HMDA Training; Misc. Updates on Policies, Documentation, and Underwriting
I do my best to group updates to create a narrative that is more "user friendly" than to just throw news out there. But some updates don't fit into convenient groups, like "FHA & VA," or "CFPB-related policy changes" that lenders implement. So periodically I throw a bunch out there to give readers a sense of miscellaneous trends and developments that might be of use regarding TRID, eNotes, documentation, whatever.
Citibank has reviewed and updated its group of TILA / RESPA Integrated Disclosure Rule (TRID) best practice documents. The number of documents has been reduced to 3. One specific to the Loan Estimate (CL310), one specific to the Closing Disclosure (CL311) and the last covering general TRID-related topics (CL312). All three documents are available now on Agentsite.com, in the Quality Tools section under TILA/RESPA Integrated Disclosure Rule (TRID).
California's Mountain West Financial has newly re-designed E-Sign Portal that is smart-device friendly. Mountain West Financial has newly re-designed E-Sign Portal that is smart-device friendly.
Banc of California has launched new guidelines with enhancements to its Alternative Documentation products. There is a new option when using Business Bank Statements to qualify; use 50% of gross business related deposits. Reduced qualified assets from 1MM to 500k so you can utilize the program for more borrowers: take the net qualified assets and divide by 84 months and that's your income. It is only requiring 1-yr tax returns for a self-employed borrower. And there are 3 options for qualifying Foreign Nationals.
Sun West Mortgage Company, Inc. has a new a new mortgage processing portal, SeeMyLoanStatus, making the mortgage process easier and faster. This portal is replacing its Resolve Conditions Page.
Effective as of April 21st, and in conjunction with the rollout of the new E-Sign Portal, MWF will no longer require borrowers to ink sign specific initial disclosures. Borrower will have 10 calendar days from the date issued to electronically sign the initial disclosure package. However, once the 10 calendar days have elapsed, the borrower must ink sign the disclosures and the broker will upload through BOLT via the Borrower Signed Disclosures link.
Effective retroactively for loans with commitments dated on and after March 1, 2017, AmeriHome is implementing a new Early Payment Default (EPD) policy.
Fifth Third Correspondent Lending news bulletin posted information regarding other inspections (e.g. mechanical/HVAC or any specified inspections that would have impact on the safety, structural integrity, mechanical systems or habitability) are required when the sales contract requires or when appraiser recommends inspection. If the sales contract reflects inspection(s) but borrower opted not to complete, a LOX from the borrower stating inspection(s) were not completed would be acceptable to document the inspection(s) were waived. Note: Addendums to a purchase contract are considered an extension to the contract. Addendums that remove contingencies for the inspection(s) are accepted as part of the sales contract provided the addendum does not state the inspection(s) were indeed completed or address repair issues.
PRMG Mortgage is now offering the TCF HELOC to its Wholesale Originations when using one of PRMG's First Trust Deed Products. Find out details in its Product Profile updates.
Two appraisals are now required only when the combined amount of the first mortgage and any Fifth Third subordinated lien on the subject property is > $2MM instead of $1MM. Subordinate financing held with a lender other than Fifth Third is excluded from the total amount of combined liens. For transactions involving a HELOC, the high credit limit must be used to calculate the combined loan amount.
Citibank is introducing 2 new options for identifying the final Closing Disclosure (CD)* for transactions in escrow states. Additional identification methods have been developed to aid in maximizing your process efficiency as well as reducing file suspense during review of critical documents. *The term "final CD" references the CD used for disbursement.
The USDA 2017 Income Limits for the Single Family Guaranteed Loan Program were published on May 17, 2017 through a special Procedure Notice (PN). The Guaranteed Underwriting System (GUS) and the Income Eligibility calculator in the Eligibility website have been updated to use the new income limits.
Per the Mountain West Financial bulletin, effective immediately, the fee for the borrower's CalHFA Homebuyer one-on-one Counseling session and Homebuyer Education Class must be disclosed. The fee for this borrower-paid service will auto populate in its "Services You Cannot Shop For" section in BOLT.
