all TPO channels on loans locked on or after Friday, October 23, 2020, and are effective until further notice. (Remember that Flagstar Bank posted credit policy changes in lieu of the expiration of 2019 tax return extensions. And loans delivered through the Delegated Bulk channel are not required to meet the guideline requirements listed in the Temporary Rental Income Requirements Memo. Updated information is available in Flagstar’s Memo 20109.)

Flagstar Bank has updated information on numerous topics. Conventional Guide Updates regarding Income and Property, Non-Agency Minimum Borrower Contributions, and temporary Eligibility Requirements for Conventional Purchase and Refinances. And a while back Flagstar posted Temporary COVID-19 UW Guidelines.

Recall at Provident Funding that self-employment income is now only being used will only be used in qualification for its current customers.

Plaza Home Mortgage updated its COVID-19 Temporary Credit policy and reinstated the requirement for obtaining tax transcripts prior to closing on certain loan transactions. This update is in effect for all new loans and active loans in the pipeline that are not in Cleared-to-Close (CTC) status as of October 13.

HomeXpress Mortgage Corp. announced changes to its InvestorX Guidelines which include FICO as Low as 600, Increased LTV on 2-4 Units to 75% and Increased Max Properties to 10 or Max Loans to $4MM.

AD Mortgage offers a 12-24 Bank Statement Program with up to 90% LTV (email Jerry Mojarro for information and Alternative Income Non-QM Loans (with min FICO 599) and multiple other Non-Conventional products.

Carrington Correspondent has made enhancements to its Advantage℠ Series to include 90% LTV on Prime Advantage, Price Reductions (LLPAs) on Carrington Prime Advantage℠ (FICOs 660+) and Carrington Investor Advantage℠ (DCR). Visit Correspondent@CarringtonMS.com for information.

PRMG released Product Update 20-58.

Finance of America Commercial offers Asset-Based Loans; no personal income verification needed for Single Rental.

Capital markets

Looking at the bond market to close last week, the nonfarm payrolls report had less of a market impact than expected as Joe Biden becoming President-elect of the U.S. dominated headlines on Friday. Job growth was better than expected in October, but still slowed from September and is far from the robust gains seen earlier in the recovery. While the unemployment rate fell by 1 percentage point to 6.9%, the number of long-term jobless Americans surged and now makes up one-third

Nov. 9: MLO, Correspondent, Ops jobs; recruiting, non-QM, sales, servicing tools; credit & income shifts; vaccine news pushing rates

Anonymous — Mon, 09 Nov 2020 17:37:36 +0000

Employment & transitions

Broker & lender services and products

Shifts in analyzing credit and income

FICO scores are only one measure of credit worthiness, but their average has hit new record high during the pandemic.

Recall at Provident Funding that self-employment income is now only being used will only be used in qualification for its current customers.

PRMG released Product Update 20-58.

Finance of America Commercial offers Asset-Based Loans; no personal income verification needed for Single Rental.

Capital markets

Is it Safe to Sell My House Right Now?

Anonymous — Mon, 09 Nov 2020 16:03:28 +0000

In today’s real estate market, the buzz is all about how it’s a great time to sell your house. Buyer demand is high, and there simply aren’t enough homes available to buy to meet that growing need. This means now is the time to make a move so you can close the deal on your ideal terms.

Even in today’s strong sellers’ market, there are homeowners who are choosing not to sell due to ongoing concerns around the health crisis, financial uncertainty, and life in general. According to Zillow, here are the top three reasons homeowners who are thinking of selling sometime in the next three years are not putting their houses on the market right now:

34% – Life is too uncertain right now
31% – Financial uncertainty
25% – COVID-19 health concerns

If you identify with any of these, you’re not alone. Whether it’s the future of your employment situation or simply being uncomfortable having guests in your home for showings, life feels a lot different than it did at this time last year. The good news is, real estate professionals have spent the majority of 2020 figuring out how to sell homes safely, and it’s paying off for those who are choosing to move this year.

Real estate agents are doing two things very well to make selling your house possible:

1. Agents Are Implementing Technology in the Process

While abiding by state and local regulations as a top priority, real estate agents are making sales happen safely and effectively by leveraging key pieces of technology. Agents know exactly what today’s buyers and sellers need and how to put the necessary digital steps in place. For example, agents have capitalized on the technology buyers find most helpful when deciding on a new home:

Virtual tours
Accurate and detailed listing information
Detailed neighborhood information
High-quality listing photos
Agent-led video chats

They’re listening to their audience and leveraging the tools that help buyers get an initial look at a home without having to step inside. This helps reduce the number of people entering your home, so only those who are very seriously interested need to take the next step: in-person showings.

