6.18.24 Household Composition; Brian Levy on Junk Fees; Fed Speakers Galore

Today’s podcast is brought to you by Quontic. Quontic serves all 50 states as a federally chartered digital bank, and they're a US Treasury designated CDFI. Their mortgage loan programs are created to be adaptive to customers’ unique circumstances, reducing the hassle of reams and reams of paperwork. Quontic’s mission is to help creditworthy borrowers get home loans and give them the “yes” they’ve been waiting for.

Transcript

It’s been 55 years since Bryan Adams’ Summer of ’69. (That’s 55 years prior to the latest CFPB action against a lender.) Here in Hawai’i, the population during that time has increased, but has leveled off in recent years at about 1.4 million (for perspective, matching San Diego’s population) housed in 572,000 housing units (62 percent owner occ). Nationwide, “tying the knot” before buying a place has become more optional over time. The U.S. Census Bureau released estimates showing that married-couple households made up 47 percent of all households in 2022, down from 71 percent in 1970. Estimates from the America’s Families and Living Arrangements also show that about 80 million U.S. households in 2019 were family households. Of those, 58 million were married-couple households, about 6 million were a male householder with no spouse present, and 15 million were a female householder with no spouse present. Additionally, nonfamily households were about 19 percent of all households in 1970, but by 2022, they made up about 36 percent of all households. Women living alone made up the largest percentage of nonfamily households in both 1970 (12 percent) and 2022 (16 percent). Fabled bachelor pads? The share of households with men living alone grew from about 6 percent in 1970 to about 13 percent in 2022. Today’s podcast is found here, and this week’s is Sponsored by Quontic whose mission is to help creditworthy borrowers obtain home loans and give them the “yes” they’ve been waiting for. Hear an interview with attorney Brian Levy on the Consumer Finance Protection Bureau’s inquiry into junk fees contributing to increasing mortgage closing costs.

Jobs

_________________________________________________

Canopy Mortgage is drawing in high-performing loan officers from across the Nation and continues to remain profitable as it moves into the second half of the year! In a market where few National lenders have achieved profitability, Canopy Mortgage stands out. The company is progressing with sustainable momentum and is seeking branch managers to join their success story. Their innovative approach is providing the competitive edge unlike anything this industry has seen before. To learn more about their disruptive technology, reduced cost of funding loans and competitive P&L model, reach out to Josh Neumarker at 888-696-9076 or Click Here to schedule an exclusive Tech-Demo and witness their technology in action.

Servicing tech leader Sagent is adding a product marketing manager (PMM) role to build momentum as Sagent brings its future-of-servicing platform, Dara by Sagent, to the $14T mortgage servicing industry. The ideal candidate knows how to relentlessly drive demand by defining segments and personas, creating relevant content of any type (including presentations, blogs, videos, webinars, social, and whitepapers), and building relationships with Sagent’s team of experts who execute reliably alongside the nation’s leading servicers and lenders. In this hybrid role based in Dallas, TX, the PMM will work closely with Product, Engineering, Sales, Customer Success, Finance, and Marketing as they oversee product launches, messaging, pricing, packaging, positioning and more, ultimately generating net-new top-of-funnel opportunities plus overall conversion in a long-lead B2B SaaS sales cycle. If this sounds like the perfect fit for you, learn more and apply here. 

Remember: job seekers can post their resumes for free on www.lendernews.com where employers can view them for several months for a nominal charge.

Software, products, and services for lenders and brokers

_________________________________________________

In today’s fast-changing market, one thing has remained consistent: home price growth. With the rising prices, demand for HELOCs and home equity loans has also increased. Do you have the right tools in place to capitalize on today’s home equity lending opportunities? In this short video, Margie Ambrosio, SVP Information Systems Manager at George Mason Mortgage, shares her unique perspective on why home equity lending should be a “no-brainer” for today’s lenders and how Encompass® by ICE Mortgage Technology® makes it easy. Click here to watch the full video.

