You knew that Minnesota has 90,000 miles of shoreline, more than California, Florida, and Hawaii combined, right? Here at Servion’s Fusion 24 event in Minneapolis, credit union talk is focused on helping members: “If you want a client for life, ask them about their life.” Some of the talk also is about the results of the election. Certainly the bond market reacted to the election results, and an owner of a mid-sized mortgage bank wrote to me yesterday opining, “Well Rob, we’ll have less business, so more cost cutting, but be less regulated in doing it.” Today’s episode of The Big Picture, sponsored by Gaffney Austin, LLC, at 3PM ET and will focus on the election results with MBA President Bob Broeksmit. (You can click here to register.) Technology and cybersecurity are also topics, and if you’re interested, here’s a real-time map of cyber-attacks on the U.S. (Today’s podcast can be found here, and this week’s is Sponsored by Calque. Partner with Calque to offer better loan solutions. Scale your business with a partner that puts your brand first and empower your clients to buy before they sell. Hear an interview with Champions Funding’s Evan Stone on his view of the current non-QM space and how expanding guidelines are putting more people into homes.)

Lender and Broker Software, Services, and Products

In today’s competitive market, lenders must capitalize on every opportunity to reduce costs and drive operational efficiency. By leveraging automation to accelerate the underwriting process, you can close loans faster and deliver a better borrower experience. Click here to discover how Global Credit Union partnered with ICE Mortgage Technology to streamline income calculations, minimize underwriting support, and access vital information earlier in the process.

Did you know in September, annual house price appreciation nationally slowed for the ninth consecutive month, falling to the slowest pace since the summer of 2023? It's true! In case you missed it, First American Data & Analytics recently released its September Home Price Index (HPI) report where you can receive the most current insights into home price changes at the national, state, and metropolitan CBSA levels. In the report, First American Chief Economist Mark Fleming says, “While home prices reached a new record high in September, the pace of growth continues to slow. Lower mortgage rates have improved affordability, which will likely stimulate demand in the coming months, especially if rates continue to ease." Download a full copy of their report to learn more valuable insights.

Focus your efforts, be more effective, and achieve sustainable growth with Richey May’s RM Analyze. See how you’re performing in vital production and operational areas in comparison to your peers and highlight where you can reduce expenses, for half the cost of a full-time employee. With RM Analyze + Peer View Ops you’ll gain access to a strong bench of mortgage industry experts and a suite of pre-built dashboards completely customizable to your needs. Our latest enhancements allow you to schedule email reports, so the most relevant KPIs are delivered straight to your inbox on a regular cadence so you don’t miss a beat. Empower your efforts - contact Spencer Smoot today!

“Deliver the best customer experience in mortgage servicing. LoanCare®, a leading national mortgage subservicer, helps you deliver exceptional customer experiences at a fixed cost. Powered by proprietary software, our consumer digital experience is designed to help you maximize brand engagement, customer relationships and recapture opportunities. Frictionless functionality coupled with advanced security features, intuitive design, and a comprehensive line of oversight puts you in the driver’s seat in the development of long-lasting customer loyalty. We offer an award-winning homeowner web portal and mobile app, an end-to-end white label program, omni-channel marketing services, multilingual translations, and more. To learn more about the full range of servicing solutions available from LoanCare, reach out to David Vida, Chief Revenue Officer, today or meet with the team in person at the IMN 10th Annual Mortgage Servicing Rights Forum in New York City, NY, November 21-22, 2024.”

“It was great seeing so many Planet Home Lending customers at MBA! If we missed you, be sure to connect with your Regional Sales Manager to discuss how our manufactured housing programs can support your affordable housing goals. Along with other niche products, manufactured housing can help build your business even stronger. We offer flexible delivery options (best effort, mandatory AOT, delegated, or non-delegated) to meet your needs. With a commitment to service excellence, Planet is also the fastest-growing non-prime sub-servicer, providing unmatched, best-in-class sub-servicing and asset management. Start your path to performance with Planet. Contact your Correspondent Regional Sales Manager to put us to work for you today!”

“If there were a magic wand that could lower homebuyers’ LTV by an average of 6%, wouldn’t you want one? We would, and we’d like to share what’s up our collective sleeves these days (no live animals, we promise). Down Payment Resource has worked since 2008 to emerge as the industry’s leading source for all things DPA, with a comprehensive database of all 2,400+ homebuyer DPA programs, a suite of software for connectivity, and a hard-working team to keep our program information current. Only Down Payment Resource delivers this nationwide DPA database and wizard-like lead generation platform, everything smart lenders need to become DPA conversant and gain a competitive edge. There’s no hocus pocus or trickery involved, just enchanting and powerful tools to transform more of your prospects into homeowners. Schedule a demo today to learn more.”

