HELOC, Veterans, LOS, Insurance Products; Webinars, Events, Training This Week
Someone’s making money out there, right? Freddie and Fannie continue to earn billions, with a good chunk coming from g-fee income, and see hundreds of billions flow through their systems every quarter (for those playing along at home, their net worth, $90.5 billion for Fannie, $56 billion for Freddie, is healthy, but healthy enough to survive another 2008?). Lenders have seen their compliance & legal costs increase. (The CFPB announced that it had settled its fair lending case with Townstone Financial on Friday. Here is attorney Brian Levy’s take on the settlement from his Mortgage Musings blog. Sign up here if you want to get an email whenever Levy sends out his Musings.) There are rumors of another price increase from Fair Isaac, up from the current $3.50 per score; the parent of FICO’s stock price has doubled in one year to nearly $2,000 per share. Agency g-fees and credit reports factor into the cost of a loan. But compensation is still, by far, the largest cost component on any loan. (An informal poll indicates that LOs are often paid for 30 days after they leave.) (Today’s podcast can be found here, and this week’s is Sponsored by Calque. Partner with Calque to offer better loan solutions. Scale your business with a partner that puts your brand first and empower your clients to buy before they sell. Hear an interview with Rob Chrisman on takeaways from MBA Annual.)
Lender and Broker Software, Services, and Products
“In today’s competitive mortgage marketplace, customizing workflows and borrower experience is crucial to differentiation. With the industry-first configurability of Maxwell Point of Sale, lenders can define workflows for any mortgage product, while configuring triggers and business rules to align the borrower experience to operational processes. Maxwell Point of Sale also features more than 60 third-party integrations, allowing lending teams to seamlessly connect with other vital pieces of their workflow, from credit and verifications to pricing and disclosures. Maxwell Point of Sale also sees a 14% increase in pull-through from Rate Lock to Close on the vs a top competitor. Want to learn more? Let us know and we’ll show you what Maxwell can do for you and your borrowers.”
Looking for ways to streamline the home insurance process? Matic makes it easy for your borrowers to secure home insurance with access to 40+ carriers in one platform. Built specifically for the mortgage industry, Matic’s digital marketplace allows borrowers to shop multiple carriers at once as part of the home purchase, refi, or servicing experience. With transparent pricing and coverage options integrated into the loan process, borrowers save time and an average of $639 annually, reducing DTI issues and accelerating loan closings by 2 days on average. Want to learn more? Book a demo to learn how mortgage leaders are partnering with Matic to boost financial resilience, improve efficiency, and elevate the customer experience.
Star Wars: The Force Awakens holds the record as the most expensive film ever made with a net budget of $447 million. Your 2025 budget is likely more modest, but you can still do business in blockbuster fashion with AIVA Docs and AIVA Assist from Dark Matter Technologies, two rising stars helping mortgage lenders reduce origination costs on any LOS. These stellar performers combine artificial intelligence, advanced business rules and process automation to expedite income and asset verification, all while improving the quality and efficiency of your underwriting process. It’s like giving your loan team a lightsaber to cut through stare-and-compare drudgery, so they can focus their time and talent on preparing loan files… No Jedi mind tricks required. See how AIVA can “jump” your workflow into the future for a more productive and profitable 2025.
Wholesale and Correspondent Products
Orion Lending is proud to announce its strategic partnership with the Arive platform. This collaboration comes as Orion Lending celebrates its 10th anniversary, marking a significant milestone in the company's journey of empowering brokers. The partnership will enable Orion Lending to partner with more brokers, offering them the tools and support needed to better serve their clients and hyperspeed their business growth. Brokers interested in learning more about Orion Lending's offerings and how to get started on the Arive platform can visit here for more information.