MSR holders know that a great subservicing relationship can help reduce costs, lower delinquency rates, and improve borrower relationships. But the fear of a rocky transfer process keeps many from realizing all these benefits. Join Servbank’s cohosted webinar with the Mortgage Bankers Association on July 11 at 1-2p ET to learn how handling thousands of service transfers has gotten Servbank’s transfer plan down to a science. With a battle-tested plan and a laser-focus on customer experience, the painless service transfer is a reality. Register for the webinar today! The webinar is free for non-members by creating an account and entering the campaign code “SERVBANK100” at checkout.

“Symmetry’s Piggyback Special was extended for yet another month! There are many opportunities to present a Piggyback HELOC, with home purchases once again on the rise. Download our Piggyback Conversation Starters flyer to learn when to present a HELOC to your clients. Reasons to offer a Symmetry Piggyback HELOC include: only 10.01 percent down on primary residence (gift funds allowed), average close time 7-10 days with a full file, no reserve requirements, non-occupant co-borrowers allowed, can lower combined payments, competitive rates, great pricing, and less cash to close. Contact your Area Manager to learn more about who qualifies for this deal.”

“With nearly 40 years of experience in mortgage banking, Richey May knows the industry from every angle. Many of our team members are credentialed industry experts who dedicate much time to building up other industry experts. From this expertise, Richey May has created a wealth of services and products to help lenders stay ahead - audit and tax services, cybersecurity solutions designed to protect company assets and sensitive borrower information, intelligent automation tools for streamlined operations...you name it! Whether you're leveraging our innovative platforms or having us work as your extended team for outsourced internal audit or accounting services, get ready to tackle challenges faster with some serious firepower on your side. Everything you need: contact our experts today!”

“Never let a good crisis go to waste.” You’ve likely heard that one before … but it has a certain relevancy now as 91 percent of adult Gen Zers in a recent Redfin survey cited housing affordability as the most important factor for who they’ll vote for in the upcoming presidential election, more relevant than abortion, immigration or the economy. It’s a crisis ready-made for lenders to connect these buyers with down payment assistance (DPA). Down Payment Resource, the OG of DPA, has technology to connect you with the world’s largest DPA database, including an integration with Encompass by ICE Mortgage Technology to help lenders operationalize this resource (and several Encompass users already have!). To learn more, schedule a demo.

The year is 2030... A couple stands in an open house, pulls out their iPhones, runs a payment and closing cost scenario, updates an LO-vetted pre-approval letter, and AirDrops it to the Realtor on the spot to submit an offer. Just kidding, that's happening today! If your tech stack doesn't support that, it's time to call LenderLogix! 

Life happens. Help your customers prepare for it by showing up in the moments that matter. From important milestones and exciting achievements to challenging times, your customers’ lives are filled with activity that impacts their financial needs and goals. By continuously enriching profiles with new data and providing dedicated alerts for specific activity, Total Expert Customer Intelligence ensures you’re ready to act the moment a customer experiences a life event or signals intent to make their next major financial decision. Get your guide on how you can generate more loans and build lifelong relationships by identifying opportunities to guide and support customers through major life events.

Winning Agent Business: The lender’s guide to building a strong referral network, updated for 2024. In the aftermath of the NAR ruling, agents are more incentivized than ever to show their clients value. That means they’re actively looking to partner with top-tier lenders in their market. Want to take advantage and grow your referral business? Maxwell just updated its Winning Agent Business eBook with new tips straight from agents to help you better network to create a strong funnel of referral leads. Download your free copy to learn qualities agents value in their lending partners, networking dos and don'ts, ways to become a go-to lender, and more.

Training & webinars this week, many today

_________________________________________________

A good place for longer term conference planning is to start is here, and click on “Conference List” for in-person events in the future.

Every Tuesday at 11am PT, two veteran LOs discuss all things mortgage with Industry Leaders. Mortgage Pros 411 with Audrey Boissonou and Kevin Casey.