2. Agents Are Facilitating Safe and Effective In-Person Showings

After leveraging technology, if you have serious buyers who still want to see your house in person, agents are following the guidelines set by the National Association of Realtors (NAR) and utilizing safe ways to proceed. Here are a few of them, understanding again that the agent’s top priority is always to follow state and local restrictions first:

Limiting in-person activity
Requiring guests to wash their hands or use an alcohol-based sanitizer
Removing shoes or covering them with booties
Following CDC guidance on social distancing and wearing face coverings

Getting comfortable with your agent – a true trusted advisor – taking these steps under the modern-era safety standards might be your best plan. This is especially important if you’re in a position where you need to sell your house sooner rather than later.

As Jeff Tucker, Senior Economist for Zillow notes:

“Homeowners who feel life is uncertain right now may think they can still get a strong price if they delay selling until they have more clarity. The catch is that waiting to sell may raise the cost of a trade-up. This fall’s record low mortgage rates, which make a trade-up more affordable on a monthly basis, are not guaranteed to last.”

Bottom Line

In this new era in our lives, things are shifting quickly, and virtual strategies for sellers may be your ideal option. Opening your doors up to new approaches could be game-changing when it comes to selling your house while the market is leaning in your favor. As always, a trusted real estate professional can help you safely and effectively navigate all that’s new when it comes to making your next move.

The post Is it Safe to Sell My House Right Now? appeared first on Keeping Current Matters.

Best Down Payment on a Home Purchase

Jeremy House — Tue, 26 May 2020 05:08:01 +0000

Choosing the right down payment when purchasing a home is a big decision. Additionally, down payment strategy can impact your overall net worth and financial future for years to come.

Down Payment Options

Unless you pay cash, the mortgage you use to finance your home requires a minimum down payment. For example:

FHA mortgages require 3.5% down payment
VA mortgages require 0% down payment
Conventional requires as low as 3% down payment

Deciding whether to put the minimum down payment or more down on a home purchase is very important. In fact, the decision relates to several factors that differ from person to person.

How do Different Down Payments Impact a Home-buyer?

First, toggling your down payment up or down impacts your monthly mortgage payment. However, payment is just one of many other areas that feel a ripple effect resulting from your down payment decision.

Increasing or decreasing your home purchase down payment changes a wide variety of significant factors. Factors that will impact your finances now and into the future. For example, different down payment levels may cause changes in your:

Interest rate
Mortgage insurance costs
Other investment opportunities

Each of the above should be considered when deciding what down payment is best for you. Both the short term and long term financial plans need to integrate with your final decision on what down payment you make when purchasing a home.

No one size fits all plan exists regarding down payment.

Interest Rate & Down Payment

In general, a relationship between down payment amount and the interest rate you get on your new home loan exists. While not always the case, a smaller down payment typically results in a higher interest rate.

However, there are scenarios where the inverse is true. Ultimately, this dynamic depends upon your qualification along with the loan program(s) you consider.

Mortgage Insurance & Down Payment

While each loan type addresses mortgage insurance differently, one thing is true – lower down payments result in higher mortgage insurance costs. Mortgage insurance depends on more than just down payment. For example, in some cases the higher your credit score the lower your mortgage insurance.

However, mortgage insurance can be part of an overall financial strategy. In other words, it may benefit you to put less money down and pay mortgage insurance while keeping your saved money invested elsewhere.

Other Investments & Down Payment

Each $1.00 over the minimum down payment requirement that a buyer puts down on a new home may equal $1.00 pulled from an investment (ex: 401k account). Similarly, that same extra $1.0 could represent $1.00 that could have been invested elsewhere.

In either case, looking at the big picture is key. Integrating your home purchase, down payment and overall financial plan helps make sure you choose the down payment best suited for your goals.

The post Best Down Payment on a Home Purchase appeared first on Arizona Mortgage Lender | The HOUSE Team.

Appraisal Flexibility During COVID-19

Jeremy House — Tue, 24 Mar 2020 01:32:11 +0000

Appraisal report exceptions are now in effect to help facilitate residential real estate transactions. The temporary rules protect appraisers and homeowners from the risks of COVID-19.

