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How time flies … it has been 90 days since I became FAMP President. When I was installed, my theme was “The Year of the Member.” At that time, I set three goals for the year:
 
1) Offer tools to educate the consumer and the mortgage loan originator;
2) To advocate on behalf of all Floridians in Tallahassee; and
3) To enhance member benefits and grow our membership.
 
I am happy to say that FAMP is off to a great start in accomplishing these goals. Below is a recap of our accomplishments since August …
 
Starting Nov. 1, 2017, your Florida Association of Mortgage Professionals contracted with a new management company, NAMB Association Services. This company has the ability to uniquely address tasks and administrative services associated with the needs of the membership and the mortgage industry.
 
In October, 2017, the FAMP Board voted to migrate our current membership management platform to a new, more interactive and user-friendly site. Currently, the MyFAMP.org Web site is being retooled to provide members with relevant services and events not only for our Florida Chapters, but also nationwide.
 
FAMP has also taken steps to “re-brand” in order to enhance our professional image. Look for a brand new logo, updated advertising and more by January of 2018.
 
In an effort to provide resources and tools to our members that are readily accessible, FAMP held its first in a series of Webinars in November, 2017. The association joined with Class Appraisal to present the Webinar titled, “Appraisal 101: AMCs and Accurate Reconsiderations.” Look for additional Webinars covering topics such as the required Anti-Money Laundering Training and revisions made to the FAR/BAR contract and how they can affect your mortgage transaction.
 
Lastly, FAMP has moved their corporate office to a new location in Tallahassee. We are now located closer to the capitol building and the hub of state legislative activities. Our new office address is 113 South Monroe Street, 1st Floor, Tallahassee, FL 32301. Our telephone number, (850) 942-6411, remains the same.
 
For those of you who are members, we thank you for your membership and for supporting YOUR FAMP. And, if you are not a member, please click the link below and join us. FAMP’s future is bright and we look forward to you being a part of the exciting times we have ahead of us!
 
Click here to join ...
Kimber White, CRMS is President of the Florida Association of Mortgage Professionals. He may be reached by phone at (954) 306-3500 or e-mail President@MyFAMP.org.

 

"You take the Blue Pill, the story ends. You wake up in your bed and believe whatever you want to believe. You take the Red Pill, you stay in Wonderland, and I show you how deep the rabbit hole goes."–Morpheus"You take the Blue Pill, the story ends. You wake up in your bed and believe whatever you want to believe. You take the Red Pill, you stay in Wonderland, and I show you how deep the rabbit hole goes."–Morpheus

Since 2009, I’ve been writing about an important industry topic where I predict the future of the residential mortgage market, primarily pertaining to the wholesale lending channel. I believe this is the most important message anyone can share in our industry, and I feel responsible to do so from what I know. As I’ve said before, when reading this, please keep an open mind and clear your head rather than quickly getting defensive if you are employed by one retail lender. Just think about competition a little harder using common sense. I believe everything I share here are facts supported by math and unwavering statistical data. This message simply needs to be heard by Mortgage Loan Originators who are influenced by the special interests of one retail lender.
 
So what is “The Mortgage Matrix?” In 2008, following the mortgage meltdown, retail and correspondent lenders (of all kinds) across the nation jumped on the opportunity to influence Independent Mortgage Loan Originators to feed their direct revenue streams. The goal was to build walls, influence by fear, and create a false reality that embraces originator ignorance to retain loan volume. This monopolizing behavior allowed lenders to more easily recruit and directly employ Mortgage Loan Originators in the retail space. If they did not succeed, they would have to continue to compete for business with less margin and control. When mortgage professionals lose their independence, it forces the consumer (their client) to be steered toward one lender which was the objective.
 
This simulated new of world of dependent originators with revolving resumes steering one lender is called “The Mortgage Matrix.” Retail lenders have invested millions to harvest and manipulate the minds of thousands of Mortgage Loan Originators across the country and they have ‘aggressively’ succeeded at our own fault. What’s worse is that those inside The Matrix all believe their employers (at any given time) are superior, yet they are inside an inferior simulated bubble compared to real life independent origination. When you think you know something you do not know, it becomes a dangerous combination of ignorance and arrogance. This is a huge issue for our industry when good originators do not seek self-education. More importantly, it’s very bad for the consumers they are meant to serve.
 
People inside The Matrix understandably refuse to believe it exists. They jump from company to company, selling the message they are told to from the lender that influences them at the time. Listen, there are some great companies that have good people and cultures. Don’t get me wrong as this is not to come across negative, but when originators steer a borrower and lender competition is absent, the ethical foundation is broken. They (again, many are good originators making bad decisions) are accountable. The ‘best’ lender for each unique scenario can only be uncovered through competition and choice, without exception. Iron sharpens iron and the changes our industry faces are often and significant. Steering is never an acceptable practice under the special interests and manipulation inside The Mortgage Matrix.
 
Retail origination is fictitious selling when wholesale origination is factual telling. Leave retail to the new, temporary or call center-type originators. Independence is for the experienced, local, career-minded experts. There was a healthy time when Mortgage Loan Originators had control and independent origination dominated the market. The good news is we see this behavior growing again in wholesale market share. Mortgage Brokers are gaining in numbers, but we need a bigger movement to take back the unhealthy volume seen in the retail channel. We, as originators, shape the future. Residential mortgage lenders must earn our business by competition and execution, not manipulation and expectation.
 
Warning: Those who created The Mortgage Matrix and all the non-producing managers will do all in their power to keep you influenced and controlled by it. So, how does one know if they are inside The Mortgage Matrix? Here are a few signs you may not see:
 
Inside the Mortgage Matrix (Dependent Mortgage Bankers)
►Since 2008, you have several (retail/correspondent) mortgage employers on your resume. You have unknowingly embraced and sold all kinds of their senseless motivational drivel as if you’re a robot they’ve created.
►You are motivated by short-term dissolving incentives versus long-term prosperity, being stuck in an entry-level position (although you may not see it).
►You actually believe you have more control over the mortgage process than Independent Mortgage Brokers, which is the opposite of reality.
►You are influenced somewhat easily, without seeking exterior self-education and are informed only by your interior influences at any given time.
►You’ve spent a lot of time on marketing your business and getting referrals which is great, but you have spent little to no time in industry-specific knowledge and education relating to federal regulations, origination channel changes, and the significant changes from resources outside of your company.
►Your employer controls your rate sheet. Retail and correspondent lenders significantly manipulate SRP (Service Release Premium), and you will never have clarity on margin. You steer your clients to these higher rates and fees as you repudiate facts through the inability to understand or compare.
►You believe you have a really good team and customer service, but don’t realize that is the rule today, not the exception. All must be excellent, but your foundation is broken inside The Matrix and must be fixed.
►You think you can still broker loans effectively. If you’re employed by the lender, you cannot with manipulation on margins and sending to odd program investors.
►You are unable to comply with anti-steering or fair lending (in my opinion), as The Mortgage Matrix specifically forces violating both without independence.
►You confuse marketing ‘experts’ as compliance experts, which they are not.
►You have a sense of narcissism toward Mortgage Brokers due to your defensive nature of not understanding the channel today. You are stuck with assuming it was the Mortgage Broker of the past, which it is not, or you have no experience at all with independent origination.
►Your employer provides a nice office with bells and whistles. Great meetings, motivational speakers and all kinds of perks. These shiny objects are available as an independent as well, but they are provided by your employer to influence you away from outside resources.
►You believe you can close your loans faster than Independent Mortgage Brokers and you believe your co-workers are more experienced (sorry, I threw up a little in my mouth when typing this).
►You believe that you are a direct lender and sell this term, along with in-house underwriting as if they are accurate or a benefit in which they are not.
 
What are the signs of those outside of The Mortgage Matrix? This is the small, yet growing and thriving, independent sector of the primary mortgage market:
 
Outside the Mortgage Matrix (Independent Mortgage Brokers)
►You embrace competition and put your clients before one lender, which gives you control.
►You are aware the wholesale lending channel is the best it has been in history, with banks and non-banks performing at service and speed levels never seen before.
►You have a consistent resume and foundation through lender choice. If you need to make a switch, you simply click a mouse versus changing your employer and sending the dreaded “I’ve Moved” (again) message to your database and referral partners.
►You have access to market-leading technology, speed, software, pricing and processes quicker and easier through choice and competition.
►You understand all channels are third-party to the agencies and investors that buy, insure or guarantee residential mortgage loans. As a result, you don’t use or sell false titles, even if more direct to the agencies than self-proclaimed ‘direct’ lenders.
►You understand wholesale offers the greatest benefit to your clients, with access to the most innovative programs and systems without overlays.
►You have a macro view of the entire industry and not just one small micro view as those who are inside The Mortgage Matrix.
►You understand and appreciate that the most experienced people in the industry (your team members in and outside of your company) are in the wholesale mortgage channel where The Matrix does not exist.
►You have access to the lowest rates and fees possible in the country and embrace a universal pricing engine for comparison and choice.
►You are not influenced by pressure from those inside of The Mortgage Matrix, even when nearly 90 percent of the industry is.
 
