There are some who firmly believe that the Hubble Telescope was sent into space to spy on us. These people are better advised to wonder what Google is up to, without having a telescope. Mr. Cooper and Google Cloud are partnering to create a “customer-centric digital mortgage servicing platform powered by advanced automation technologies,” the Mr. Cooper Group announced. The product will use artificial intelligence (AI), machine learning, data analytics, and cloud scalability. Many are interested as well in the news that Google Photos now stores 4 trillion photos and videos for more than a billion users. Even millions of iPhone, iPad and Mac users prefer it to Apple’s alternative due to better search, more features, cheaper storage (at least until June 1). But if you're among them, Google’s latest data harvesting admission and its continued block on a key Apple privacy measure should serve as a serious warning that it’s now time to switch. For better news, today’s audio version of the commentary is available here; this week’s is sponsored by loanDepot Wholesale, striving to build successful long-term relationships with its Origination Partners.

Lender Services and Products

Bring the different areas of your business together and serve all borrowers and product types with RM Automate and the robust Zoral Automation Platform. More than just robotic process automation (RPA), or a spot solution designed to address one specific use case, intelligent automation leverages artificial intelligence and advanced decisioning to allow companies to completely reimagine the entire loan manufacturing process. Leveraging the Zoral Automation Platform, our team works with clients to deliver automation from front end to back end, allowing you to meet borrowers of all types, from whatever channel, where their needs are. Contact us to schedule a demo today of Richey May’s intelligent automation platform.

James Brody, Chair of Johnston Thomas's Mortgage Banking Practice Group, as well as The Mortgage Collaborative, are co-hosting a complimentary webinar at 10:30 AM PST, on Wednesday May 26, titled "Loan Officer Compensation Update: Tips and Trends to Gain a Competitive Edge in 2021 and Beyond".  In addition, Johnston Thomas’s Sean Stephens will be hosting a complimentary webinar at 10:30 AM PST, on Thursday June 10, titled “Transitioning to Delegated Underwriting: How to Increase Profitability While Mitigating Risk”.  In the event you have any questions regarding either of these two upcoming webinar programs or the services offered by Johnston Thomas, please contact Mr. Brody directly.

Carrington Mortgage Services, LLC’s Non-QM Team is UNquestionably dedicated to providing top-notch customer service on Carrington’s UNparalleled Non-QM loan solutions. Carrington has recently welcomed regional sales managers Ryan Golden and Michael Suits to the team to help brokers take advantage of Carrington’s full suite of Non-QM, government and conventional financing. They will help you unlock best solutions, serve the underserved, and help borrowers from across the credit spectrum. Have questions? Please reach out to Ryan or Michael.

“At Planet Home Lending, LLC, we’re proud of our growth and accomplishments, including being ranked the #4 aggregator for government production by The Mortgage Collaborative (TMC), a testament to our competitiveness and service levels. Give us a call and let us help you continue to grow your business with government, plus the niche products that keep MLO’s producing in all market conditions. Contact Jim Loving (414-270-0027).”

Have you experienced challenges finding profitable outlets for key loan characteristics in the last year? What if you could pick up 46 bps on your government production, 42 bps on loans under $200k, or 89 bps on low-FICO government production? Those are the average covers MCT clients have experienced using BAM MarketplaceTM, the world’s first truly open loan exchange. This week, MCT publicly introduced the new exchange. “Gone are the days of a finite set of investors, not knowing who has an axe or who may offer the best price,” said Curtis Richins, President at MCT. “BAM Marketplace is the only exchange where sellers can receive executable bids from unapproved buyers. Through our patent-pending ‘security spread commitment’, MCT moves one step closer to the ultimate goal: When every loan can be priced by every investor.” Join MCT on June 9th for a webinar providing a demonstration and details.

Here’s a true story about the power of Relationship Engagement: a loan officer we know made the President’s Club… From a hospital bed! On a mortgage company’s production cruise not long ago, a winner slipped near the pool and landed on the back of his head. He was unconscious for 20 minutes, but when he woke up, he felt fine. Turns out he wasn’t fine. In fact, he almost died and spent a year in the hospital. That same year, from his hospital bed, he originated $12 million. How? Great relationships, a great assistant, and automated marketing. His Realtors and clients had no idea he was even sick. They continued to get great service from his assistant and targeted, personalized marketing from Usherpa. According to the Loan Officer, “Without Usherpa, I’d be out of business.” Find out how to originate more loans from anywhere with this free eGuide from Usherpa.