COVID-19 Appraisal Safety

Typically, a home loan transaction allows an appraisal waiver or requires a full interior / exterior appraisal. For the latter, an appraiser visits the property inspecting it inside and out. In order to stem the COVID-19 spread, Conventional loan appraisal rules temporarily eased in light of the virus.

During the COVID-19 outbreak 2 alternate appraisal reports for Conventional home loans now exist. Both reports may replace the standard full interior / exterior appraisal report. Neither reports require the appraiser inspect the home’s interior.

2 Appraisal Report Options During COVID-19

Conventional loans may use either a Desktop Appraisal or Drive By Appraisal when a Full Interior / Exterior Appraisal is not an option. In other words, if an appraiser or homeowner do not want to risk exposure to COVID-19 due to an interior home inspection the lender may one of the substitute reports below.

1. Desktop Appraisals

A Desktop Appraisal is allowed for purchases using Conventional financing. Desktop Appraisal reports include the same data full appraisal reports do. However, appraisers do not inspect the subject property nor do they view the exterior in person. Instead, appraisers use the resources below to determine property value:

Public Records
MLS data
Other 3rd Party Date

2. Exterior Appraisals

Exterior (or “Drive By”) Appraisals are allowed temporarily for both purchases & rate and term refinances using Conventional financing. Drive By appraisals contain the same information as full appraisal reports. However, on Drive By reports appraisers only visually inspect the subject property’s exterior. No physical interior inspection occurs. In addition, the resources below help appraisers determine property value:

Public Records
MLS data
Other 3rd Party Data
Observations Made During Drive By

Values From Reports May Vary

While the temporary alternate appraisal reports grant flexibility during Social Distancing, the home values on the reports may vary. Most notably, custom homes and homes with unique upgrades may not obtain the desired value as a result of appraiser’s not inspecting the home.

Consult with your Real Estate Agent for more. In some cases a full interior / exterior appraisal would better capture a home’s full value.

The post Appraisal Flexibility During COVID-19 appeared first on Arizona Mortgage Lender | The HOUSE Team.

Double Fed Cut & Mortgage Rates | Coronavirus Influence

Jeremy House — Mon, 16 Mar 2020 05:09:48 +0000

The Feds 2nd March 2020 Rate Cut is proactive economic support as the Coronavirus impact expands. While mortgage rates may drop, the Fed Funds Rate is not why. Smart move is – be ready for a mortgage rate improvement.

Different of Rates React to the Same Thing

The Fed voted on a 2nd March 2020 Fed Funds Rate cut on Sunday March 15th. Their goal – plug future holes poked in the US economy by the Coronavirus.

Apply for a Home Loan Now
Team@JeremyHouse.com
602.435.2149

A second set of rates often falling during economic uncertainty are Fixed Mortgage Rates. Mortgage rates move with mortgage bond pricing. Bond pricing often improves when Wall Street perceives economic slippage. This then causes a drop in mortgage rates.

Ultimately, the Fed Funds Rate and Mortgage Rates both can fall for the same core reason – economic worries. However, the movement is independent:

Fed Funds Rate Movement: Group of elected officials vote to move this rate. The same group must vote again for further movement.
Fixed Mortgage Rate Movement: These rates move constantly due to the dynamics on Wall Street.

Ultimately and technically, neither rate moves the other. However, sometimes technicality takes a back seat to reality. Especially when cheaper housing payments are possibly in the balance.

Apply for a Home Loan Now
Team@JeremyHouse.com
602.435.2149

2 Ways to the Same Place

Theory is important. However, reality is important too. While the vehicle driving mortgage rates lower is different from that which carries the Fed Funds Rate further south, if both move low and you can buy or refinance at a lower rate – does theory matter?

Since these 2 rates have been seen running as a 3 legged race team, preparedness to pounce matters most. What’s the worst that getting positioned now can do? Maybe we get surprised if the Fed Funds Rate and Mortgage rates go in different directions. This has happened more before and is possible. But why risk missing that window of historical low rates when there is no down side to being ready?

However, the ready to pounce group stands a chance the same thing pushing the Fed Rate down also knocks mortgage rates a few ticks lower. After-all, despite having no direct connection – both fixed mortgage rates and the Fed Funds rate tend to drop when economic concern runs wild.

Apply for a Home Loan Now
Team@JeremyHouse.com
602.435.2149

The post Double Fed Cut & Mortgage Rates | Coronavirus Influence appeared first on Arizona Mortgage Lender | The HOUSE Team.