The longer you wait to get self-educated and embrace independence, the more power and resources you directly feed these retail and correspondent lenders to monopolize. In order to embrace independent origination and see what advantages it can provide you today, you must seek self-education and the truth. Reach out to a reputable local Mortgage Broker in your community or understand what it takes to start your own independent practice if you feel that you are called to be a leader and business owner. Talk with wholesale lenders. Keep a close watch on the technology of the future. Margins will be restricted and the best position is to be nimble and have access to this technology and the best pricing under the independent wholesale origination channel.
 
Mortgage Brokers (Independent Originators embracing choice and competition) need to unite and educate those stuck in The Matrix. We need to help them see what we see and expose retail and correspondent lenders for how they are taking advantage of the primary mortgage market. I call on others to feel this responsibility. We need a healthy balance, and need to expose The Mortgage Matrix for what it is. Our industry can only be corrected by Mortgage Loan Originators changing how and where they send business, and enforcing competition. The consumers we serve will be much better for it. The best of the best will rise to the top by earning and competing for the business. Independent Mortgage Originators must come together and focus on building and growing the wholesale lending channel.
 
I’ll leave you with this … there are great Mortgage Loan Originators stuck in The Mortgage Matrix. That is what frustrates me so much personally. They don’t realize what they are doing not just to their clients, but to their careers. The band Muse released a single called “Uprising” in 2009 (amazing coincidence with the year it was released). When asked what it was about, lead singer Matt Bellamy explained: “I wanted to write a song that summed up that feeling like you’ve been done over by people you’re supposed to trust.” You may feel this way after stepping outside of The Matrix as I do, but when you open up that third eye you’ll be amazed by what you’ve been missing.
 
Muse-Uprising
The paranoia is in bloom, the P-R
Transmissions will resume
They'll try to push drugs
That keep us all dumbed down and hope that
We will never see the truth around
(So come on)
 
Another promise, another scene,
Another package lie to keep us trapped in greed
With all the green belts wrapped around our minds
And endless red tape to keep the truth confined
(So come on)
 
They will not force us
They will stop degrading us
They will not control us
We will be victorious 
(So come on)
 
Interchanging mind control
Come let the revolution take its toll if you could
Flick a switch and open your third eye, you'd see that
We should never be afraid to die
(So come on)
 
Rise up and take the power back, it's time that
The fat cats had a heart attack, you know that
Their time is coming to an end
We have to unify and watch our flag ascend
(So come on)
 
They will not force us
They will stop degrading us
They will not control us
We will be victorious
(So come on)
 

The choice is yours. What will you do? 
The views expressed in this article are those of the author alone and do not necessarily reflect the views or policies of the author’s employer or any organization with which the author may be affiliated. 
Andy W. Harris, CRMS is President and Owner of Lake Oswego, Ore.-based Vantage Mortgage Group Inc. and Past President of the Oregon Association of Mortgage Professionals. He may be reached by phone at (877) 496-0431, e-mail AHarris@VantageMortgageGroup.com or visit VantageMortgageGroup.com.

This article originally appeared in the November 2017 print edition of National Mortgage Professional Magazine.

 

Utah Association of Mortgage Professionals (UAMP)
President, Utah Association of Mortgage ProfessionalsTrent Hendry is a Vice President and Escrow Officer at Salt Lake City-based Mountain View Title and President of the Utah Association of Mortgage Professionals (UAMP). National Mortgage Professional Magazine recently spoke with him regarding his work with this association.
 
How did you get involved with the UAMP? What was the track that led you to the association’s leadership role?
I got involved to serve and help out my fellow mortgage people. I began serving on the UAMP Board in 2013, and became President because they asked me serve. I was flattered that they would regard me so highly and I gladly accepted the appointment.
 
Why should mortgage professionals in Utah join UAMP?
UAMP helps our mortgage originators get the necessary education needed to be better loan officers. This includes the NMLS continuing education requirement for licensing, as well as other educational topics to improve their marketing and ability to close loans. On the advocacy side, legislation is a big part of what we do. We work in the state capital to keep an eye on the legislature, while giving a voice to the mortgage industry. We help protect consumers and make the lives of the originators a little easier. We have Capital Day, where many UAMP members gather and talk about current legislation and issues that we feel need to be dealt with. We also work on a national level, going to Washington, D.C. for the Annual Legislative & Regulatory Conference.
 
Utah Association of Mortgage Professionals (UAMP)How many members are currently in the UAMP?
We currently have about 70 members. We started the year with 50 members, and we are projecting to have 120 by the end of the year.
 
There was recently a bit of drama involving your Annual Expo. What was the story behind that?
Our Annual Expo is our biggest event of the year. This year, a company came into the state and held a similar expo. It did created some confusion initially, but in the end our Board was able to work hard to clear up the confusion and we had a great Expo, one of our best attended Expos ever. In fact, we have one of the best attended Expos in the nation here thanks to the great mortgage people in our state.  We are lucky to have a lot of amazing mortgage experts in our state.
 
What is the UAMP’s relationship with NAMB?
We are the state affiliate for the national association, NAMB. When people become members of UAMP, they are automatically enrolled as a member with NAMB. We feel it is equally important because NAMB is a big part of what we can do on a legislative front in Washington, D.C. There is power in numbers, and NAMB provides that amongst many other benefits for our local members.
 
In other parts of the country, there is concern that not enough young people are coming into the industry. Is that a problem in Utah?
It was from 2008-2012. I’ve seen a little bit of an increase over the last year or two. I think the Millennial generation may have been scared off during the recession, but now we see more young people come in, not only as originators, but also in the title insurance sector where I work as well on the Realtor side. It is exciting to see their enthusiasm for our great industry.
 
What is the state of the Utah housing market?
Booming. It is extremely busy. But we are dealing with a supply and demand issue–there is a lot of competition, and offers are being accepted in record times.
Phil Hall is Managing Editor of National Mortgage Professional Magazine. He may be reached by e-mail at PhilH@MortgageNewsNetwork.com.
 
John Forsythe is a Regional Vice President at Portland, Ore.-based Plaza Home Mortgage and recently concluded his term as President of the Oregon Mortgage Association (OMA)
John Forsythe is a Regional Vice President at Portland, Ore.-based Plaza Home Mortgage John Forsythe is a Regional Vice President at Portland, Ore.-based Plaza Home Mortgage and recently concluded his term as President of the Oregon Mortgage Association (OMA). National Mortgage Professional Magazine recently spoke with him regarding his work with this trade group.
 

How did you join the Oregon Mortgage Association (OMA)? What was the track that led you to your leadership role?
My path began as a member of the Portland Chapter of OMA. I joined because they believe in doing business in an ethical, professional and profitable way, and they put a high standard on the industry. I became a Board Member of the Chapter, and later on, I became Statewide President of OMA in August 2015 for a two-year term.
 
Why would a mortgage professional in your state want to join OMA?
OMA is the best association for someone who wants to gain insight from other professionals. We have member-only events that allow you to network with other like-minded individuals at the highest level. You can talk with top-producing loan originators in our market, and their insight can help you gain knowledge. OMA is also providing NMLS continuing education classes to professionals in the mortgage industry.
 
How many members are currently in the OMA?
We now have about 80 members. In the past, we have had up to 140-plus members.
 
Is OMA actively involved in the legislative and regulatory environment?
We defer to NAMB and follow their lead. NAMB talks to the state of Oregon and, when needed, we jump right in. We do not have our own lobbyist, nor do we pay for a Political Action Committee in Oregon.
 
John Forsythe is a Regional Vice President at Portland, Ore.-based Plaza Home Mortgage What do you see as the association’s most significant achievement?
Within each of our markets, we contribute to local charities. If we do an event–say, a mixer in Bend, Ore.—any money above our expenses goes to a charitable group in that market. These non-profit organizations look up to OMA because we give back to the community.
 
