Keeping it real timeRobert O'Branovichwholesale lenders, shorten the loan process, increase close rates, build a more profitable business
Look for wholesale lenders that offer dedicated inside
support
Over the last 18 months, wholesale mortgage lenders have
introduced many different tools and initiatives to help mortgage
brokers shorten the loan process, increase close rates and build a
more profitable business. Such tools include enhanced technology
solutions, such as Web sites that offer seamless transactions from
the desktop, innovative new products and preferred broker programs
that help brokers gain significant operational and pricing
efficiencies.
But even with all of these new technology enhancements, products
and initiatives, the most important need communicated by brokers to
their wholesale lending partners continues to be follow-up and the
ability to get quick answers from a live, experienced mortgage
professional.
The fact is that many brokers have been in the mortgage business
for less than five years and have never worked through the downside
of a cycle. This lack of experience, coupled with the rapid change
in both technology and loan products, clearly demonstrates the
value a real time support professional located in a wholesale
lender's local branch can offer brokers as they focus on delivering
the best possible customer experience in the most profitable and
efficient manner.
Today, brokers need an inside professional who works as a
knowledgeable member of a dedicated team with the wholesale
lender's account executive (AE). This professional must be
accessible to answer any questions on automated underwriting
systems (AUS), new or existing products or just be able to
accelerate the resolution of an issue so a broker can meet a
client's needs. Therefore, if a broker cannot reach his AE, he can
contact this inside member of the team at his local wholesale
branch and be assisted immediately with loan file issues or learn
about Web site tools, marketing opportunities, new loan programs or
how to place loan scenarios and pricing.
This inside service professional or a broker relationship
manager (BRM) needs to be the first point of contact in the local
branch and can take a question or problem and see it through
quickly from start to solution. Below are a few real examples of
how a live service professional or a BRM can help mortgage brokers
in the day-to-day lending process and business operations:
Example 1: A broker needs help structuring a
loan. The broker knows the wholesale lender has hundreds of
products, but wants to make sure to select the right one and be
aware of all of the options. The broker contacts the wholesale
lender's local branch and an AE is not reachable, since the AE is
in the field delivering value directly to brokers. However, the BRM
is in the office. The BRM introduces the broker to the wholesale
lender's Web site, specifically the mortgage product/pricing search
engine Product Advisor. He runs the scenarios through the search
engine, and instantly, the broker has the loan and pricing options
on the screen. The BRM further trains the broker on how to view
different pricing for each option and how to view or print product
guides and disclosures. No more trying to price out complicated
programs manually, trying to figure out what programs are offered
for a loan scenario or calling dozens of AEs in their cars on the
highway! One call to an inside dedicated service professional and
this broker now has a powerful loan scenario and pricing tool at
his fingertips available 24/7.
Example 2: Another broker is looking to
understand the benefits of running his own automated underwriting
findings. The broker knows competitors are using automated
underwriting at the point of sale and prior to submission, which is
making them more efficient and allows them more time to market and
sell. A real-time service professional (BRM) who is fully trained
in many different AUS/portals loan origination systems and the
export/import processes to a Web site can offer immediate
assistance. Being proficient in AUS provides the broker and lender
with many benefits and efficiencies. First, a broker that uses
Desktop Underwriter at the point of sale immediately can issue a
prequalification letter with confidence to the borrower or real
estate agent. Second, it removes the processing guesswork and
provides a clear outline of what documentation is required and how
to process the file. The lender can now accept the file and use the
broker's credit report for validation. Since the lender does not
have to re-pull the credit report, this saves time, money and
eliminates the likelihood of the borrower's credit scores dropping
and thus changing the status or pricing of the loan. Finally, a
properly processed file with AUS findings will move through the
underwriting department swiftly and close much sooner. A dedicated
inside service professional is able to guide a broker to the best
solution and provide continuing support on importing new
submissions.
Example 3: A third broker is looking to
increase his presence in the marketplace by utilizing a wholesale
lender's marketing center to customize materials with the broker's
logo, contact information and photos to target real estate agents,
consumers and other referral sources. The broker believes this will
be a key marketing advantage, as the lender can provide quality
materials for a reduced cost and will add value to his sales
infrastructure. The BRM can show the broker how to access the
marketing center via the wholesale lender's Web site, since he is
trained on where to find and how to order the various marketing
pieces. He can also help customize fliers with the broker's picture
and keep the broker up to date in regard to new marketing pieces
that are added regularly, so there is always something new to send
the broker's clients.
In an increasingly competitive market, real-time solutions are
important and those brokers who can deliver the right solution
quickly will appeal to consumers and origination partnerships like
financial planners and real estate agents. Products change quickly,
underwriting guidelines vary from lender to lender and having the
opportunity to speak with a live, experienced professional at key
times is often the difference between a submission that is approved
and one that gets hung up in the process.
Take a moment to contact your wholesale lender to inquire about
what they consider real-time service. Do they offer a live
professional at the local level who will take your questions or
issues, and see them through to a resolution? In a challenging
environment, mortgage brokers need the right solution quickly to be
successful and build a sustainable business.
Robert O'Branovich is a senior vice president of American Brokers Conduit, the
wholesale division of American
Home Mortgage Investment Corporation, a publicly held real
estate investment trust headquartered in Melville, N.Y.