Since 2017, Gateway Correspondent has proudly partnered & served as the Program Administrator with the Texas Veterans Land Board to offer participating clients access to aid Texas Veterans in purchasing a home through the VLB Veterans Housing Assistance Program (VHAP). This initiative provides Texas Veterans with access to below-market interest rates, helping thousands of Veterans achieve the dream of Homeownership. As The Elected Program Administrator, we have the opportunity and responsibility to review all TVLB originated loans for approval, in this uniquely competitive program for Texas Veterans. Eligible Texas Veterans and Military members are offered a competitive, low interest rate loan with little to no down payment and Veterans with a service-connected disability rating of 30% or greater qualify for a discounted interest rate up to .50%. What a GREAT opportunity to thank and further serve our veteran community. For more information on the TVLB program and other Gateway offerings, please reach out to us here, we look forward to partnering with each of our clients who dutifully serve our Veterans through homeownership.
“Mega Capital continues to grow and expand our business. We are adding new products like our MHELOC program, our new NOO/Second Home Expanded product or our Jumbo offering to $3M (with a 50 DTI). Mega Capital is also launching a new webinar series! Look for the first installment on November 7th at 10 AM Pacific covering our HELOC and Closed end Second products. Brokers or bankers looking to add Mega Capital to your roster, please click here to become a partner.”
Training, Webinars, and Events This Week
Today is a show focused on mortgage technology and innovation: Now Next Later Mondays at 1pm ET. Today features Jeremy Potter and Jay Arenja from nCino!
Texas Mortgage Bankers Association’s Education Symposium is coming up on November 4-5, at the Hilton Dallas Lincoln Centre Hotel in Dallas. This year, TMBA’s 7th Annual Symposium's theme is Fortune Favors the Bold. Hundreds of mortgage professionals, from operational staff and leaders to Sales professionals and CEOs, will be there to learn and share, and will leave the Symposium with greater expertise and motivation to act.
Tuesday, November 5, and all Tuesdays at 11am PT, two veteran LOs discuss all things mortgage with Industry Leaders: Mortgage Pros 411 with Audrey Boissonou and Kevin Casey.
The California Mortgage Expo returns to Pasadena on Tuesday, November 5, bringing in the industry's best, with educational sessions that show you how to make more money, be a better sales pro, and keep your pipeline full.
Looking for more in-depth commentary on weekly mortgage news? Register here for Wednesday’s 11AM PT "Mortgage Matters: The Weekly Roundup” presented by Lenders One. This Wednesday features Rudy Orman!
Fusion '24: The Midwest’s Premiere Lending Event! Formerly known as the Servion Lending Conference, Fusion 24 Nov. 6-8 is your best value in comprehensive residential and commercial lending insights and education. Happening at the JW Marriott - Mall of America, Fusion 24 promises to be packed with expert speakers, networking, and live entertainment ideal for all experience levels. Sponsorship and exhibitor opportunities available here. Act now, the JW Marriott-Mall of America room block expires 10/7! Learn more at myservion.com/fusion.
Join Rebecca Lorenz for an interactive webinar where you'll learn strategies to elevate your presence, speak confidently, and persuade with impact. Rebecca will show you how to develop communication techniques that will help you inspire action, build trust, and lead with authority in any setting, Wed, Nov 6, 10:00 AM - 11:00 AM PST.
With the Fed projected to cut rates by 100+bps over the next year, your database will become a goldmine. Register for Mastering Client Retention: Tactics & Systems to Drive Repeat & Referral Business. Hosted by MLP on November 6 at 12pm. Learn how to make the most of the market rebound & maximize production in 2025.
Thursday will be another episode of The Big Picture at 3PM ET. Rich Swerbinsky hosts a variety of guests. You can click here to register for Thursday’s 3 PM ET show. This week’s show has MBA President Bob Broeksmit.
Do anxiety or "what-if" scenarios dictate your sales strategy? Join Kendra Lee and learn strategies that will help you push past mental prospecting barriers to facilitate deeper conversations, strengthen connections, and create new opportunities. Register for Thu, Nov 7, 10:00 AM - 11:00 AM PST.
Unlock the potential of condo opportunities with Kind’s exclusive training session on Non-QM Loans. Explore unique condo projects and elevate your lending approach. Don’t miss out, register now to secure your spot. Choose to attend one or more of the following sessions: November 7th at 11am PST or November 21st at 11am PST.