What is your relationship like with other industry trade groups?
We host events with the Oregon Realtors Association. We’ve put on an annual golf tournament in Eugene with them for a number of years. That is a huge event that turns out more than 150 people every year. We also do an annual Toys for Toys with the Eugene Association of Realtors in December, coordinated in conjunction with the U.S. Marines Corps.
 
Do you see young people in your state seeking careers as mortgage professionals?
We do. We have two OMA state Board Members who were recently featured in National Mortgage Professional Magazine’s 40 Under 40. We also have a number of professionals in our organization who are in their mid-20s and mid-30s.
 
Describe the current state of the housing market in Oregon?
It is better than most others. There is a problem: Because of all of the people moving to Oregon, we are seeing inventory drop and prices going through the roof. We see multiple offers from buyers on a property that was only listed for one day. And we have seen prices on houses going up, up, up.

Phil Hall is Managing Editor of National Mortgage Professional Magazine. He may be reached by e-mail at PhilH@MortgageNewsNetwork.com.

The housing market contributes approximately 18 percent of the U.S. GDP. With so much at stake, a recent Treasury report on the U.S. financial system is recommending extensive mortgage lending reforms.
The U.S. Treasury Department states that regulatory requirements have significantly and unnecessarily tightened the credit box for new mortgage originations, denying many qualified Americans access to mortgages. In addition, regulations have significantly increased the cost of origination and servicing activities, which, when passed on to borrowers in the form of higher mortgage rates, have decreased the number of Americans that can qualify for mortgages.
 
Hello HMDA
Included in the mix of industry transformations is the January 2018 deadline to collect much more fine-grained loan data about borrowers and loan costs under the Home Mortgage Disclosure Act (HMDA).
 
The new HMDA rule requires reporting on 48 data fields—including 25 new data fields mandated by the Dodd-Frank Act, as well as fields required by the CFPB under its discretionary authority.
 
Some of the new HMDA fields include:
 
►Age of borrower and credit score
►Combined loan-to-value (CLTV) ratio
►Borrower's debt-to-income (DTI) ratio
►Points and fees
►Discount points
►Lender credits
►Loan term
►Prepayment penalties
►Non-amortizing loan features
►Interest rate
►Rate spread for all loans
 
According to the Mortgage Bankers Association, this new HMDA rule will bring major challenges to the residential mortgage industry, including:
 
►Extensive implementation costs for systems and business process changes immediately on the heels of the implementation of the TILA-RESPA Integrated Disclosure (TRID) rule.
►Privacy and data security concerns, because the new data set contains confidential information—such as credit scores—which if improperly released could cause significant harm to borrowers' claims against lenders, and even undermine homeownership.
►Increased litigation risk. HMDA has been a major source of fair lending claims in the past, and the new data will allow greater analysis of application and loan data to evaluate impacts on protected classes. While HMDA's purpose is to shine light on lending practices, data can be misused to present unfair claims—forcing costly litigation defense, and/or settlements and causing significant reputational harm.
 
FinTech solutions transforming mortgage industry
Burdened by regulations and the need to manage collaborations and communications with dozens of ancillary financial service providers, the mortgage industry needs a reboot!
Fortunately, fintech solutions are evolving to deliver advanced lending process automation. New solutions exist today that simplify and streamline mortgage servicing, such as appraisal, verification services, valuation, flood zone determination and more.
 
First, let’s look at the progression of financial technology platforms.
 
Vendor portal
The stand-alone vendor portal allows for ordering products from an individual loan originator, usually involving just one product, but may include a several mortgage servicing products. Users login to each of their stand-alone vendor portals using a user name and password. This process is difficult to secure from individuals outside your organization when your employees share their user names and passwords.
 
The stand-alone vendor portal generally returns the order fulfillment to the user in the portal to manually use as part of their mortgage servicing and business operational procedures. The financial services provider then sends a monthly invoice to the lender for all orders.
 
Point-of-sale
The next generation of product is the point-of-sale solution, which typically features two or three products with limited event types, such as place order, cancel order and receive order. The point-of-sale solution is typically integrated into a commercial loan origination system (LOS), such as Encompass or LendingQB, usually not requiring the user to login to each vendor’s point-of-sale solution.
 
Basic assembly line
The next generation of product to emerge is the basic assembly-line technology that integrates into the lender’s proprietary loan origination systems. This platform can support a larger variety of product types. The major benefit is the ability to support the lender and mortgage banking operational workflow for higher levels of productivity and processing large numbers of loans in an assembly-line style process.
 
One draw-back with assembly-line technology is that customization and integration with mortgage lenders’ existing systems can be time-consuming and expensive.
 
Lending process automation
The most advanced fintech allows lending process automation, including dashboards that can be customized for banks and mortgage lenders’ needs.
 
By automating the mortgage servicing process, manual inputting errors and redundancies are minimized. Fewer people can do more work. Once information has been captured for a particular loan, subsequent product orders will automatically prefill the forms. Duplicate orders are identified to help lending institutions to contain costs. Banks, credit unions, lenders and financial institutions reduce processing fees and gain greater productivity.
 
Let’s take a closer look at how lending process automation fintech accelerates the mortgage loan process.
 
1. Repetitive and time-consuming tasks will be eliminated.
Mortgage service team members will be freed up to focus on more profitable, higher level work–such as prospecting and communicating with borrowers.
►The fully automated lending process will include background checks, contracting, and legal review through contract e-signed or wet-signed.
►Lenders’ rules and guidelines are stored in the system ensuring mortgage service providers comply with requirements of the banks and financial institutions.
►Electronic capture of all compliance documents, including all policies and procedures, licenses, insurances, bonds, and pertinent plans.
►The automated system minimizes errors, manual inputting and duplication of efforts for superior loan processing speed.
►The streamlined system eliminates charges for reprocessing of orders with errors.
 
For example, when the borrower initiates payment for a property appraisal, the system can automatically schedule the appraisal at the same time, minimizing steps in the process. A typical appraisal can take as long as 60 to 70 days. By automating the process, mortgage lenders could decrease the time to 10 or 15 days and assist in closing more loans.
 
2. Using a modern order management platform, banks, credit unions and all financial institutions involved in mortgage lending, can interface with multiple financial services providers–from appraisal management companies and title providers to employment verification, flood determination and more.
The communications, documentation and each step in the process are saved in the system, including credit verification, automated valuation model, property titles, location maps, photos, comparable property information, inspections and other reports. With all documentation in one easily searchable database, communications between lenders, banks, realtors and financial services providers are simplified, facilitating transactions.
 
3. A dashboard and customized reports on the performance of financial services providers gives mortgage lenders the ability to evaluate the loan process at every milestone.
The dashboard will include metrics offering lenders additional insight into operational performance with alternate options to sequence and time their orders. Armed with this information, financial institutions can make decisions to finalize mortgage loans faster.
 
The system can also conduct compliance checking and invoice reconciliation for lenders, calculating each provider’s monthly invoice, as well as management of the dispute process.
This level of transparency allows banks to take advantage of preferred pricing, volume discounts and better manage contractual terms to control costs.
 
4. The most advanced fintech solutions also provide comprehensive security and redundancy.
Modern architecture should be expandable in AWS with full disaster recovery capabilities. The technology will be stable, reliable and easy to integrate into existing systems. With advanced protection against attack and intrusion the platform should include advanced denial of service (DoS) safeguards built into its architecture.
 
In an industry facing expanded regulations, smart mortgage lenders and financial services providers are exploring fintech solutions to maintain a competitive advantage. Lending process automation simplifies communications and order management and speeds loan completion, while managing transaction costs. Savvy financial institutions that embrace the most advanced fintech solutions offering comprehensive mortgage lending process automation will be more productive, profitable and offer enhanced customer service.

James V. Luisi is Chief Information Officer/Chief Technology Officer of KeyStoneB2BJames V. Luisi is Chief Information Officer/Chief Technology Officer of KeyStoneB2B. He has more than 30 years of experience in business and IT focused on integrating diverse systems to best serve customers, shareholders, business and IT stakeholders. For more information, visit KeyStoneB2B.us.
This article originally apeared in the September 2017 print edition of National Mortgage Professional Magazine.