PRMG's Resource Center in FastTrac has been updated with the following changes: Appraisal forms (Wholesale), Updated Condo Review FAQs, updated Condo-PUD warrant form, additions to Jumbo, Niche and Second Mortgage Products forms and information (Wholesale), as well as additions to its Bond/Housing Authority/DPA Products (Retail).
Brokers, did you know that Angel Oak Mortgage Solutions now offers Lender Paid Comp.?
Mountain West Financial has made several enhancements to BOLT designed to streamline workflow and improve the processes. For instance, after logging in, the BOLT Dashboard will display. This area contains links to several useful documents, including: How To's, Product Guidelines and other reference materials.
In other news, HUD's budget is out, and here is reporter Lorraine Woellert's take on it.
Capital markets
While the turmoil, and forecast losses, continues with commercial real estate (mostly involving malls with stores like Sears - is the mall model dead?), things are relatively quiet in residential real estate. Maybe it is a holiday week for many - things are slow volume-wise and price movement-wise. The 10-year yield, for example, moved less than 2 basis points all day and closed at 2.25% - very close to where we began the day.
Scheduled news today consists of the Philadelphia Fed's nonmanufacturing indices for May (slipping to 25.6), the Redbook Same-Store Sales Index, new home sales for April, and the Richmond Fed's manufacturing and services revenues indices. We start Tuesday with the 10-year yielding 2.25% and agency MBS prices nearly unchanged from last night.
Trainings and Events
The California MBA says, "Don't miss the May 25th Mortgage Quality & Compliance Committee (MQAC) webinar on the new HMDA rules, featuring Rosalyn Hardy, President & CEO of QCP Systems, Inc."
Save the date: Leading industry experts will gather to discuss the current state of the mortgage industry at the New England Mortgage Leadership Roundtable on June 14, 2017 at the Granite Links Golf Course in Quincy, MA. The free event is being hosted by National MI. Speakers will include: Sam Luna, the Single Family Affordable Lending director at Freddie Mac, Julie Jones, credit risk analyst at Fannie Mae, Allan Weiss, CEO of Weiss Residential Research, LLC, a publisher of next-generation home price analytics, Cultural Outreach Solutions Founder Kristin Messerli, and Gene O'Bryan, CEO of Solutions Lending Services. To register for the roundtable, contact Tracy Berry.
Do not forget to register for the Originator Connect conference in Las Vegas the August 18-20th at Planet. This 3-day event will motivate originators, drive your business forward with new tools, and energize and educate on ways to propel volume to new heights. Be sure to note that The Young Mortgage Professionals (YMPA) is sponsoring and exhibiting as well as hosting a millennial educational panel and a working lunch roundtable session.
Join Fannie Mae a new webinar in the Servicer Learning Series, hosted by the Servicer Support Center. Discussion includes recent Servicing Guide announcements, Flex Modification program highlights, SMDUTM user interface features, and how to use Fannie Mae ConnectTM to advance Simplifying ServicingTM efforts. This webinar, scheduled for June 7, is recommended for general servicing, collections, foreclosure, default prevention, investor reporting, audit, and compliance personnel. Register here to take advantage of this opportunity.
Jobs and Announcements
For LOs searching for an all-in-one system for loan tracking & communication, "Here is why organizations are going with Unify: 'Unify has the core system, functionality and expansions covered. The real-time data is one of the best features of the system that we utilize and the mobile application will make the loan officer's life on the road easier- we are already using the online mobile website today. Unify integrates with the LOS, is synced with the MLS and is continuing to grow with technology, which is a must for us. We love the marketing, branding and co-branding that helps us streamline our communication in one centralized place and the compliance piece is covered, which is extremely important. Customer Service can always be reached at any time with questions or additions we want for the system.' Patrick Gardner, EVP, WashingtonFirst Mortgage. To learn more, Schedule a DEMO today or contact Scott Benson (651-288-7510).