Mortgage Rates & the State of Emergency

Jeremy House — Sat, 14 Mar 2020 02:42:02 +0000

Financial markets are impacted by global events such as the Coronavirus. Mortgage rates are among the financial products feeling the Pandemic’s impact. March 13, 2020 the State of Emergency declaration also effected mortgage rates.

What is a State of Emergency
How did Mortgage Rates React to the SOE
Do Rates Go Back to 3/9/20 All Time Lows?
Does a Fed Funds Rate Emergency Cut Help?
How to Recover from a Rough Week

State of Emergency – What is It?

Before contemplating it’s impact, understanding a State of Emergency is crucial. At its most basic level a State of Emergency opens doors and empowers the government to act on a grander stage in a more unfettered manner. However, it does not mean that everyone’s life is in immediate danger.

Declaring a State of Emergency allows the government to act in unique ways to solve an exceptional problem – including allowing the dumping of infectious medical waste in the ocean – I’m not making this up!

Learn more about what a President can and cannot do under an SOE

Depending on which law resource you read, a State of Emergency gives the President powers vested in 100 to 125 laws. These laws state “in the case of a National Emergency the President can do x”.

How Mortgage Rates React to the SOE

Today marked the 60th State of Emergency declared by a sitting President in United States history. As you may know, financial markets tend to react to this kind of thing and today was no exception.

To set the foundation it’s important to know how mortgages rates work. In short, mortgage rates fluctuate with the action and reaction of an open financial market. In fact, movement in mortgage rates often rivals the temperamental stock market. In fact, the stock and mortgage backed security (bond) market are interrelated. Furthermore, just as fear and uncertainty move stocks, they can also drive mortgage rates while driving consumers crazy.

Considering the above, this weeks interest rate volatility seems logical based on the Cornovirus footprint expanding. For example, mortgage rates hit historical lows Monday March 9, 2020. As the NBA suspended it’s season and Disneyland closed the next 4 days erased new lows and pushed mortgage rates back up. Important reality check – Mortgage rates remain at very attractive/low levels.

In short, as virus news spread the markets shook with uncertainty. It stands to reason that uncertainty‘s polar opposite – certainty – will pave a return path to normalcy.

Will Mortgage Rates Fall Again?

Will we return to the ultra mega low rates of this past Monday? Maybe – but that’s as tough a question to answer today as on any non-coronavirus toned day of the year. Actually, it’s even tougher to answer right now. I advise that anyone even lightly flirting with refinancing or buying a home to apply and get into position to lock your rate. As the past 2 weeks have proven, rates can rise and fall and only those who are positioned properly can strike while the iron’s hot.

Ultimately, when markets jet in one direction “too” quickly they tend to rebound. Fear typically creates rapid movement. Fear also typically subsides at some point. That subsidence is when markets regain footing. In other words, I expect interest rates to come back down.

However, it’s critical to know what “rates coming back down” really means. It means rate should settle down from their current higher levels. Current levels are higher than 5 days ago. Do rates come back to Monday 03/09/20 levels and then dive deeper than that? Time will tell. First rates need to come back down to last weeks levels.

How Would a Fed Emergency Cut Play Out?

While a Fed Rate cut is never a direct line to lower mortgage rates, many are taking solace in the whispers of another emergency Fed Cut next week. While the talk and execution of another cut will sound and feel safe, ultimately the solution lies elsewhere.

After-all, the fear and uncertainty behind mortgage rates going up and stocks falling is different this time. Its our concern over our family’s health, what schools and businesses will shut down and who has to stay home without a paycheck due to a work closure or their child’s school closure.

All of these concerns logically tie to the stock sell off this week. None of them are cured by a Fed Funds Rate reduction. An emergency Fed Cut feels optical. It supports the administrative direction. Not a horrible thing. Just not a pound for pound influence on mortgage rates.

Reversing Course After a Rough Week

The things I believe renew market strength and confidence and that circle us closer to Monday’s ultra low mortgage rates are:

A firm determination of the viruses Scope in the US (better testing will help with this)
Plan to limit the spread of the virus (limiting large events etc.. will help with this)
Streamlined health care treatment plans (freeing up resources will help with this)
Financial backstopping for those impacted (deferring student loan interest – in part – helps with this)

In fact, look at stocks and mortgage rates after the Presidential address. You’ll see both improved into the bell. In fact, the stock market just had it’s best day since 2008. This is a microcosm of what will slide the rate scale back toward pre-March 10, 2020 levels.

Lastly, the market observing a swift and measurable plan of attack on the virus would go a long toward picking up the pieces of a financial week that resembled a Jenga stack after a bad play. For now stay tuned!