Don’t Poach Employees

Today at 1:00 PM EST, Garris Horn LLP’s James Brody will co-host a very timely webinar with The Mortgage Collaborative, titled “Hire & Recruit with Confidence: Best Practices to Mitigate and Defend Against Claims for Poaching and Solicitation.” Known for helping his clients successfully onboard individual and entire groups of loan officers, as well as defending his clients against poaching actions by competitors, James will share important advice and insights on how to equip your organizations with the proper onboarding tools necessary to ensure compliance, protect against poaching actions brought by former employers, and strategies to address circumstances where your top producing loan officers have been hired away by competitors. To register for this free webinar, click here, and for registration or topical related inquiries, please contact Mr. Brody.

Investor and Agency Changes

Whether it is disaster changes, adopting agency product changes, or rolling out products to help their clients, few are stagnating in an environment where high rates are sticky, and winter is coming.

On 11/1/2024, with Amendment No. 10 to DR-4828, FEMA identified an Incident Period End Date of 10/7/2024, for Florida counties affected by Hurricane Helene from 9/23/2024 to 10/7/2024. For more information, see AmeriHome Disaster Announcement 20241101-RL.

View AmeriHome Disaster Announcement 20241034-CL for information regarding Virginia Tropical Storm Helene incident period end date.

Pennymac is updating Jumbo LLPAs effective for all Best-Efforts Commitments taken on or after Friday, November 1, 2024. View Pennymac Announcement 24-116.

PHH Mortgage has added a multi-factor authentication process to the Post Closing Assist (PCA) website. If you have any questions, please feel free to contact your Sales Executive/Correspondent Sales Representative or Correspondent Specialist.

AmeriHome Mortgage General Announcement 20241036-CL summarizes previously published changes made during October, additional changes made with the announcement, and recent Agency and regulatory news.

Effective Tuesday October 22nd, PHH Mortgage began offering the Freddie Mac BorrowSmart Low Income product. Check with your Correspondent Specialist, Sales Executive, or contact us at the support line at 800-929-4744 to learn more about this great opportunity and be sure to check out the Product Guide on the PHH website.

Capital Markets

In any market scenario, it is crucial for lenders to analyze best execution options to maximize profitability when selling loans in the secondary market. Determining what execution is most efficient and profitable will have a big impact on the bottom line. MCT’s whitepaper, Optimizing your Best Execution Loan Sale Analysis, provides insight into determining your company strategy, delivery options, retain release decisions, and more. Download the whitepaper or join MCT’s newsletter to stay up-to-date on the latest educational content.

Oddly, we received a number of emails yesterday asking why mortgage rates shot up after the Trump election victory, especially given that Trump had promised to lower mortgage rates if elected (but provided no policy specifics). His victory fueled concerns over the growing national debt that could rise even more with proposed tax cuts, tariffs, and wage inflation if there is a large-scale deportation of undocumented immigrants. These policies could lead to higher inflation and more government borrowing which has already pushed the yearly interest on the national debt to $1 trillion. The outcome of congressional races could also affect mortgage rates: If Republicans maintain control of the House, rates could rise further, despite the Federal Reserve being widely expected to announce a 0.25 percent rate cut today during its policy meeting.

Investors are focused not just on Fed policy, but on how Trump’s trade policies could either slow or accelerate global growth. A second Trump administration is expected to roll back financial regulations and impose tariffs, creating inflationary pressures. Trump’s agenda likely includes extending the 2017 tax cuts, higher spending, and lower corporate taxes, along with tougher trade policies on China, Mexico, Canada, and the EU. His strong political mandate suggests he’ll pursue these policies aggressively, though the pace of implementation remains uncertain. The immediate concern is how these shifts, particularly in trade, will impact global growth. Stocks rose yesterday in anticipation of a business-friendly environment, while long-term bonds were under pressure. This was due to a "risk-on" sentiment that favors equities over bonds, stronger economic activity reducing the Fed’s ability to cut rates, and reduced demand for Treasuries as trade with surplus-running countries decreases.

All attention now turns to the Fed and the conclusion of its two-day meeting this afternoon. A 25-basis points rate cut is near fully priced in fed funds futures, so the Statement and Chair Powell’s press conference will be what investors are specifically watching.

Before the Fed, bond markets will get decisions from Sweden’s Riksbank, Norges Bank, and the BoE. Today’s economic calendar is under way with jobless claims for last week (221k, as expected, 1.892 million continuing claims) and the first look at Q3 productivity (lower than expected) and unit labor costs. Later today brings wholesale inventories and sales for September, Freddie Mac’s Primary Mortgage Market Survey, and September consumer credit. As the election results continue to be gone through, Agency MBS prices are roughly unchanged from Wednesday’s close, the 2-year at 4.23, and the 10-year yielding 4.41 after closing “Trump Day” (say it like a Geico camel) at 4.43 percent.