 
A graduate of the University of Delaware and nationally-recognized 34-year mortgage industry professional, Michael Borodinsky has funded more than $4 billion in residential mortgage loans to 12,000-plus customers over the course of his careerMichael Borodinsky
Facebook: Facebook.com/MikeBorodinsky
LinkedIn: LinkedIn.com/in/MichaelNewHomeMortgage
Twitter: @MikeBorodinsky
Web site: MichaelNewHomeMortgage.com

A graduate of the University of Delaware and nationally-recognized 34-year mortgage industry professional, Michael Borodinsky has funded more than $4 billion in residential mortgage loans to 12,000-plus customers over the course of his career. He has been honored as the top producing loan officer at Bank of America, Wells Fargo, MetLife, Sun Home Loans and at Caliber. He has been awarded the 5 Star Professional Designation, which honors the best mortgage lending officers via customer service rankings for the past five years. He has been ranked amongst the top originating loan officers nationwide for the past 15 years.

Kevin Brungardt serves as Chairman and Chief Executive Officer of RoundPoint Mortgage Servicing CorporationKevin Brungardt
LinkedIn: LinkedIn.com/in/KevinBrungardt

Kevin Brungardt serves as Chairman and Chief Executive Officer of RoundPoint Mortgage Servicing Corporation. He has more than 22 years of broad executive leadership experience.
 
 
 
 

Katrina Cole is the Business Development Manager for the Grand Rapids, Mich. office of Inlanta Mortgage Inc. Katrina Cole
Facebook: Facebook.com/Katrina.B.Alexander
Facebook: Facebook.com/CompleteMarketer
Business Facebook: Facebook.com/TheArnoldTeam
LinkedIn: LinkedIn.com/in/KatrinaBAlexander
Twitter: @RealEstateHub
Web site: MichiganHomeLoanSolutions.com

Katrina Cole is the Business Development Manager for the Grand Rapids, Mich. office of Inlanta Mortgage Inc. She has been in the mortgage industry since 2002 earning numerous awards and accolades, focusing in all areas of the business. Katrina’s efforts enforce long-term initiatives that support brands to build lasting relationships with strategic partners and create lifelong clients. She strives to empower others to shape a strong business with superior communication by not focusing on what others are doing, but by what they are not doing.

Marcel Deitrich has been an Originator since 1998, and changed his business model to adjust with technology and social mediaMarcel Deitrich
Facebook Business Page: Facebook.com/GuaranteedRateMarcel
Facebook Personal Page: Facebook.com/MortgageTexas
Intuitive Loan Finder: LoanFinder.GuaranteedRate.com/#/?LOID=13093
LinkedIn: LinkedIn.com/in/Marcel-Deitrich-08ab001/

Marcel Deitrich has been an Originator since 1998, and changed his business model to adjust with technology and social media. Thirty percent of his business is directly generated off relationships and referrals off Facebook and LinkedIn. He leverages every transaction and success magnifying social proof to increase his business.
 

Marc Demetriou has been the top producer every year since 2006 at Residential Home Funding CorporationMarc Demetriou
Facebook: Facebook.com/TheMortgageExperts
Google+: Plus.Google.com/+MarcDemetriou
Instagram: Instagram.com/MarcDemetriou
LinkedIn: LinkedIn.com/in/Marc-Demetriou-01989b1
Twitter: @MarcDemetriou1
Web site: RHFBloomingdale.com
YouTube: YouTube.com/Channel/UC--0PI35jVFrIcEltpdxP7A

Marc Demetriou has been the top producer every year since 2006 at Residential Home Funding Corporation, where he is the Branch Manager in Bloomingdale, N.J. Marc continues to be recognized nationally and locally for his loan origination volume, superior customer service and overall professional accomplishments. Marc was a keynote speaker at the 2015 Real Estate Mastermind Summit, a well-known event featuring world-renowned motivational speaker, Tony Robbins and CBS television’s Shark Tank co-star, Barbara Corcoran. To add to his long list of accomplishments, Marc is now an author, his first book is due out this year, titled Lessons From My Grandfather; Wisdom for Success in Business and Life.

Matthew Demorest founded HomeSure Lending in 2014Matthew Demorest
Facebook: Facebook.com/HomeSureLending
LinkedIn: LinkedIn.com/in/MattDemorest
Twitter: @HomeSureLending
Twitter: @MattDemorest

Matthew Demorest founded HomeSure Lending in 2014, believing that mortgages should be both simple and fair. He leverages his personal social network in order to grow his reach and help more clients purchase with confidence, and refinance with ease.
 

Jason Frazier, aka The Real Estate CIO, is an C-Level industry strategist, CX Advisor, Social Media Evangelist, Speaker, Marketing Creative and TechnoloJason Frazier
Blog: Medium.com/@RealEstateCIO
Facebook: Facebook.com/FrazierCIO
Instagram: Instagram.com/RealEstateCIO
LinkedIn: LinkedIn.com/in/RealEstateCIO
Snapchat: Snapchat.com/Add/RealEstateCIO
Twitter: @RealEstateCIO
Web site: RealEstateCIO.com

Jason Frazier, aka The Real Estate CIO, is an C-Level industry strategist, CX Advisor, Social Media Evangelist, Speaker, Marketing Creative and Technologist. Frazier has a passion for advising real estate and mortgage professionals/companies on how to use the latest trends to stand out in a crowded real estate marketing space. His focus is using experience architecture to design programs using technology, content marketing and social media to enhance their business.
Michael Hammond, President of NexLevel AdvisorsMichael Hammond
LinkedIn: LinkedIn.com/in/MichaelHammond
Twitter: @NexLevelAdvisor
Web site: NexLevelAdvisors.com

Michael Hammond, President of NexLevel Advisors, is responsible for overseeing the daily operations and long-term strategic vision of NexLevel Advisors, where they move audiences, generate leads, drive sales and ignite powerful brand stories for their clients. Hammond now dedicates himself exclusively to helping other businesses achieve extraordinary levels of success.
 
 
 

Kelly Haney is a 17-year veteran of the mortgage business who has worked his way up from call center to managementKelly Haney
Facebook: Facebook.com/KellyTheMortgageGuy
LinkedIn: LinkedIn.com/in/KellyHaney
Twitter: @Kelly_Mortgage

Kelly Haney is a 17-year veteran of the mortgage business who has worked his way up from call center to management. He is very active in industry trade associations, having served as Immediate Past President of the North Texas Mortgage Professionals Association and Board Member of NAMB. He is also a member of the Texas Mortgage Bankers and Dallas Mortgage Bankers. Kelly's goal is to provide true value-added service to partners in his community.
 
 

James Hooper started his mortgage career at in 1998, and since then, he is helping to revolutionize the wholesale and correspondent mortgage industry with his forward thinkingJames Hooper
LinkedIn: LinkedIn.com/in/James-Hooper-53497210
Twitter: @JamesHooper07
Web site: PRMG.net

James Hooper started his mortgage career at in 1998, and since then, he is helping to revolutionize the wholesale and correspondent mortgage industry with his forward thinking. As National Sales Manager for PRMG, James helps Account Executives do things differently in a market that is changing rapidly to help them create value with Loan Officers across America. During his 20-year career, he has led sales teams that have funded more than $80 billion in loan production.
 

David Hosterman contributes his success to the amazing support of Castle & Cooke Mortgage LLC at a corporate level David Hosterman
Facebook: Facebook.com/DHostermanCastleCookeMortgage
Homes.com: Homes.com/Mortgage-Lenders/David-Hosterman/id-5713712
Lender411: Lender411.com/id/DHosterman
LinkedIn: LinkedIn.com/in/DavidHosterman
Redfin: Redfin.com/Openbook/Home-Loans/Denver-David-Hosterman-sp378897
Trulia: Trulia.com/Mortgage-Lender-Profile/DaveHosterman
Twitter: @CCMortgageLLC
Web site: CastleCookeMortgage.com/Loan-Officer/David-Hosterman
Zillow: Zillow.com/Lender-Profile/DaveHosterman

David Hosterman contributes his success to the amazing support of Castle & Cooke Mortgage LLC at a corporate level and his team at the Denver, CO branch. David has been the top producer for Castle & Cooke Mortgage LLC in 2014, 2015, and 2016 and has been recognized as a top producer in the industry nationally. David hosts the following weekly radio shows on AM 1690 KDMT: 11:00 a.m. every Saturday (The Mile High Mortgage and Real Estate Report), and 10:00 a.m. every Sunday (The Rocky Mountain Real Estate Network).