The post Mortgage Rates & the State of Emergency appeared first on Arizona Mortgage Lender | The HOUSE Team.

Mortgage Rates Fall on Coronavirus Fears

Jeremy House — Tue, 25 Feb 2020 08:17:09 +0000

Mortgage rates change based on factors that logically impact financial markets. However, it’s also common for something as disconnected to mortgages as the Coronavirus to move rates too.

2020 is thus far a winning streak for mortgage rates. However, something obscure now adds more downward pressure on home loan rates making for a historically low rate environment. Much like the Soy Bean impact on rates we covered a while back, this too is a rate dropping force many didn’t see coming.

Learn how to help the Coronavirus crisis

The Coronavirus has not only spread into more regions across the globe, it has crept into the realm of international finance. Despite how unlikely it first appears, the virus is directing traffic on Wall Street in a significant way.

Coronavirus & Wall Street

The economy of today is undoubtedly a globally tethered one. Due to the interweaving dependent connections of complex economies across the globe – what impacts one usually somehow impacts them all.

The spread of the virus into Italy now makes this a European issue and possibly a global issue that could upset the supply chain for months or years to come
Kevin Giddis, CFIS Raymond James

The rapidly spreading Coronavirus has given birth to contagious health concerns in many cities. So much so that meaningful portions of the global supply chain have literally shut down. For example:

4 of the worlds top 12 economies scrambling to contain virus
South Korea shut down public buildings, schools & sports events in the industrial area of the Country

Learn how to help the Coronovirus crisis

Global Scares & US Mortgage Rates

To understand the Cornoavirus’ impact on our home loan rates, first consider how Countries rely on each other. For example, South Korea provides many other nations with cars, machinery and electronic goods. In addition both Japan and China play major roles in the supply chain for many different industries around the world.

Next, consider that investing in stock is analogous to betting a company or on the broader scope that an economy will grow. When investors sense risk to that investment they see potential for the stock’s value and their capital vanishing.

Run for Shelter When Stocks are Falling

Investors seek safety from risk and uncertainty. The ultra low return yet virtually no risk bond market provides safety. It’s a shelter from the storm. While things get rough on the high seas, investor’s make sluggish gains in the bond market which beats rapidly losing gobs of cash in an unstable stock market that is fearing global impacts of the Coronavirus.

Finally, when demand and cash both flow from stocks into bonds during a cycle known as a “flight to quality” – bond prices increase. Increased bond prices lead to lower home loan rates. Often, times this scenario is paradoxical. On one hand something not so great is happening while on the other interest rates drop.

In conclusion, the Coronavirus and those imapcted are the most important. An end cannot come too quickly. While we can’t predict these polarized situations, it’s important to learn how they impact financial markets and more specifically home loan interest rates here in the US.

The post Mortgage Rates Fall on Coronavirus Fears appeared first on Arizona Mortgage Lender | The HOUSE Team.

The Ultimate Guide to “Types of Annuities”

Ryan Eaglin — Thu, 23 Aug 2018 18:43:57 +0000

Share List Are you approaching retirement? If so, you’re probably finalizing your plans. Perhaps you’re projecting your income, developing your retirement budget, or even analyzing your investment allocation. Retirement is a big financial challenge, so it’s important that you develop the right strategy for your needs and goals. You have a wide range of financial…

Health Care in Retirement: What’s Your Funding Strategy?

Ryan Eaglin — Fri, 17 Aug 2018 14:43:55 +0000

Share List Think Medicare will cover all your health care expenses in retirement? Think again. Medicare is a valuable resource for retirees, but it doesn’t cover everything. In fact, even for covered services, Medicare doesn’t cover the full cost. In most cases you’ll have copays and deductibles. In fact, Fidelity estimates that health care could…

How Gen Xers Can Catch Up on Their Retirement Savings

Ryan Eaglin — Tue, 14 Aug 2018 20:17:21 +0000

Share List Are you a member of Generation X? Feeling uncomfortable about your preparedness for retirement? You’re not alone. A recent study from Transamerica found that only 12 percent of Gen Xers feel secure about their ability to retire. The study found that the average Gen X household has only $69,000 in retirement savings. Generation…

The Other Side of Retirement Planning: Income Distribution Strategy

Ryan Eaglin — Fri, 27 Jul 2018 14:04:05 +0000

Share List For many people, retirement planning is all about asset accumulation. Retirement is a substantial financial goal. To have a successful, comfortable, and financially stable retirement, you’ll likely need income that lasts for multiple decades. Generating that kind of income requires assets, hence the focus on saving and accumulation. There is, however, another side…