“In today’s fast-paced business landscape, staying ahead means embracing innovation and strengthening your defenses. Register for MQMR's AI-Powered Vendor Management Webinar here on November 7th at 12 PM CST and discover how you can do both! We’ll cover everything from Rapid Risk Identification and Efficient Document Summarization to Enhanced Cybersecurity, as well as mastering oversight that helps guard against data breaches, all while keeping compliance at the forefront. Leverage our technology or fully outsource it to our team of experts. Book a demo today!”
Friday the 8th, listen in to opinions (Last Word Fridays at 1pm ET) from Kevin Peranio and Brian Vieaux! Register here.
End this week with The Mortgage Collaborative’s The Fix with Melissa Langdale covering current events in the mortgage market for 30 minutes starting at noon PT. Friday’s features Dan Cantinella (Total Expert), Andrew Pawlak (Rebel IQ), and Matt Tillman (Evocalize).
Have you heard about (read: registered for) some of our expanded media offerings? Chrisman Commentary is pleased to bring you a variety of video shows hosted on Zoom throughout the week. Take your pick: We have a show focused on technology and innovation (Now Next Later Mondays at 1pm ET, presented by BILT Rewards), origination (Mortgage Pros Tuesdays at 2pm ET), big-name interviews (Mortgage Matters Wednesdays at 2pm ET, presented by Lenders One), headline news (The Big Picture Thursday’s at 3pm ET), opinion (Last Word Fridays at 1pm ET), advisory services (Advisory Angle first Tuesday of the month at 2pm ET, presented by STRATMOR Group), capital markets (Capital Markets Wrap second Tuesday of the month at 3pm ET, presented by Polly), regulation and compliance (Regulation Central third Tuesday of the month at 3pm ET), and reaching the next generation of homeowners (Mortgages with Millennials last Tuesday of the month at 1pm ET, presented by The Mortgage Collaborative). (If you don’t see a presenting sponsor, please reach out to Chrisman LLC’s Anjelica Nixt to inquire about opportunities.)
Capital Markets
Last week closed with October’s payrolls data coming in well below analysts’ expectation, heavily influenced by the Boeing strike as well as Hurricanes Helene and Milton. As a result, a mere 12k jobs were added during the month and the unemployment rate moved from 4.05 percent to 4.14 percent. Jobs gains were revised down 31k in September and 81k in August, reaffirming that overall job growth has moderated. Despite slowing job growth, the economy continues to grow as real GDP increased at a 2.8 percent annualized rate in the third quarter. A 3.7 percent annualized increase in consumer spending accounting for most of the gain and spending was spread between goods and services.
Employers appear to be in a holding pattern: not hiring robustly, but also not shedding employees due to high consumer demand. Additionally, the cooling labor market has eased pressure for businesses to increase wages. The Employment Cost Index has increased 3.9 percent over the prior twelve months which is down from its 5.1 percent peak in 2022. Given that the labor market is more in balance and inflationary pressures are receding, analysts expect the FOMC to reduce the fed funds rate by 25-basis points this week and continue with a gradual pace of cuts over the coming months.
This week includes the U.S. elections, the aforementioned latest FOMC decision, as well as the Quarterly Refunding. Markets could be extremely volatile as indicated by elevated levels of implied vols in both bonds and equities. The data is of the less market moving variety including updates on factory orders, trade, nonmanufacturing PMIs, productivity / unit labor costs, inventories, and Michigan sentiment. The Quarterly Refunding consists of $125 billion in new 3-, 10- and 30-year bonds to be auctioned today through Wednesday.
Besides the latest FOMC decision on Thursday, where the odds of a 25-basis points cut are nearly fully priced, the RBA will be out with their decision on Tuesday while Sweden’s Riksbank, Norges Banks and BoE will be out before the Fed on Thursday morning. Regarding MBS, agency prepayments will be out after Wednesday’s close and into the evening with roll-related activity picking up afterwards ahead of Class A net out on Friday ahead of the long weekend (for the bond market) before Veterans Day. Today’s economic calendar kicks off later this morning with the October Employment Trends Index and September factory orders. We begin the week with Agency MBS prices better by .125-.250, the 2-year down to 4.15, and the 10-year yielding 4.29 after closing Friday at 4.36 percent.