As a #MortgagePro for 19 years, it’s John’s duty to help inspire, coach and mentor every #MortgagePro met to engage within their profession John H.P. Hudson
Facebook: Facebook.com/MortgageYou
Google+: Google.com/+JohnHPHudson
Instagram: Instagram.com/JHPHudson
LinkedIn: LinkedIn.com/in/JohnHPHudson
Twitter: @JHPHudson
Web site: JoinMFS.com
YouTube: YouTube.com/c/JohnHPHudson

“My passion gives me power and I am blessed to work with some amazing folks that have helped make Mortgage Financial Services one of the fastest growing mortgage companies in the country,” said John H.P. Hudson.
As a #MortgagePro for 19 years, it’s John’s duty to help inspire, coach and mentor every #MortgagePro met to engage within their profession to help support every consumer possible fulfill their dreams of homeownership. 
With more than 30 years of experience, Dominic Iannitti is a perennial mortgage technology innovator and well-known leader in the industryDominic Iannitti
Blog: Blog.DocMagic.com
LinkedIn: LinkedIn.com/in/Dominic-Iannitti-2a405342
Personal Web site: DominicIannitti.com
Twitter: @DocMagic
YouTube: YouTube.com/User/DocMagicInc

With more than 30 years of experience, Dominic Iannitti is a perennial mortgage technology innovator and well-known leader in the industry. He constantly evangelizes the importance of leveraging mortgage technology to ensure that lenders operate efficiently, compliantly and cost-effectively.
 

Scott Justice started in the mortgage business in 1990 as a Collector, and has been in the industry ever sinceScott Justice
Facebook: Facebook.com/EdgeUser
Instagram: Instagram.com/Inky_Scott/
LinkedIn: LinkedIn.com/in/Scott-Justice-7b86491
Twitter: @RedsDjEdge

Scott Justice started in the mortgage business in 1990 as a Collector, and has been in the industry ever since. During this journey, he has been a Loan Officer, Processor, Branch Manager, Operations Manager, Regional Vice President for a top lender, Due Diligence Auditor, Front Line Underwriter and Direct Endorsement Underwriter. Scott also worked part-time for The Cincinnati Reds and Cincinnati Bengals for more than 20 years in scoreboard operations. “The contacts I have made via social media are priceless,” said Scott. “Get out there and play ball!”

JP Kelly is a long-time veteran of the industry who possesses a diversified backgroundJP Kelly
Blog: Blog.OpenClose.com
Facebook: Facebook.com/OpenCloseSocial
LinkedIn: LinkedIn.com/in/JP-Kelly-4230b32
Twitter: @OpenCloseSocial

JP Kelly is a long-time veteran of the industry who possesses a diversified background—owning both a full-service mortgage bank and an enterprise-class mortgage technology software firm. He is a well-connected executive and constant innovator of contemporary, completely Web-based technology that helps lenders operate more efficiently.
 
 

As the Senior Vice President, National Director of TPO Sales at ResMac, Greg Lutin leads a national wholesale and correspondent sales teamGreg Lutin
Facebook: Facebook.com/Greg.Lutin
Instagram: @glutin
LinkedIn: LinkedIn.com/in/Gregory-Lutin-ab914348

As the Senior Vice President, National Director of TPO Sales at ResMac, Greg Lutin leads a national wholesale and correspondent sales team, providing all aspects of sales development, including recruiting top talent, establishing key sales initiatives, and serving as the interface between sales and operations. Before joining ResMac in 2014, Greg spent 18 years with Flagstar Bank, where he held various positions ranging from Account Executive, Regional Sales Manager, Divisional Sales Manager, and EVP/Director of National Sales. Drawing on his many years of experience in mortgage technology, Greg works closely with the IT developers at ResMac, as they continue to develop a best-in-class technology platform. A big believer in community, Greg supports various charities on both local and national levels.

Carl Markman began his career in the mortgage industry more than 24 years ago as a Loan Officer Carl Markman
Facebook: Facebook.com/CarlMarkman
LinkedIn: LinkedIn.com/in/Carl-Markman-b257439

Carl Markman began his career in the mortgage industry more than 24 years ago as a Loan Officer and quickly moved through the ranks to lead a significant team at one of the largest financial institutions in the industry. He now holds the title of Director of National Sales for one of the nation’s top mortgage lenders, REMN Wholesale.
 
 
 

Allen Middleman, an Accredited Mortgage Professional and Senior Vice President at Freedom Mortgage CorporationAllen Middleman
LinkedIn: LinkedIn.com/in/Allen-Middleman-b8433652

Allen Middleman, an Accredited Mortgage Professional and Senior Vice President at Freedom Mortgage Corporation, is an innovator, professional networker and widely recognized by his 17,000 LinkedIn followers. Allen has significantly impacted Freedom Mortgage Wholesale’s business processes and the sales success of their Account Executives and brokers through technology enhancements. His latest venture includes heading up the Wholesale Division’s InTouch sales team, a nationwide broker outreach group.
 
 
 
 

Bubba Mills is the Owner and Chief Executive Officer of Corcoran Consulting & CoachingBubba Mills
Facebook: Facebook.com/CorcoranCoaching
Instagram: Instagram.com/CorcoranCoaching
LinkedIn: LinkedIn.com/in/BuMills
Twitter: @CorcoranCoach
YouTube: YouTube.com/Channel/UCmcFtLYC2KiDp4HKTk3gDfg

Bubba Mills is the Owner and Chief Executive Officer of Corcoran Consulting & Coaching, whose clients are recognized as some of the most successful and influential professionals in their respective fields. Bubba has spent decades in the business world, crossing industry boundaries with the goal of transforming teams and revitalizing business culture by raising the bar on how you see your company, your clients, and the market around you.

Eric Mitchell, Executive Vice President for Gold Star Mortgage, develops innovative purchase market strategies proven to revolutionize the way Loan Officers and Realtors partnerEric Mitchell
Facebook: Facebook.com/EricMitchell0513
Instagram: Instagram.com/EricTMitchell
LinkedIn: LinkedIn.com/in/EricTMitchell
Twitter: @EricTMitchell
Web site: Eric-Mitchell.com

Eric Mitchell, Executive Vice President for Gold Star Mortgage, develops innovative purchase market strategies proven to revolutionize the way Loan Officers and Realtors partner, generating their unprecedented success and market reach. Using Gold Star’s award-winning application technology, Eric creates highly sought after state-of-the-art lead generation platforms that have delivered sustainable growth for the thousands of sales professionals he has coached across North America. A Certified Master in Neuro Linguistic Programming, and industry-leader in Marketing and Business Development, Eric is a frequent presenter at national events.

Eric Mitchell, Executive Vice President for Gold Star Mortgage, develops innovative purchase market strategies proven to revolutionize the way Loan Officers and Realtors partnerAndres Munar
Facebook: Facebook.com/AMunar727
Facebook: Facebook.com/MunarMortgage
Instagram: Instagram.com/Mr.Munar
LinkedIn: LinkedIn.com/in/AMunar
Twitter: @MunarMortgTeam
Web site: KeystoneAllianceMortgage.com
Zillow: Zillow.com/Lender-Profile/YourCentralPAMortgagePros

Andres Munar is the Co-Founder of Keystone Alliance Mortgage. He is committed to serving his clients, referral partners, community and team members by being a servant leader. Social media is one of Andres' favorite outlets to connect with friends, family, past/present and future clients. Andres believes you can have everything you want, if you just help other people get what they want.

Robert Padron is President of the Miami Chapter of the Florida Association of Mortgage Professionals Robert Padron
Facebook: Facebook.com/1stFinancialMiracleMile
Instagram: Instagram.com/1stFinancialMiraclemile
LinkedIn: LinkedIn.com/in/RobPadron
Web site: 1stFinancialInc.com

Robert Padron is President of the Miami Chapter of the Florida Association of Mortgage Professionals and Branch Manager for 1st Financial Miracle Mile and 1st Financial Brickell.
 
 

Nathan S. Pierce has been active in the mortgage industry since 1993 and is the Communications Committee Chairman and Board Member of NAMBNathan S. Pierce
Blog: NathanPierce.Social5.net
Facebook: Facebook.com/NathanSPierce
Facebook Business Page: Facebook.com/NathanSPierceAdvancedFunding
Instagram: Instagram.com/NathanSPierce
Twitter: @NathansPierce
Web site: NathanPierce.com

Nathan S. Pierce has been active in the mortgage industry since 1993 and is the Communications Committee Chairman and Board Member of NAMB—The Association of Mortgage Professionals, and President of NAMB+. He is also a Board Member of the Utah Association of Mortgage Professionals. He is a Certified Residential Mortgage Specialist (CRMS) and President of Advanced Funding Home Mortgage Loans in Salt Lake City, Utah. He was recently honored with the 2016 Mortgage Professional of the Year Award by the Utah Association of Mortgage Professionals (UAMP).

