Upcoming Conferences and Training; Conventional Conforming Changes: Part Two

“Employee engagement is a hot topic for organizations big and small. Regardless of size, a highly engaged workforce is a company’s greatest asset and can be a determining factor in how successful the company is. But the only reliable way to measure engagement is through an employee survey.” Here are the top five employee engagement survey mistakes, per Clark Schaefer Hackett.

Part 2 of Recent News. Stay Tuned for Part 3.

Should the mortgage market be supported by shareholder-owned utilities with regulated rates of return and an explicit government guarantee of mortgage bonds? That’s the current feeling of the FHFA, which oversees Fannie & Freddie.

New reimbursement criteria have been established for servicer expenses related to foreclosure attorney fees and sale publication costs, property inspections, legal sales tax, and non-recoverable advances. Additionally, line items have been updated in Fannie Mae’s LoanSphere Invoicing. For criteria details, review the updated Servicer Expense Reimbursement Job Aid. Refer to the Reimbursement Updates Notification for detailed line item updates and the LoanSphere Line Items Job Aid for a list of all servicer expense categories and subcategories for conventional loans that are available in LoanSphere Invoicing.

Freddie Mac is extending the February 9, 2018, effective date for the revised rental income requirements announced in Single-Family Seller/Servicer Guide Bulletin 2017-12. The revised requirements will now be effective for mortgages with Freddie Mac settlement dates on and after November 30, 2018. Also, Seller/Servicers should note that approved mortgage insurance (MI) companies will issue new MI master policies later this year that will reflect the revised rescission relief principles Freddie Mac and Fannie Mae are mandating.

In continued support of the victims of Hurricanes Irma and Maria, Fannie Mae has extended the suspension of all foreclosure sales for mortgages secured by properties in Puerto Rico and the U.S. Virgin Islands located in FEMA-declared disaster areas because of these storms, through Mar. 31, 2018. This change is effective immediately. Review Lender Letter LL-2017-11, Temporary Suspension of Foreclosure Sales in Puerto Rico and the U.S. Virgin Islands, for details.

SunTrust Correspondent Fannie Mae Announcement SEL-2017-10 announced changes for Texas 50(a)(6) first mortgages, resulting from recently approved amendments to the Texas Constitution affecting home equity lending. “In response to these changes, SunTrust Mortgage reviewed the impacted guidelines and identified opportunities to more closely align with Fannie Mae requirements. Additionally, in support of our guideline improvement initiative, we reviewed our guidelines in their entirety and identified opportunities to refresh our guidelines to more closely reflect the Agencies’ language and/or presentation of guidance.”

Capital Markets

Mortgage rates, along with longer-term Treasury note and bond yields, are determined by supply and demand. Plans to double the supply of US government bonds may cause demand to be temporarily outpaced by supply, and lead to adverse effects such as wider credit spreads and falls in the dollar and stock market. Other market watchers do not share this view, of course, pointing instead to numerous bullish indicators, including significant retail appetite for bonds.

There were plenty of headlines concerning the potential government shutdown and a temporary stop-gap funding bill, the fourth for fiscal year 2018, on Wednesday and the 10-year Treasury note ended the day yielding 2.57 percent. While the markets did appear to react somewhat to these, there were also other technical trading forces at play including an uptick in supply, a small FedTrade Operation and resistance at the 2.52 percent level and ensuing trades. Some days these technical movements drive the direction of the markets in lieu of fundamental data and news.

As for the news, the MBA started the day reporting that purchase mortgage applications increased by a seasonally adjusted 3 percent from the prior week and refinance applications increased 4 percent, despite the rate for a 30-year fixed-rate mortgage increasing to its highest level in March 2017. Rebook reported that month-to-date sales in January vs. December were down 0.3 percent. Industrial production increased 0.9 percent in December and the annual increase for 2017 is the largest calendar-year gain since 2010. The NAHB Housing Market Index fell, as expected, to 72 in January from its 19-year high of 74 in December, but still suggesting that the housing market will continue to accelerate this year.

Today’s scheduled data included housing starts and permits (-8.2%, -.1%, unexpectedly weak) initial jobless claims (surprisingly -41k to 220k, a 44-year low!) and the January Philadelphia Fed (22.2, lower than forecast). After the initial strong volley of numbers, we find the 10-year T-Note yielding 2.61% and agency MBS prices worse .125-.250 versus Wednesday’s close.

Upcoming Events and Training

Fully compliant, paperless e-closings for Calyx customers! DocMagic’s Director of eServices, Tim Anderson, will show you how to advance your mortgage process into the digital world to maximize your profits and deliver a superior customer experience at CalyxVision.  February 11-14. Is your process faster, simpler and more convenient to meet customer expectations? Equifax’s Sr. Director of Product Management, Nathan Bruser, will show you how data insights can help you attract and serve borrowers as their expectations continue to rise. Stay competitive in a contracting mortgage market. Don’t delay. Receive 50% off your CalyxVision registration using discount code 50CV18. Register today!

There is just one month left to register for the Lenders One 2018 Winter Conference in Scottsdale, Arizona, March 4-7 at The Westin Kierland Resort & Spa. This year’s conference theme, Visualize, will hone in on the data and technology we see for the future of our industry and feature keynote speaker Jer Thorp, a thought leader focused on making data more human. For this members-only event, Lenders One has curated 24 education sessions led by industry experts, including two Secondary Market panels that I will be moderating as well as hot topics like blockchain, leading in a down market, digitizing ops and the latest in housing policy. Touted as the most valuable part of conference, Lenders One has expanded networking opportunities for guests to connect with peers and explore best practices. Reserve your spot by February 12, or contact Lauren Ketchum to learn more about becoming a member.