Polly is now the industry’s first Product, Pricing & Eligibility Engine to offer fully automated lock desk functionality. The latest feature enhancement allows lenders to auto-accept locks, extensions, relocks and float downs defined by their own custom rule logic.  This functionality is the next step in Polly’s mission to provide secondary and capital markets teams with software products that optimize revenue on each loan, reduce costs by streamlining workflows, and provide data driven analytics at their fingertips. To learn more or schedule a demo email Jacob Gerson or visit www.polly.io.

The Mortgage Origination Checklist Manifesto could have been the name of a best-selling industry book. Perhaps it still needs to be written. From LOs and LOAs to Processors and Underwriters, everyone uses checklists to make sure things gets done right. Checklists are easy to create, easy to understand, and easy to use. However, they are often created for one person's needs and do little to enable the whole origination team to work together more efficiently. Now imagine an online, ultra-productive, collaborative checklist that coordinates every step of the process for every origination team member and integrates with your CRM+POS+LOS? That’s what this division of American Pacific Mortgage did with TeamworkIQ. The results? After a quick implementation, efficiency jumped so much that 4x the loans got closed and revenues grew 280%. See the case study and test-drive a customized, actionable, online, collaborative lead-to-loan checklist for free.

Ever wonder how to measure the success of your digital VOA products? FormFree thinks about this 24/7/365. With modern UI and OAuth connections to thousands of financial institutions, FormFree customers average an astounding 58.9% borrower adoption. That means more than half of borrowers experience the delight of electronically verifying their accounts with AccountChek, while lenders reap the benefits of reduced loan manufacturing costs and greater GSE purchase certainty. Have questions about how to elevate your VOA adoption standards through your POS or LOS? Reach out to Christy Moss, CMB, to explore a solution.

Agency changes

PennyMac Correspondent will make updates to the Conventional LLPAs effective for all Best Effort commitments taken on or after Wednesday, May 19, adding new ‘Investment Property - AUS Type’ LLPA to Conventional LLPAs tab.

Citi Correspondent Lending Bulletin 2021-06 Contents include COVID temporary policy updates to appraisal requirements for agency transactions, Desktop Underwriter Updates, Second Home Co-ops with Subordinate Financing, DTI calculation on 30-day accounts, clarifications on Ownership Interest for First-Time Homebuyers, W-2 requirements, Visa Classifications update, Ground Lease on Co-op Properties and UCD Critical Edits Reminder.

This loanDepot Weekly Announcement discusses eligibility expansion to include Lending in Arkansas and Mississippi, FHA Standard 203(k) program reinstatement and enhancements, Texas Homestead Refinance Expansion, and updates in the loanDepot Conventional Lending Guide regarding COVID-19 Temporary Guidelines Non-Arms Transactions.

Starting with new locks as of Friday, May 14, Flagstar Bank is implementing loan level price adjustment updates on eligible Agency investment property and second home loans and  updating the LLPA on the Jumbo One-Close Construction.

The Flagstar Bank Conventional Underwriting Guidelines have been updated, effective immediately, with clarifications on Cryptocurrency, long term disability income with Freddie Mac,  pro-rated real estate tax credit, Freddie Mac cash-out and rate term seasoning requirements and Power of Attorney.

In an ongoing effort to align with agency delivery requirements, Franklin American Mortgage Company has further updated the LLPA grids on its best-efforts rate sheet impacting Investment Property and 2nd Home transactions. The changes include differentiating the adjustments based on AUS source (DU/LP) and further deteriorating the adjustments for certain LTV buckets. All pricing vendors have been notified, review the rate sheet once published for the new LLPA’s.

Arch MI will align with Fannie Mae’s and Freddie Mac’s announced extensions of COVID-19-related temporary underwriting requirements and supports the expiration of specific temporary requirements. For a list of requirements that are expiring on April 30 and May 31 and others that will remain in effect until further notice, read a full overview of Arch MI’s position on the Agencies’ changes in our latest Customer Announcement.

MWF posted Bulletin 21W-030 regarding Freddie Mac’s Extension with Notice of Expiration.

Capital Markets

We saw a little volatility return to the bond market yesterday. The Federal Open Market Committee minutes for April weren’t expected to be market-moving, but it was revealed that "a number of participants" believe that a discussion about adjusting the pace of asset purchases might be appropriate soon if the economy continues making rapid progress toward the Fed's goals. While not imminent, it does fly slightly in the face of Chair Powell’s comments from his previous press conference that it is not time to talk about tapering assets. Regarding inflation, a number of participants expressed concern about ongoing supply chain bottlenecks and input shortages leading to upward pressure on prices past 2021.