As a dedicated leader in her field, Kelly Lindsay Rogers is one of the premier experts on mortgage lending in the Houston areaKelly Lindsay Rogers
Facebook: Facebook.com/KellyRogersTeam
Instagram: Instagram.com/KellyLindsayRogers
LinkedIn: LinkedIn.com/in/KellyLindsayRogers
Web site: KellyRogersTeam.com

As a dedicated leader in her field, Kelly Lindsay Rogers is one of the premier experts on mortgage lending in the Houston area. Together with her team, she successfully determines solutions for each of her clients’ financial needs. They ensure a straight-forward and efficient approach to the mortgage process for all parties to the transaction.
 
 

Shashank Shekhar is one of the pioneers in using social media in the mortgage industryShashank Shekhar
Blog: LendingExpertBlog.com
Facebook: Facebook.com/ArcusLending
LinkedIn: Linkedin.com/in/ThisIsShashank
Twitter: @ShashankTweets
YouTube: YouTube.com/ArcusLending

Shashank Shekhar is one of the pioneers in using social media in the mortgage industry. By leveraging his blogs, he has built a massive following that has helped him with client acquisition, conversion and retention.
 
 

Adam P. Smith is President and Founder of The Colorado Real Estate Finance GroupAdam P. Smith
Facebook: Facebook.com/AdamPSmith
Facebook: Facebook.com/ColoradoRealEstateFinanceGroup
Instagram: Instagram.com/AwesomeMortgageGuy
LinkedIn: LinkedIn.com/in/TheAdamPSmith
Twitter: @AdamPSmith1
Web site: CoreFinanceGroup.com
Web site: AdamPaulSmith.com
YouTube: YouTube.com/TheAdamPSmith

Adam P. Smith is President and Founder of The Colorado Real Estate Finance Group, a commercial and residential real estate finance firm. He started the company in 2005, and during his career, has helped thousands of clients, both individuals and corporations, in their goals regarding real estate finance, as well as both personal and corporate finance and has personally written billions of dollars in mortgage and finance deals.

With more than 30 years in the business Thomas Smith still gets excited about helping borrowers achieve their dreamsThomas Smith
Facebook: Facebook.com/Mortgagesandbs/?ref=aymt_homepage_panel
LinkedIn: LinkedIn.com/in/Thomas-Tom%E2%80%8B-smith-612-386-7672-251b6aa
Twitter: @Omsiguy

With more than 30 years in the business Thomas Smith still gets excited about helping borrowers achieve their dreams, whether they are a first-time homebuyer or a seasoned veteran of buying homes. Thomas makes sure that the borrower is well-informed and well-educated about the entire mortgage loan process, something he feels is key to a successful loan.
 
 
 

John Stevens is RPM Mortgage's Growth VP and serves the mortgage industry as President-Elect of NAMBJohn Stevens
Facebook: Facebook.com/JohnGStevensUtah
Facebook: Facebook.com/JohnGStevensNMLS512252/?fref=ts
Google+: Plus.Google.com/+JohnGStevens
Instagram: Instagram.com/JohnGStevens
LinkedIn: LinkedIn.com/in/JohnGlenStevens
Pinterest: Pinterest.com/JohnGStevens
Tumblr: JohnGlenStevens.Tumblr.com
Twitter: @JohnGlenStevens
YouTube: YouTube.com/Channel/UCZRVeBfo7aKAz2BjIV7O_Fw

John Stevens is RPM Mortgage's Growth VP and serves the mortgage industry as President-Elect of NAMB—The Association of Mortgage Professionals, connecting lenders with lawmakers online and in person to help all consumers safely achieve the American Dream of owning a home.
Scott Stoddard is a recognizable figure in the mortgage industry, specifically in enterprise-level servicing technologyScott Stoddard
Facebook: Facebook.com/Quandis-Inc-278354345558367
LinkedIn: LinkedIn.com/in/Scott-Stoddard-37092a4
Web site: Quandis.com/About/Recent-News

Scott Stoddard is a recognizable figure in the mortgage industry, specifically in enterprise-level servicing technology. He was the Founder and Chief Executive Officer of LenStar, completing a successful acquisition to London Bridge where he then served as Group Executive. He co-founded Quandis in 2003, and has since grown the company into one of the leading default management software firms in the mortgage industry.
 
 
 

Ed Stojancevich has been in the mortgage industry for more than 10 years, and every year, finds the industry more exciting and innovativeEd Stojancevich
Blog: HomeTips.Blog
Facebook: Facebook.com/TheRockstarCloser
Instagram: Instagram.com/RockstarCloser
LinkedIn: LinkedIn.com/in/EdStojancevich
Twitter: @HomeFinanceNWI
Web site: TheRockstarCloser.com
Web site: EShomeloans.com

Ed Stojancevich has been in the mortgage industry for more than 10 years, and every year, finds the industry more exciting and innovative.
“I utilize social media to build my brand, build relationships and help my real estate partners grow their business,” said Stojancevich. “With my background in public relations, I focus on three main things: Consistently giving my clients amazing service, exceeding the expectations of my realtor partners, and constantly learning. My mission statement is very direct and precise: ‘I help people buy the home they want, with programs that destroy my competition and with service that is second to none.’”

Jon Tallinger is Vice President of Sales and Marketing at Class Appraisal, a Michigan-based nationwide appraisal management companyJon Tallinger
LinkedIn: LinkedIn.com/in/Jonathan-Tallinger-70624b2

Jon Tallinger is Vice President of Sales and Marketing at Class Appraisal, a Michigan-based nationwide appraisal management company. Jon has been in the appraisal business since 2002 when he started his career as a state-licensed appraiser in the state of Michigan.
 
 
 
 

Having served his entire work life in the financial service industry, Godwin Tsui has a passion for helping people manage their financesGodwin Tsui
Facebook: Facebook.com/Gowintx
Instagram: Instagram.com/Gowintx
LinkedIn: LinkedIn.com/in/GodwinTsui
Twitter: @Gowintx
Web site: GotWealth.com

Having served his entire work life in the financial service industry, Godwin Tsui has a passion for helping people manage their finances.
“The mortgage is a very important part of any family’s financial composition and should be carefully managed and reviewed along with a comprehensive financial plan,” said Tsui.
 

Carl White’s podcast is the top podcast for loan officers in America, he has the largest Facebook Fan Page for LOs in all of FacebookCarl White
Facebook: Facebook.com/MortgageMarketingAnimals
LinkedIn: LinkedIn.com/in/MarketingAnimals
Podcast: LoanOfficerFreedom.com
Web site: MortgageMarketingAnimals.com

Carl White’s podcast is the top podcast for loan officers in America, he has the largest Facebook Fan Page for LOs in all of Facebook, and has the most recommendations in LinkedIn of anybody in the entire mortgage industry, all while running one of the most successful mortgage marketing training programs in the U.S. for top-producing loan officers that teaches the strategies that loan officers in his own mortgage branch use today.
 

Mark Wilkins is a 10-plus year industry veteran serving as Meridian Bank’s Team ManagerMark Wilkins
Facebook Business: Facebook.com/TheMortgageMark
Facebook Personal: Facebook.com/MortgageMarkPA
Instagram: Instagram.com/TheMortgageMark
LinkedIn: LinkedIn.com/in/TheMortgageMark
Twitter: @TheMortgageMark

Mark Wilkins is a 10-plus year industry veteran serving as Meridian Bank’s Team Manager. Mark’s focus and engagement on local social media networks has paid dividends for his team and himself. He was voted “Best of Bucks 2017,” Top Mortgage Lender on the Bucks Happening List and is a seven consecutive year winner as a Five-Star Professional in Philadelphia Magazine.
 

 
As of May 15, 2017, mortgage brokers and lenders in Virginia have been required to post a mortgage surety bond in order to get licensed. This requirement was introduced as part of an amendment of the Rules Governing Mortgage Lenders and Brokers (Chapter 160/161 of Title 10 of the Virginia Administrative Code) introduced by the State Corporation Commission.
 
In addition to the surety bond requirement, the Commission has also introduced further requirements for mortgage brokers and lenders in the state to help regulate the industry.
 
Read on for an overview of the new requirements and how, as a mortgage broker, you can comply with them.
 