“Get in the know on VA financing! American Pacific Mortgage’s VA Boot Camp gives you the perfect opportunity to become informed, inspired, and educated about the unmatched benefits of VA home loans allowing you to better serve the VA community. You will hear directly from APM’s Jeff Wilson, who is considered a national expert on the VA Loan Guaranty program having served for over 27 years with the Department of Veterans Affairs. In this interactive session, Jeff will dispel some of the common myths about VA financing. Michael Pankow, EVP of National Production, a Veteran himself, states, “We are excited to bring this level of education and expertise to the market to allow the real estate community to better serve our Veterans.” The first event is scheduled for Bellevue, Washington on January 22, and travels to 10 different cities. Click here to find and register for an event near you.”

AmeriHome’s underwriting management team will be providing a Core Jumbo Underwriting Webinar on multiple dates in January. In this webinar we will: Discuss the latest changes to the Core Jumbo Program Guide. Review Core Jumbo guidelines. Provide best practices for underwriting Core Jumbo loan transactions. Note: Core Jumbo program underwriting is fully delegated. Friday, January 19th – 1:00 p.m. PST. Monday, January 22nd – 9:30 a.m. PST. Tuesday, January 23rd – 2:00 p.m. PST

Join the California MBA Mortgage Technology and Marketing Committee (MTAM) on January 19 for a fast-paced presentation covering everything from how to gain a competitive edge with cybersecurity as a trust-builder to how to develop trust-building marketing messages to the public, your clients, and your staff. Presented by Raymond Hutchins and Mitch Tanenbaum of CyberCecurity and John Seroka of Seroka Brand Development.

Learn how to use the 1003 as a roadmap to gather, review and verify required documentation, prepare the Loan Application for Underwriting and utilize Arch MI resources to assist your loan processing review. Register for Plaza’s webinar on Monday, January 22nd.

The deadline for implementation of FINRA Rule 4210, a new rule that establishes margin requirements for Covered Agency Transactions, is fast approaching. To help mortgage bankers prepare, Incenter is hosting a workshop for attendees of the MBA Independent Mortgage Bankers Conference, taking place next week (January 22-25).  In addition to understanding compliance requirements, participants will also explore how the new margin rules will interact with their pipeline and MSR hedging strategies, as well as develop innovative responses to the rules that also improve their bottom line. The session will take place on Wednesday, January 24 at 1:30 p.m. ET in the Talbot Ballroom D at the Ritz-Carlton, Amelia Island. For more information on the session or to schedule a meeting, contact Al Qureshi (651) 412-2044 or Jason Blair (651) 412-2017.

President Trump signed the Republican tax reform bill, which includes the most significant changes to corporate tax law since 1986. CliftonLarsonAllen is providing a webinar on February 8th at 8AM PT. This webinar with provide an overview of the new legislation and what these changes mean for your financial institution. It will also outline tax planning opportunities for institutions to consider in 2018.

Employment, Products, Servicing for Sale

“After 17 years of organic growth Fidelity Bancorp Funding is expanding and looking to hire and develop Residential and Commercial Loan Officers in its Orange County office. Fidelity’s platform has no peers with income opportunities in not only single family, but also multi-family, commercial, SBA and Bridge. Imagine doing one loan that leads to 1-2 others. Imagine being able to meet with a client and offer options for their entire real estate portfolio. Imagine being able to offer a bridge loan that allows the buyer to buy with no contingencies to compete with all cash offers. Imagine having recent college graduates being trained specifically to work with you to provide support and earn fee income as well. Fidelity thinks outside of the box… Is it time for you to consider your career options and consider joining a company that offers more?  If you’re interested in learning more, please contact our VP of Business Development Bobby Rizzo or 714-908-5119.”

MIAC’s capital markets group is pleased to announce its exclusive offering of ~$70mm reperforming residential whole loans. The collateral consists of >75% modified loans, ~12 months performing, average UPB of ~$230k. Bids are due Monday January 29th. Interested parties should contact their MIAC sales representative at 212-233-1250 or Steve Harris for additional information.

Floify, the mortgage automation and point-of-sale app for top-producing LOs, has kicked off the new year by investing heavily in optimizing its popular platform for on-the-go borrowers who crave the ultimate mobile mortgage experience. Floify’s fully redesigned and responsive borrower-facing interface means their home buying process is about to get a lot more enjoyable. Additional aesthetic changes to Floify are planned throughout 2018, with the grand finale being a completely redesigned 1003 loan application, inspired by feedback from industry veterans and top producers. To check out Floify’s newest improvements, and get the inside scoop on upcoming changes, request a live demo. If you’re already excited about the future of Floify and how their current and future enhancements will positively impact your mortgage business, then get started with a free trial, plus 25% OFF your first 4 months.

Radian is currently adding to its Georgia sales team and is seeking a Senior Account Manager in the Atlanta area! Interested candidates will be responsible for maintaining and growing existing accounts, developing and implementing strategies and initiatives to achieve NIW growth objectives, and building on and ensuring customer loyalty. Qualified candidates will have 3+ years of sales experience, preferably within the mortgage industry. This is a great opportunity to put your industry knowledge to work for one of the top mortgage insurers in the country! Please apply directly on our Radian Careers page.

“The Money Source Inc. (TMS), a national financial services and mortgage company, announced it launched a companywide initiative to grow happiness, encouraging employees to give back to their local communities. to send you the second part to our launch as a heads up since it went out today. It’s on the lighter side, but it comes with a reflective video if you think it’s shareable or newsworthy in any way for the commentary. Here’s a link to the video.”