Fannie Mae’s Economic and Strategic Research (ESR) Group revised expectations for full-year 2021 economic growth upward in May to 7.0 percent, a modest improvement from last month’s projection of 6.8 percent. The increase was attributable primarily to stronger-than-expected first quarter real GDP growth and an improved near-term outlook for consumer spending. The additional strength in consumer spending was previously projected to occur later in 2021 or early 2022, but recent incoming data increasingly points to eagerness on the part of consumers amid continued progress mobilizing COVID-19 vaccinations and waning virus-related restrictions. Downside risks to the forecast include supply chain disruptions, labor scarcity, and rising inflationary pressure.

Today's busy economic calendar is already out of the gate, and we have seen both weekly jobless claims (-34k to 444k, continuing claims were +111k to 3.75 million) and Philadelphia Fed manufacturing (-18.7 to 31.5, much weaker than expected). Later this morning brings April leading indicators, Freddie Mac’s Primary Mortgage Market Survey for the week ending May 20, and remarks from Dallas Fed President Kaplan. Today’s MBS purchase schedule sees the largest support of the week at $6.3 billion with one operation in each class. We begin the day with Agency MBS prices better by .125 and the 10-year yielding 1.65 after closing yesterday at 1.68 percent.

Employment and Transitions  

Agility has been a hallmark of Thrive Mortgage for many years. The key to remaining agile in an ever-evolving industry has been to leverage the collective experience and innovative spirit amongst our employees. As agencies move out of NOO and Second Home products, Thrive chose to empower its Product Committee, one of twelve employee-led leadership teams, to design a smarter alternative. The team quickly leveraged their vast relationships to bring in-house options to the table to ensure every client continues to share in a legendary lending experience. Product Committee Chair, Jason Reedy, Branch Manager in Troy, OH stated, "We always see opportunities where our competition sees obstacles. Our reputation and deep relationships with investors provide a decided advantage in designing solutions for our clients." Thrive is continually looking for professionals who are hungry, humble, and smart. To discover available growth opportunities, connect with Director of Sales Innovation, Phil Treadwell.

National MI is excited to announce that Jason Schumacher has returned to National MI. After spending some time gaining origination experience, Jason returns to National MI to expand our coverage in the Northeast Region. In addition to mortgage origination, Jason has worked in processing, secondary, construction lending and has over 5 years in direct mortgage insurance sales. Jason is joining forces with Ernie Grue covering the DC, MD, and VA markets. Jason graduated from Longwood University with an accounting degree earning magna cum laude honors, where he also spent 4 years as a member of the Longwood University golf team. Hobbies include playing golf, working out and spending time with family.

Do you have a team of data scientists and marketing experts working to monitor your past customers and alert you to new loan opportunities? If you work with Caliber Wholesale, you do. Our team has developed some of the most sophisticated, and accurate, models in the business to provide our brokers and loan officers with purchase, refinance, and cash-out opportunities. Via our Reconnect program, thousands of customers are referred back every month to help fortify your relationships and elevate your business. Join the Caliber Team! Reconnect is just one way that Caliber Home Loans invests in our brokers and creates the best outcomes for every homeowner. Join the Wholesale team at Caliberand see what it means to be supported and appreciated. You can also email whslcontactus@caliberhomeloans.com to see how you can reach a #HigherCaliber of performance and customer experience.

Sun West Mortgage Company [NMLS ID 3277], a leading full-service national mortgage lender, is excited to announce the introduction of John Dickinson [NMLS ID 387538] Reverse Mortgage Planner, to the expansion of its West Coast operations. John’s compassion for helping senior citizens and allowing them peace of mind with their finances has kept him thriving in the mortgage industry for over 30 years. “A Reverse Mortgage is a good financial vehicle for seniors in retirement,” John emphasizes. His mission is to guide clients to utilize a rare beneficial program that leads them to tremendous opportunities. Leif Boyd, Managing Director, believes, “John brings a wealth of experience and success to our team. He leads with client experience and consistently does the right thing for his customer. We are honored that John chose to bring his talents to enhance our growing team.” For more information on Sun West, please contact Managing Director, Leif Boyd or SVP, Business Development, Peter Schwartz (916-770-0053). (Click here for Sun West licensing information and disclosures.)

First American Financial Corporation announced that Kenneth DeGiorgio has been named president where he will have 

Andy Spicer has joined non-agency lender Deephaven as VP of Client Development, Correspondent.

Out of Nashville comes news that Built, a provider of construction finance management software, services, and payments and which raised $88 million in Series C funding, announced the appointment of several members to its senior leadership team: Bob Elliott to Chief Revenue Officer, Bill Parker to Chief Technology Officer, Nichole Wischoff to VP of the company’s Built for Construction vertical, Matt Marshall to VP of Client Services, and Stephanie Rolewicz to Director of Implementations and Lender Channel Partnerships.