Changes to the Rules Governing Mortgage Lenders and Brokers in Virginia
The main changes introduced by the Commission to the Code of Virginia to regulate the work of mortgage brokers in Virginia include the following:
 
►A requirement to post and maintain a mortgage broker bond
►A requirement to maintain books, accounts and records, and a mortgage loan transaction journal
►A requirement to file quarterly mortgage call reports through the Nationwide Mortgage Licensing System and Registry (NMLS)
 
Mortgage Bond Requirement 
In particular, mortgage brokers in Virginia must post an initial surety bond of $25,000. Mortgage lenders are required to post a $50,000. The latter requirement also applies to mortgage companies with dual authority (mortgage lender and broker authority).
 
The $25,000 and $50,000 bond requirements are minimum bond requirements and will be adjusted by the Commission on a yearly basis depending on the amount of residential mortgage loans originated in the previous year. Bond amounts can range between $25,000 (for mortgage brokers) to $150,000 for loans over $100,000,000. Bond amounts in-between are $100,000, $75,000, and $50,000.
 
Maintenance of Records and Journal
According to 10VAC5-160-25 of the amended rules, the records that brokers and lenders need to maintain are defined as all those specified in Chapter 16 as well as by the amended Chapter. In terms of maintaining a loan transaction journal, licensees in the state need to include the following information in the journal for each application they receive:
 
►The name of the applicant
►The date of application
►The address of the property
►The amount of the loan requested
►The lien position
►The license name as well as the license or Registry number of the mortgage loan originator
►The address of the office that originates the loan
►The name of the lender
►The status of the application
►Further information that is relevant to the application and may be required by the commissioner
 
Once the retention period for such records expires, these need to be destroyed in a secure manner through incineration, shredding or other means.
 
Filing Quarterly Mortgage Call Reports 
Mortgage brokers and lenders are required to post quarterly mortgage call reports through the NMLS. Such reports need to detail the amount of residential mortgage loans made, brokered or originated (depending on the licensee) during the preceding quarter. These reports need to be in the right format, and contain the information required by the Registry.
 
The dates to submit such reports are announced by the Registry. Brokers and lenders who fail to submit their reports by such dates may have to pay a provisional fee which will be determined at the time of submitting their report.
Finally, the amendment also specifies the duration of the licensing period. Licenses for mortgage brokers and lenders in Virginia will be valid for the duration of each calendar year, and expire at its end. Accordingly licenses will need to be renewed at the end of each year along with the mortgage broker bond.
 
Why is the Mortgage Broker Bond Necessary?
Surety bonds are agreements made between the bonded party or principal (the mortgage broker or lender), the state of Virginia (the obligee), and the surety company that issues the bond. These agreements are put in place to provide protection to the clients of brokers and lenders and, by extension, to the state. Their purpose is to protect against such principals who violate the state laws and regulations for mortgage brokers and lenders and, as a result, cause harm, losses and damages to their clients.
 
Surety bonds guarantee that if such a violation occurs, parties that have suffered losses can file a claim against the bond and receive compensation by the surety company. This compensation can be as high as the amount of the principal's mortgage broker bond - i.e. somewhere between $25,000 and $150,000. If compensation is extended by the surety, the bonded broker or lender must then repay the surety. Surety bonds guarantee that businesses comply with the law and stick to the best business practices.
 
If a claim does occur, bonded persons or businesses are typically advised to work closely with their surety to resolve the situation in the best possible way, and minimize the possible cost they will have to carry.

Todd Bryant is the president and founder of Bryant Surety Bonds. He is a surety bonds expert with years of experience in helping business owners get bonded and stay compliant.

 
A key 2017 business trend, as reported by Forbes late last year, is that organizations restructure to focus on team over individual performance—something my company did around the same timeframe. While individuals have their own career agenda, companies are now structured with teams because high-performing teams will enable them to compete for the future.
 
Let’s consider a mortgage industry example. The leadership team at American Financing saw an opportunity to create a more streamlined mortgage experience with direct communications from one primary contact. So, we capitalized on it. We identified the importance of communication styles between teammates and chose to play matchmaker. Rather than expect each mortgage consultant to get to know 45 processors, we paired it back. Aligning smaller teams of mortgage consultants with small teams of processors really created team unity and understanding. It eliminated unnecessary internal follow ups and phone calls, providing a more enjoyable and accountable employee experience.
 
A change this simple has a lot more to it—of course, starting with knowledgeable employees. Consider these key industry stages as a checklist for successful employee development:
 
Pre-licensing education
The NMLS is programmed with federal pre-licensing education (PE) and continuing education (CE) requirements as required by the SAFE Act.
Ultimately, completion of these general mortgage, ethics, and law courses will prepare the individual for the federal exam. But keep in mind—these courses are specific to new loan originators, so an understanding of the presented materials may be lacking. To address this: Consider on-site testing where students are near subject matter experts in the event they feel overwhelmed, yet are separated enough there are no distractions.
 
Tailored trainings
We’re in an industry that takes education seriously. And as a national mortgage banker with more than 300 employees, my company delivers information in multiple ways. Our approach is to provide a blend of classroom (onboarding, mandatory continuing education) and online (compliance, optional continuing education) trainings—delivering material in the most understandable and well-received way we can.
 
Of course, there’s no right answer in the discussion of online vs. classroom training. You do what you need to adapt. Adapt to the content, adapt to the student. For some employees, self-paced learning can be challenging. It’s an attractive benefit to be able to learn on your own time. Yet, it can be harder for the student to pay attention, specifically if the content is new information. Webinars—often middle ground—provide the same flexibility, but include the added benefit of interaction.
 
Classroom training has proven most engaging to our team. The ability to ask questions continues to be crucial to student’s success. It’s most beneficial when the trainer has experience in originating and underwriting loans. This allows for some of the most relatable examples and makes the limited time for our business to commit to the classroom well spent.

Experiential learning
Wikipedia defines experiential learning as: “the process of learning through experience” and, more specifically, “learning through reflection on doing.” The individual is encouraged to directly involve themselves in the experience and reflect on it using analytical skills. This way, they gain a better understanding of the new information and retain it longer.
 
My recommendation: Hiring industry experienced employees allows less time spent on a computer. Complete systems training and a quick debrief with the trainer, so you can move on to job shadowing. This last stage is particularly important for us as our mortgage consultants are tasked with customizing a loan program for each customer. It’s a key learning experience for new hires that really forces analytical skills to kick in. Plus, it’s the best way to prepare them to take calls.
 
Better technology
As technology advances, operational efficiency can increase. Utilizing an industry leading CRM, auto dialer, a robust LOS, and automation have boosted employee productivity. And, by giving clients access to our Customer Portal we allow client documents to be added straight into our LOS. It’s a customer benefit that has also eliminated busy work from employees’ already full plates.
 
Job aids
The TILA-RESPA Rule, Loan Estimate Disclosures, Closing Disclosures … the training process can be daunting having so many important guidelines to understand. No matter your experience or education, there’s often a limit to how much information a person can obtain. Providing easily accessible job aids and compliance guides can make retaining education so much easier.
 
Not to mention they help bridge the gap when process change is needed to meet industry mandates. Pair job aids with a brief in-person training session—to address the upcoming change—and you can get back to business as usual in little time. Even going so far as including Webinars or how-to-videos on intranets or even Wiki’s—it’s a great way to deliver pertinent information that’s easily available.
 
Coaching and feedback
Once it’s time to work alone, weekly check-ins are important (until no longer needed), along with a performance evaluation 90 days out. You have to keep new hires engaged, informed, and appreciated—regardless of how much experience they bring to the table. No two loans are alike, and there’s always room for improvement.
 
Incentivizing is also key. Bonuses are expected in sales. So, it’s more important to verbally acknowledge and reward key players. Spend additional time with them to ensure you understand their career path and can work with them to help them advance.
 
To illustrate … in the past year alone, my firm has promoted 28 employees—half of these people had been working as a mortgage consultant, processor, or underwriter prior to the promotion. They have proven to be key contributors to our business success and now make a difference in the mentoring of new hires.

Customer focus
As training and continuing education go on in the background, the customer remains top of mind. We all have the same strategy: do what’s best for the customer. Most all of us have a tried and true approach to how we deliver the best possible customer experience. We expect our mortgage consultants to forge deep, personal bonds with the customers they serve and deliver a memorable experience. We deliver happiness by fostering it internally.
 
No matter what your approach to business, the best way to sustain growth is through a strong foundation, strategic leadership and experienced employees. I believe in this model because I’ve followed it. Our company doubled in size in 2015 and are up another 50 percent over the past year. In that time, we’ve set company financial records and watched our people achieve their own personal milestones—the latter being what’s most important.
Damian Maldonado is an American entrepreneur and businessman of Puerto Rican descent, and Co-Founder of American Financing Corporation, one of the most successful privately held national mortgage companies in the U.S.