Watch Out for these 3 Financial Risks in Retirement

Ryan Eaglin — Thu, 19 Jul 2018 17:19:48 +0000

Share List Retirement is supposed to be about enjoying the good things in life. It’s a time to travel, pursue a favorite hobby, and spend time with family. After all, you’ve worked hard for decades to accumulate assets. Retirement is your time to enjoy the fruits of your labor. Of course, saving money and getting…

Eliminate Your Retirement Shortfall With These 4 Strategies

Ryan Eaglin — Thu, 12 Jul 2018 17:59:06 +0000

Share List Behind on your retirement savings? While you may be feeling some stress about your retirement outlook, you certainly aren’t alone. According to Gallup’s 2017 study of financial concerns, more than half of all Americans are worried about their ability to pay for retirement. If you’re behind on your savings, the simple solution is…

NewsMax Finance: 5 Ways Annuities Can Protect You From Uncertainty of Stocks

Ryan Eaglin — Mon, 04 Jun 2018 15:03:27 +0000

Share List We have exciting news! Ryan Eaglin, founder of our firm, has been featured on one of the largest polital web sites in the United States, NewsMax. In fact, they have more than 3 million visitors to their site per month. Check out the NewsMax article titled 5 Ways Annuities Can Protect You From Uncertainty of Stocks…

3 Signs You Might Be Ready for Retirement

Ryan Eaglin — Thu, 31 May 2018 19:45:05 +0000

Share List It’s a goal that most workers dream about their entire adult lives. Retirement. The day you finally get to stop building your schedule and priorities around your work obligations and start living life on your terms. If you’re in your late 50s or in your 60s, you may be wondering when will be…

4 Retirement Planning Myths That Could Derail Your Retirement

Ryan Eaglin — Thu, 24 May 2018 17:59:10 +0000

Share List When it comes to planning for retirement, there’s a lot of information available. From financial media to financial professionals to even your own friends and family, there is no shortage of retirement planning advice. Unfortunately, not all advice is good advice. In fact, there are many persistent retirement-related pieces of wisdom that may…

A Retirement Checklist for Baby Boomers

Ryan Eaglin — Thu, 17 May 2018 16:55:03 +0000

Share List You’ve spent the past few decades building a career and raising a family. Along the way, you may have accumulated a substantial number of assets. Now retirement is quickly approaching, and you’re wondering if you’re as prepared as you need to be. Many baby boomers measure their preparedness in terms of assets. They’re…

FPWM Newsletter | Quarter 3, 2017

fourpeakswealth — Wed, 11 Oct 2017 10:23:46 +0000

In this edition…

Review of Q3 Performance

Historically, fall has been a particularly unkind season to investors… Should our outlook prove too optimistic, our most conservative portfolios are protected with a mix of safer assets.

Happy Birthday to Us

We are happy to report to you that we’ve beaten the odds and made it to the five-year mark as of October 4th. During this time, we have been fortunate enough to work with over 250 clients, who have trusted us with their and their employee’s savings. We have also established a solid track record of investment performance over these years across four distinct portfolios.

Quarterly Media

Climbing the “Wall of Worry”

The FPWM Team

We are pleased to announce that Lisa Short joined the FPWM team this past quarter as our office manager, replacing Penelope Scott.

Download the Q3 2017 Newsletter HERE.

Climbing the “Wall of Worry”

fourpeakswealth — Tue, 19 Sep 2017 12:23:06 +0000

Roseanne Roseannadanna, a recurring character on Saturday Night Live was fond of saying: “If it ain’t one thing, it’s another.” That couldn’t be truer about investing.

Investopedia defines a “wall of worry” as the financial markets’ periodic tendency to surmount a host of negative factors and keep ascending. While the “wall” may sometimes consist of a single financial, geopolitical, or natural event, it more commonly is built with concerns on numerous fronts.

In no particular order of crises, I offer the following examples of negative factors.

Financial Contagions

The global Great Depression, preceded by the stock market crash of 1929, is a distant example of the effects of contagion on an integrated global economy. There are many modern examples, too. In 1997, it was the Asian financial crisis, triggered by the collapse of the Thai Baht. That crisis eventually made its way to Russia and Brazil. In 2015, it was China who devalued their currency, leading to a loss of five trillion dollars in global stock market value.

