People around the nation are “voting with their feet.” Illinois: Seven straight years of population declines. California: Losing population during a year for the first time in history. Do you ever think about the fact that one city, Shanghai, China, has more people living in it than every state besides California and Texas? (Area-wise, what is the largest city in the United States? That title goes to Jacksonville at 875 square miles, elevation 16 feet.) Did you know that over 80 percent of people who move stay in the same state? One wonders, if higher income people are leaving a particular state, does that create a bigger burden on those who remain, which encourages more departures? Provo-Orem, Utah, Coeur d'Alene, Idaho, and Reno, Nevada, are the top three high-end markets to watch, according to the luxury segment of the inaugural Wall Street Journal/realtor.com Emerging Housing Markets Index. Today’s audio version of the commentary and is available here and is sponsored by Candor Technology and includes an interview with includes a compliance segment with General Counsel Michael Dunn on common pitfalls of lenders when it comes to compliance and how to stay on top of shifting regulations. Candor Technology offers a dynamic underwriting engine that eliminates underwriting bottlenecks.    

Lender Products

As the refi market shrinks and rates creep-up, you need to find new and better lending opportunities. Savvy mortgage professionals are always on the cutting edge looking to expand and enhance their pipelines. ClearEdge Lending is innovating the Non-QM experience by breaking down barriers and speeding up processes. Announcing Flex Connect from ClearEdge Lending. Flex Connect takes the best features from an Agency origination process and applies them to Non-QM loans, allowing you to reduce documentation and close quickly. ClearEdge Lending is the only Non-QM lender to offer this new program. We have been originating and securitizing Non-QM loans as a true end-investor since 2015. When you want innovation, speed-to-close and streamlined documentation you will find it at ClearEdge Lending. If you want to know more about FLEX and our many other innovative programs, please reach out to our Western Regional VP of Sales, Matt Shaw and our Eastern Regional VP, John Burns.

Does Loan Originator production data alone make you any better at recruiting sales talent? Don't get us wrong, there's a tremendous amount of value in contact and production data, but what happens next? Without a plan of action behind the data, you just end up with names and numbers on a spreadsheet. That might impress your boss, but it doesn't get you any closer to a hire. Model Match is an expert in strategic growth and recruiting based on 20 years of successful headhunting and recruiting in the mortgage industry. We know what it takes to attract and retain talent and our proprietary software delivers absolute value. Stop wasting time and money trying to manipulate CRM's and drip marketing software to recruit. Work smarter, not harder with our Market Insights Pipeline Builder and create a long-term recruiting business plan. Connect with Model Match for a demo and let us show you how we can supercharge your talent acquisition process.

Managing your own appraisal panel? It’s great to have the control, but managing your own panel comes with its own set of challenges (queue images of spreadsheets and overflowing inboxes). In this upcoming webinar, the Reggora team will talk about how to introduce automation to your appraisal ordering workflow. If you’ve been looking for ways to create new efficiency without hindering appraisal quality, this is worth tuning into. Learn more and register here!

How long does it take you to commit loans to Fannie Mae? 15 minutes? 20 minutes? More? In a recent case study, Jeffrey Cassetta of Ruoff Mortgage discusses how he’s committing loans to Fannie Mae in less than 3 minutes. Mr. Cassetta states, “I load it up, push a button and within minutes they’re all committed. 54 loans, 12 different commitments, less than 3 minutes.” Wondering how he does it? Read the case study to learn how this technology has forever changed how he sells loans to Fannie Mae. Here’s a stat for you: 141,000 commitments were made to government sponsored entities (GSEs) in 2020 through MCT’s Rapid Commit technology. Its application programming interface with GSEs combines pricing and commitment with intelligent best execution capabilities. Mutual clients are discovering a five times faster loan sale process while reducing data errors. Contact MCT or join MCT’s newsletter for more information.

The average mortgage takes 46 days to close, requires 30 touch points, and costs the lender nearly $2,500 to produce. In 2021 and beyond, that’s just not going to cut it. If lenders want to compete in coming years, they need to modernize their processes. But to invest in technology confidently, it’s vital to first understand the digital mortgage trends that matter to today’s borrowers. That way, lenders won’t buy costly technology that fails to impact the bottom line. Luckily, digital mortgage platform Maxwell just put together a list of 5 major forces that are shaping the lending experience. Arm yourself for success! Click here to read Maxwell’s new blog post, “Top 5 Trends Impacting Digital Mortgage Technology Today.”