"Following a first quarter in which Angel Oak Mortgage Solutions added 12 new Account Executives, management is continuing their aggressive growth by becoming licensed in Rhode Island, launching a correspondent channel and adding 5 new AEs to help brokers grow their business. In April, Lisa Lee came on board in Salt Lake City along with Mike Wilson in San Diego. May brought Stacy Eads in Birmingham, Chris Farruggio in Phoenix and Tricia James in Orange County, California. And management is not done as they continue to hire additional Wholesale Account Executives across the country as well as underwriters and other operations positions in the Atlanta headquarters. Come build your career with the nation's top Non-QM lender by emailing careers@angeloakms.com to start the conversation or watch this clip from their Mortgage News Network's Top Mortgage Employer's interview on what it's like to work for Angel Oak.
Sierra Pacific Mortgage is looking to expand its Wholesale and Correspondent Lending Divisions by aggressively seeking talented account executives nationwide. The 30-year old lender recently experienced a record year as well as significant growth with their QM and Non-QM Products. Sierra Pacific focuses on providing customers a variety of loan options. It's a national approved Fannie Mae/Ginnie Mae Issuer; approved by HUD; an FHA approved lending institution; approved for VA; and approved by USDA. If you are interested in joining the wholesale and/or correspondent sales team or becoming an approved seller, please contact Sierra Pacific today.
And for an Ops/Business Analyst role, "MorVest Capital is growing rapidly and needs to add a talented new team member! Morvest focuses on all things MSR, including brokerage, analytics and is a market leader in MSR financing. The successful candidate will wear many hats including MSR mark-to-market analysis, MSR collateral analysis, credit underwriting and credit monitoring, development of forecasting models to assist with debt placements and more. This new hire must have a strong analytical and problem solving aptitude along with an advanced Excel, Access and SQL Server skill set. Previous direct experience with MSR valuation a major plus. Undergraduate and/or advanced degree in business preferred, and not less than 5 years of direct mortgage industry experience. Qualified candidates should submit resumes to the Company's analytics director John Sullivan."
Congrats to Cameron W. Petrie who was recently hired as SVP, Mortgage Sales Manager at Homeowners Mortgage Enterprises, Inc. (HME) headquartered in Columbia, SC. Cameron brings 20 years of mortgage banking experience with a history of quality production, customer engagement, vision, and proven sales results. Cameron has been tasked with growing the third-party origination channel (TPO) both wholesale and mini-correspondent in addition to retail mortgage business at HME. If you are an experienced Retail loan officer in the Southeast or TPO- Wholesale/Mini-Correspondent AE and have the desire to be part of a results oriented team that is focused on growth and customer service, please contact Cameron W. Petrie. We offer a competitive compensation structure and benefit plans. HME is an equal opportunity employer committed to creating a diverse workforce. We consider all qualified applicants for employment without regard to race, religion, color, sex, national origin, age, disability or veteran status, or any other legally-protected factors.
Habitat for Humanity Texas seeks a Consumer Finance Officer. This entrepreneurial person will plan and implement a mortgage origination program to guide affiliates through the entire homebuyer recruitment and selection process under all CFPB rules and laws and the policies of Habitat for Humanity International. Other duties may include financial administration at Habitat Texas and technical support services. An ability to teach others, including Train the Trainer classes, in mortgages and financial literacy is a must. Additional duties will be to secure governmental funding on behalf of affiliates, creating a sustainable program within one year. Habitat Texas does not build homes, but supports local affiliates by providing resources, training, and legislative advocacy. Habitat Texas is a small arm of the Habitat family, with a fun, team-spirited atmosphere where employees are Mission Driven, People Oriented, Results Focused, with a desire to Personally Develop. Preferred: NMLS Licensed Loan Originator; HUD or TSAHC Certified Housing Counselor; Experience with government homeownership funding.