Financial contagion also happens at the domestic level, usually due to the failure of a bank or other financial intermediary. The crisis of 2007–2008 is thought of as the most severe since the 1930 Great Depression. By March of 2008, the investment banking firm Bear Stearns had failed and was being rescued by the U.S. government. That in turn triggered the largest U.S. Chapter 11 filing ever by Lehman Brothers, and the government rescue of American International Group (AIG).

Geopolitical Events

We don’t need to go back even a year to collect a meaningful list of geopolitical crises. In reverse order, North Korea’s recent firing of a ballistic missile over Japan put markets on edge. Threatening to take out Guam, not to mention major American cities, Pyongyang’s erratic leader continues to rattle global markets. Late spring/early summer saw yet another series of terrorist attacks in France and Great Britain. And in April, the U.S. military attacked a military base in Syria, leading many to assume a full-fledged attack would follow.

Natural Disasters

As I write this article, cleanup is just beginning for Hurricane Irma. While it is too early to know its exact cost, it’s fair to question the market impact given its path of destruction. This is right on the heels of Hurricane Harvey, which looks to be the costliest natural disaster in the history of the U.S.

With road, infrastructure and building damage typical after disasters, local businesses can be shut down for some time. Every year we face new disasters that test our resilience.

Time is the Best Way to Capitalize on the Stock Market’s Gains

Putnam Investments conducted a 15-year study from 2001 through 2016. In it they found that missing the 10 best days of stock market returns reduced the return of the Dow Jones Industrial’s Average from 7.28% to 2.60%, cutting an investor’s total dollar return by almost half. By trying to predict the best time to buy and sell, an investor also risks missing the market’s biggest gains. It turns out that the best way to capitalize on market strength over time is simply staying in the market and doing nothing. Major political and economic events that seem to erupt almost routinely are opportunities to review plans, challenge outlooks, and re-confirm goals and strategies, but they are not selling opportunities. Quite the contrary, as Warren Buffet is known to profess: “You have to be greedy when others are fearful.”

It turns out that the best way to capitalize on market strength over time is simply staying in the market and doing nothing.

Ron Getto, Four Peaks Wealth and Accounting Chief Financial Officer

Climbing the “Wall of Worry”

While it’s true with investing that “If it ain’t one thing, it’s another,” just remember to not let those “things” distract you from your long-term financial plan.

The markets’ ability to climb this wall of worry reflects investor confidence that these issues will be resolved at some point, yet another great reason to “stay the course” in the face of bad news.

Newsletter Sign Up Success

fourpeakswealth — Sat, 02 Sep 2017 18:41:46 +0000

Thank you for signing up for our Four Peaks Wealth and Accounting news. We look forward to sharing information with you that can help shape your successful financial future. No email overload – we promise!

Ruthie Lee, EA

fourpeakswealth — Fri, 01 Sep 2017 01:50:16 +0000

Ruthie was the manager of an auto repair shop for fifteen years before joining Four Peaks Wealth and Accounting’s predecessor firm. There, she was responsible for all facets of business; hiring, firing, accounts receivables and payables, inventory management, bookkeeping, workflow and scheduling, plus all tax and governmental filings. She has also managed her husband’s small business for the last twelve years. Ruthie also serves a handful of tax clients owning small businesses. She graduated with an Associate’s Degree in Business, with a Certificate in Accounting, from Yavapai College. She is also an Enrolled Agent with the IRS and expects to receive her QuickBooks Pro Advisor Certification by year end.

Ruthie has been married to her husband, James, for thirteen years and has two boys, Anthony and Preston. Their primary hobby is cars; working on and fixing them, as well as watching them race. Most family time spent together is either outdoors at the creek or the lake. Their family owns two min-pin/Chihuahua dogs.

Patrick McGee

fourpeakswealth — Fri, 01 Sep 2017 01:49:30 +0000

Patrick joined Four Peaks Wealth and Accounting as a tax accountant, looking to broaden his experience in tax preparation. Prior to that he was the sole proprietor of a Florida-based registered CPA firm. For eight years he specialized in small business tax returns for a wide variety of businesses. He also prepared individual tax returns during this period. Patrick believes that the service provided to a client is a moral issue, not a mere obligation based on the exchange of time and money. While working as a CPA he attained his Master’s in Taxation degree at Florida Atlantic University in Boca Raton, Florida. Earlier, after serving time in the US Navy, he earned his BA degree in Management and Economics from Trinity International University located in Deerfield, Illinois and then his Master’s in Accounting degree at Florida International University in Miami, Florida. Soon after that he received the approval from the Florida Board of Accounting to be licensed as a CPA in the State of Florida. Patrick will soon also be registered in the State of Arizona as a CPA. He has also worked at publicly traded and closely held companies as a private accountant.