“Founded in 2017, on the principal of transparent lending, Global Mortgage offers a secure cross-border financing solution to United States citizens seeking to finance property in Mexico. Our company is backed by billions in capital and is a regulated and audited financial institution in Mexico. Our staff has a combined 200+ years of international lending experience on both sides of the border and always has our clients’ best interest at hand. Every mortgage written by our company, no matter the loan program, is fully amortized, has a fixed rate, no pre-payment penalty, no balloon payment, and no hidden fees. Approved markets: Los Cabos, Puerto Vallarta, Punta Mita, Mazatlan, La Paz, Loreto, Puerto Penasco, Todos Santos, Rosarito, Ensenada, San Miguel de Allende, Monterrey (some markets are currently subject to approval on a per file basis). Learn more here, write to info@globalmortgage.mx, or call +1 (866) 509-4657 or +52 (624) 980-0500.”

Company News

There’s a new kid on the block in the consulting world: Gate House Strategies. Gate House will “focus on FHA/Ginnie Mae/HUD and Fannie Mae/Freddie Mac policy and programmatic compliance and litigation support including origination, servicing, claims, and property disposition; strategic growth opportunities; technology; public housing; and disaster recovery.” That includes providing extensive and unrivaled expertise in the operations of government-backed mortgage programs, including FHA (forward and HECMs; Multi Family and Healthcare), GNMA, and the GSEs, and with federal and state disaster recovery processes, public housing authorities, and community development programs, including the appropriations process, grantmaking, compliance and political intelligence.” The company is led by Former HUD Deputy Secretary and FHA Commissioner Brian Montgomery, Assistant Secretary for Public & Indian Housing Hunter Kurtz, Acting Assistant Secretary for Policy Development & Research Mike Marshall, Deputy Assistant Secretary and FHA Chief Risk Officer Keith Becker, and Senior Advisor to the FHA Commissioner Dror Oppenheimer. (If you have questions, contact Mike Marshall, Partner.)

Quicken Loans, America's largest mortgage lender and a part of Rocket Companies (NYSE: RKT), will officially change its name to Rocket Mortgage on July 31. This change will bring alignment to the overall "Rocket" brand, while also making it clear to homebuyers that technology, a core tenet of Rocket Companies, is injected throughout the entire homebuying lifecycle - from home search to mortgage closing. Recall that Quicken Loans became the largest lender in the country, closing more loans than any other retail mortgage lender, in the fourth quarter of 2017. The only difference current clients will experience is documents, letters and other communications that previously were labeled "Quicken Loans" will instead come from "Rocket Mortgage." QuickenLoans.com will remain operational after the legal name change. In its current state, it will direct clients to apply for a home loan with Rocket Mortgage. The site will then transition to accomplish other important objectives for Rocket Companies.

Capital Markets

Register now for MIAC’s live webinar on Thursday, May 20 at 2:00 PM EST to discuss the GSE Cash Cap: Preparing to Move from Cash to Guarantor. In this webinar, you will learn how to prepare for a guarantor relationship with Freddie Mac, differences between UMBS and cash from a funding perspective, and how MIAC is helping clients through this transition. This joint webinar will outline how MIAC and Freddie Mac are partnering to support the exchange of mortgages for securities, the optimization of liquidity and profitability, and the management of securitization risks. Join the discussion with MIAC’s experts: Brad Eskridge, Managing Director, MIAC Secondary Solutions Group, and Paul Raebel, Managing Director, MIAC Mortgage Delivery Services; with special guest speaker Sophie Prasada-Rao, Customer Education Services and Single-Family Delivery at Freddie Mac! Hosted by MIAC Analytics. Webinar registration is complimentary – reserve your spot today!’

Looking at potentially interest-rate moving news in the bond markets, we saw yesterday that inflation at the consumer level rose 0.8 percent month-over-month from March, reflecting gains in almost every major category, and 4.2 percent on a year-over-year basis, the most since 2009. The core measure, which excludes the volatile food and energy components, rose 0.9 percent month-over-month and 3.0 percent year-over-year, the most since 1982.

To be clear, the year-over-year CPI numbers are manipulated by COVID shutdowns at a moment when investors are fixated on widespread signs of price pressures even as the Fed insists any spike will be transitory. Regardless, all those figures came in higher than street expectations. More data like this could force the Fed to increase interest rates earlier than expected. Predictably, bond yields jumped. The fixation on the inflation data was even more evident in the fact that the market took little solace from solid demand at the $41 billion 10-year note auction on the day. With Treasury yields soaring higher, the MBS basis ended the day tighter.