This article orignally appeared in the August 2017 print edition of National Mortgage Professional Magazine. 

 
This month, the Mortgage Action Alliance (MAA) is gearing up for our 2017 Action Week, taking place from Oct. 2-6 this year. Action Week is a week-long event dedicated to helping real estate finance professionals learn how to become more engaged in political advocacy that supports our industry. Why should you get involved? Because MAA is a non-partisan nationwide grassroots lobbying network of real estate finance industry professionals that allows our industry to speak to our elected officials with one voice.
 
Our goal this year is to get 1,000 MAA App downloads and surpass 20,000 MAA members. Last year, we had about 60 companies participate and signed up just over 2,400 new MAA members. We are hoping to surpass those numbers this year. We'll be recognizing all participants at MBA’s Annual Convention and will be spreading the word on social media.
 
If you aren’t an MAA member, you can join for free at MBA.org/JoinMAA. To download the App, visit MBA.org/MAAapp or search for "Mortgage Action Alliance" in the App Store or Google Play.
 
Your participation makes a difference, and the MAA App couldn’t make taking action any easier. During Congress’ August Recess, more than 2,500 industry professionals contacted their elected officials, sending 6,500-plus letters to Congress about key issues, including GSE reform, transitional authority to originate mortgage loans for experienced MLOs transitioning between federally-insured depositories and non-depositories and across state lines, and reauthorizing the National Flood Insurance Program (NFIP).
 
A big thank you to the three companies with the most individuals taking action in August: New American Funding, with 894 employees taking action; FBC Mortgage, with 146 employees participating; and Union Home Mortgage, with 108 employees contacting their elected representatives.
 
The more MAA members we have, the stronger our voice will be as we play an active role in how laws and regulations that affect the industry and consumers are created and carried out. Help us reach our goal by enrolling your company to participate and running a MAA membership campaign within your office. For more information, visit MBA.org/ActionWeek
MBA.org/ActionWeekGene M. Lugat is chairman of the Mortgage Bankers Association’s Mortgage Action Alliance. Gene is executive vice president, national industry and political relations for PrimeLending Inc.

This article originally appeared in the September 2017 print edition of National Mortgage Professional Magazine.

 
HLP has named Larry Gilmore, a former HLP Chief Executive Officer and Founder, to HLP’s Board of Directors
Although the non-QM segment of the mortgage industry is still in its infancy, steady growth and positive performance have led to an evolution from wholesale to correspondent lending demand. As interest rates rise and home sales slow, large mortgage companies may need to grow non-QM volume or risk losing both production and customers. To that end, pioneers of the non-QM wholesale space are now expanding into the correspondent arena, offering mainstream originators the opportunity to partner with best-in-class investors.
 
Although today’s non-QM loans–with their traditional manual underwriting–have enabled thousands of reliable homebuyers to obtain loans, large numbers of mortgage professionals remain skeptical or unaware of their growing importance to the industry ecosystem. Spurred by AAA ratings of the senior tranches of recent non-QM securitizations, more correspondents are entering this arena. The solid performance of these loan pools and the proliferation of correspondents may convince industry leaders that their path to long term success is narrow if they rely only on agency lending.
 
Because non-QM wholesale and correspondent lending is relatively new, let me summarize its history before discussing how and why non-QM correspondent lending will be increasingly vital to the residential mortgage marketplace. The 2014 “Ability-to-Repay and Qualified Mortgage Rule” issued by the Consumer Financial Protection Bureau (CFPB) set stringent guidelines for which borrowers could qualify for agency loans.  These rules shut out as many as 30 million otherwise creditworthy Americans, who may be self-employed, living off non-income assets or had a damaging financial incident.
 
To meet that need, leading edge investors began marketing, underwriting, funding and servicing non-QM loans. Assuming total risk, these financial industry innovators developed thorough processes and procedures including manual underwriting and ability to repay standards. In addition, these loans require significant down payments and full documentation of income and assets. These alternative loans have performed so well that warehouse lenders are increasingly accepting them, in turn convincing a wider range of originators to develop their correspondent abilities.
 
The non-QM correspondent appetite is evolving in many ways. Some brokers are converting to non-delegated correspondents. Mortgage bankers are expanding to offer correspondent products. Internally, larger aggregators have begun to adopt formal strategies for non QM product approvals. In most of these situations, those who are transitioning to non-delegated underwriting must rely on an outside entity, a cooperative partner, that can provide advice and expertise, or even a full range of technologies, services and personnel.
 
This marketplace evolution is important to everyone in the industry. Demand for non-QM loans has typically exceeded supply, because most originators have preferred to focus on agency lending. That is already changing. It was expected that originators would need new markets as the refinance market slowed. Surprisingly in 2017’s third quarter, there has been a downturn in home sales. Whether this is a trend or just a short-term variance, non-QM lending—with its largely untapped audience—may offer mortgage professionals their best opportunity for growth.
 
Though the upside is great, those entering the correspondent arena need to know that non-QM loans are different. To successfully manage risk, lenders need to utilize best practices, systems and processes that have been perfected by leading non-QM organizations. Potential correspondents should partner with a company whose track record in the space is proven.
 
When aligning with an investor to become a non-QM correspondent, carefully review the company’s track record in the industry. This partnership is essential to establishing your competence in handling details of non-QM underwriting, compliance and operations. A top-notch correspondent investor will provide these and other services.
 
Your correspondent partner must be more than a deep-pocketed investor who can enable you to move loans to the secondary market. As the non-QM industry is still young, your decision to become a correspondent seller probably comes after much discussion and consideration. You have learned that you will need a savvy, trustworthy correspondent affiliate to advise you on building strong, sustainable non-QM lines of business.
 
Here are some of the questions you should ask the investors pursuing your correspondent portfolio:
 
►Does my current warehouse provider allow for non-QM loans on my line?
►What is your onboarding or orientation program?
►What kind of support do you have available to our executives, loan officers and operations staff as we ramp up and learn to be non-QM experts?
►What kind of compliance technology do you employ and why?
►What is the strategy and performance record of your operations function?
►How will you handle loan-level underwriting exceptions?
 
A large percentage of non-QM loans may require exceptions, but there are just a few experts in field. You must work with proven professionals.
 
You will want to select a correspondent investor who will offer flexibility in the quantity and value of loans. Those of us who have pioneered these non-QM correspondent offerings know that few lenders can yet deliver multi-million portfolios each month.  You will want to do business with an investor who is willing to invest in only a few loans at a time as you build your non-QM business. You want to do business with a company that will invest in both your loan production expertise and your potential to master the non-QM space over the long run.
 
Anytime a totally new product is offered in a mature, highly structured industry, widespread adoption is going to be gradual. In the case of non-QM loans, which were launched just three years ago, two factors caused brokers and lending institutions to remain unaware or uninterested for some time. For one, most originators did not need them to fill their pipelines because low interest rates resulted in an abundance of prime borrowers seeking to buy or refinance. Also, non-QM loans wrongly carried the stigma of the subprime loans largely responsible for causing the Great Recession.
 
This year, wariness and reluctance by mortgage executives has given way to serious interest, if not loud enthusiasm. This past July, Angel Oak Capital Advisors completed its largest ever securitization of non-QM residential mortgages, $210 million, backed by loans sourced through Angel Oak Mortgage Solutions and our sister companies. This further legitimized the credibility of non-QM industry leaders to perform respectably for lenders who want to pursue correspondent programs.
 
Until now, growth of the non-QM correspondent sphere has been steady but measured. However, originators who wait to offer these products may have quite a bit to lose. We know that there are millions of non-agency borrowers who are underserved by the mortgage industry, many of whom can prove their ability to repay through traditional (and eventually automated) underwriting. We also know that interest rates are rising and home sales are slowing. The latter may result from too few alternative products being available. Are you positive that you can maintain profits and retain your best originators by relying only on agency lending? If not, the best alternative is to become a correspondent lender aligned with a top-rated investor. 

Sean M. Marr is Director of Correspondent Lending for Angel Oak Mortgage Solutions. Prior to Angel Oak, Sean has served the mortgage industry for 25 years in various sales and sales leadership roles, with organizations such as HomeSide Lending and Citibank. He may be reached by e-mail at Sean.Marr@AngelOakMS.com or call (904) 521-4511.

This article originally appeared in the September 2017 print edition of National Mortgage Professional Magazine.