During his off-time Patrick is an avid powerlifter and competes at least once a year. He also enjoys taking part in his local community.

Kirsten Mead

fourpeakswealth — Fri, 01 Sep 2017 01:48:32 +0000

Kirsten joined the Four Peaks Wealth and Accounting team as the Workflow Coordinator. She is a native of Flagstaff, Arizona and considers Sedona as one of her favorite places on earth. Kirsten holds a B.S. in Criminal Justice from Northern Arizona University.

After working in the criminal justice field for several years, followed by billing and collections for a large physician practice, Kirsten ran a successful craft store in Flagstaff. During her nine years as a business owner she was a recipient of the 2007 Small Business Development Center Success Award. After running her own business, Kirsten went on to work at Northern Arizona University, where she was the Administrative and Financial Manager of the Alliance Bank Business Outreach Center. She also planned three successful Economic Outlook Conferences, which drew business leaders from throughout northern Arizona.

Kirsten enjoys spending time with her family, adores her menagerie of animals, and loves hiking, paddle-boarding, and chasing sunsets.

Kevra Barney

fourpeakswealth — Fri, 01 Sep 2017 01:47:32 +0000

Kevra joined Four Peaks Wealth and Accounting as a tax preparer in 2017. She was raised in the Phoenix Metro area and started out in Flagstaff as a student. Kevra attended Northern Arizona University and received a Bachelor of Science in Accountancy, with a minor in mathematics as well as a Masters of Business Administration. While attending school, Kevra gained professional accounting experience working in the university’s billing department, at an HOA management company office, and within a governmental and nonprofit auditing firm.

Kevra enjoys working at FPWA because it allows her to positively influence the Northern Arizona community by helping others via tax advice and preparation. She is currently studying for the CPA exam, which will allow her to provide clients with even more knowledge and tax expertise.

In her free time, Kevra enjoys traveling with her husband, cooking and baking, spending time outdoors, and being with family. She also spends time volunteering within her church community.

Barbara Benson

fourpeakswealth — Fri, 01 Sep 2017 01:46:40 +0000

Barbara started her own accounting practice in 1974, in Rockford, IL. She sold that practice fifteen years later and moved to Sedona in 1989. There, she started another firm, Village Accounting, which was sold to Four Peaks Wealth and Accounting’s predecessor in 2015. She is an enrolled agent with the IRS and particularly enjoys tax work.

Barb has a husband, Thomas, and two sons, Skip and Matt. Her hobbies include quilting, reading and traveling in the family motorhome.

Jill Adams

fourpeakswealth — Fri, 01 Sep 2017 01:45:53 +0000

Jill Adams’ career started in health care and encompassed oversight of patient care, accounting, marketing, human resources, advertising, administration, and turn-around services. She has an expertise in home health, sub-acute care, nursing homes, assisted living centers, and adult day health centers.

Jill visited Sedona in September of 2015, fell in love with the red rocks, and relocated with her children to Sedona in April of 2016. She joined Four Peaks Wealth and Accounting as the office administrator, bringing the customer service skills she honed while overseeing the care of the elderly and disabled. Jill enjoys assisting clients with problem resolution with the IRS, and is studying to become an Enrolled Agent. She also assists clients in obtaining EINs for new businesses, and transitioning their businesses to S-Corporations.

Jill enjoys hiking, exploring the Sedona area with her family and friends, and researching whatever strikes her fancy.

Dorothy (“Dottie”) Reinert, CPA

fourpeakswealth — Fri, 01 Sep 2017 01:40:46 +0000

Dottie is a Certified Public Accountant (CPA). After graduating from College in NH she worked as an accountant in various companies, achieving the title of Accounting Manager for a manufacturing firm. She also worked for small CPA firms, as a tax preparer, accountant and auditor. Dorothy started her own CPA practice in 1990, preparing tax returns, as well as auditing, reviewing and compiling financial statements, mostly for for nonprofit and small businesses. After selling her practice in New Hampshire, she and her husband moved to Arizona to enjoy a warmer climate. Dorothy enjoys working with Four Peaks Wealth and Accounting and looks forward to the expanded service offering.

In her free time, she enjoys Zumba classes, reading and hiking with her husband Eric.