Today’s economic calendar is underway with the Producer Price Index (+.6 percent, double the forecast, and core +.7 percent) and weekly jobless claims (553k, down from 566k, good news), and continuing claims came in at 16.8 million. Later this morning brings Freddie Mac’s Primary Mortgage Market Survey for the week ending May 13 and several Treasury auctions. Three Fed speakers: Richmond’s Barkin, Fed Governor Waller, and St. Louis’ Bullard, all speaking on (surprise!) the economic outlook and monetary policy. The Desk of the NY Fed will conduct the last two purchase operations on the current schedule, totaling up to $5.5 billion 30-year 2 percent and 2.5 percent. In the afternoon, the Desk will release a new two-week purchase schedule in addition to the mid-May to mid-June purchase estimate. We begin the day with Agency MBS prices roughly unchanged and the 10-year yielding 1.69 after pulling back yesterday to 1.70 percent.

Employment and An Award

“Offering the latest technology is no longer a luxury, it’s a necessity. And Sierra Pacific Mortgage delivers! If you want to work for a company that is developing and deploying the latest technology in order to drive a WOW experience, then consider being part of our winning mortgage team. We’re looking for candidates that embrace technology to create efficiencies while believing that a human approach strengthens our partnerships and commitment to unparalleled service. We welcome confidential conversations with anyone wanting to learn more about our successful Sales Team. If you are interested in joining us, email Careers@spmc.com. Find out more about Sierra Pacific’s culture here.”

NOVA Home Loans is excited to welcome two new mortgage professionals to help lead its support staff: Benjamin Schifferer will come in as VP of Underwriting, and Brooke Schlachter will join as the Director of Processing! Benjamin Schifferer has led multiple underwriting teams at many top lenders in his career. He specializes in collaborative efforts, implementing Loan Origination Software, and creating new policies and procedures. He is a married father of three who enjoys coaching youth sports, biking, and skiing. Brooke Schlachter entered the mortgage industry as a Retail Loan Officer over 20 years ago, and has since managed sales, processing, and operations teams in both the wholesale and retail worlds. She values empathy and urgency in her work, and she enjoys the outdoors with her family and two dogs in her spare time. If you’re interested in becoming part of the NOVA family, visit joinnovahomeloans.com!

AmeriHome Mortgage, the 3rd largest correspondent and 14th largest mortgage lender in the country, is hiring for several positions! AmeriHome’s Correspondent Lending Division is actively looking for an AVP, Pre Purchase Review Manager in Dallas, TX, an AVP, Pre Purchase Review Manager in Columbia, MO, a Loan Review Specialist (C3), an Operations Account Executive, and a QC Compliance Analyst as well as many more positions in Southern California, Texas, and remote! Why commit to a career at AmeriHome? AmeriHome promotes a thriving culture of teamwork and symbiotic growth, where one's victory is a victory for all.  One employee says, "My team members, managers and coworkers contribute to my success at AmeriHome. I am extremely grateful to have been working with such an amazing group of people who help each other grow." Follow AmeriHome Correspondent on LinkedIn to keep up on any updates, resources, job openings, and more! Visit its careers page to view all open positions, and submit resumes to careers@amerihome.com to schedule an interview.

Did you know Caliber is ranked No. 2 when it comes to the number of loan originations made to Latinos? That’s not by accident. On HousingWire’s “Honest Conversations” podcast, Chief Human Resources Officer Sean Harding explains how diversity and inclusion begins within Caliber’s walls. Last year, 50% of all entry-level hires at Caliber were minorities. An incredible 60% of Caliber’s workforce is female, with roughly 50% of leadership positions held by women. Caliber is breaking the glass ceiling and setting the standard. If you want to be a part of a company where diversity inclusion begins with employees and ends with our customers, then Caliber is the place for you. Join our diverse Sales or Operations teams, email James Hecht or Jonathan Stanley respectively.

Congratulations are due! The Mortgage Bankers Association (MBA) has presented its annual Burton C. Wood Legislative Service Award to John Fleming, Counsel of the Law Offices of John Fleming, and General Counsel of the Texas Mortgage Bankers Association. The award is given annually to an MBA member employee in recognition of his or her sustained superior service to the association and the real estate finance industry.