To learn more about advanced hedging concepts, join the Hedging 201 webinar led by Optimal Blue experts today at 1 p.m. CT. This session will cover essential topics such as pull-through rates, the impact of clean data on your model, loan sale best practices, duration models, as well as position and gain/loss reconciliation. Secure your spot for the Hedging 201 webinar today to gain valuable insights on hedging in a volatile market.

Join Curinos today at 1pm CT for an insightful webinar on margin-management strategies to optimize your mortgage market position, sustain competitive advantage and maximize profitability. In this session, we'll explore key metrics and methodologies for understanding your current market position, identifying optimal pricing strategies and maintaining a strong go-to-market framework. Whether you're a seasoned margin-management professional or only peripherally involved in pricing decisions, this webinar offers valuable insights and practical pointers to help you navigate market complexities and achieve sustainable success. Reserve your spot now!

It's that time again, Pensford's Q2 Interest Rate Webinar with JP Conklin takes place June 18th at 1PM ET. Topics of discussion include fixed and floating rate forecasts, rate cuts in 2024, hedging costs and strategies, soft landing or recession, disinflation and labor market weakness.

FHA Credit Underwriting Training in Nashville, TN, today, 9:00 AM – 4:00 PM (Eastern). This free, in-person training will provide an overview of FHA underwriting procedures and take an in-depth look at a variety of topics including credit, income, and asset (CIA) documentation; manual underwriting; automated underwriting systems (AUS); closing; and more.

Your 2024 Midpoint Reset with Dr. Bruce Lund, today at 2pm ET.

Learn more about HFA Advantage’s features and benefits, eligibility and homebuyer education requirements and new product enhancements, register for a Freddie Mac complimentary webinar today, June 18, 2:00 PM -3:30 PM (EST). You'll also learn more about DPA One®, a new online platform developed to help lenders and loan officers find and match their borrowers to eligible down payment assistance programs through a single, online access point.

Join Texas Mortgage Bankers Association on Thursday, June 20 at 11:30 am - 12:30 pm for an insightful and impactful webinar on Strategies for Growing Builder Business with Nicollette Chapman, Senior Vice President of the Mortgage Division at Zonda, and moderated by Bryan Walker, Director of Business Development at Zonda.

June 20-21, in the one and only Honolulu, the MBAH’s annual conference will take place! No neckties required! Come say hi.

TMBA has a webinar on Strategies for Growing Builder Business, June 20th from 11:30 am - 12:30 pm, with Nicollette Chapman, Senior Vice President of the Mortgage Division at Zonda, and moderated by Bryan Walker, Director of Business Development at Zonda.

Thursday will be another episode of The Big Picture at 3PM ET on 20th, Rich Swerbinsky is interviewing Chris Bixby, Managing Director of Strategic Equity Investing for Rice Park Capital.

The Non-QM Town Hall is back bringing you a deep dive into the market dynamics of non-QM, sharing secondary market updates, providing insights for seasoned non-QM professionals, and exploring strategies for newcomers. This Town Hall format fosters an interactive dialogue with our featured non-QM leaders. The first session is Thursday, June 20 with the State of Non-QM, followed by two sessions aimed at non-QM’s primary audiences: Business Owners in July and Real Estate Investors in August. Sign up here.

Friday the 21st will see an episode of The Mortgage Collaborative’s Rundown with Melissa Langdale and me covering current events in the mortgage market for 30 minutes starting at noon PT, 3PM ET.

FHA’s Office of Single Family Housing, in collaboration with the Department of Housing and Urban Development’s (HUD) Office of Housing Counseling announced the availability of its new, pre-recorded webinar, Overview of Resources for First-Time Homebuyers. For both program participants and prospective homebuyers, this free webinar addresses some key home buying myths, provides an overview of FHA single family mortgage programs, and offers guidance on working with HUD-approved housing counseling agencies. Read HUD’s press release for more information.

Capital Markets: rates improve somewhat

_________________________________________________

Bond yields rose to open the week as traders geared up for today's retail-sales data that is expected to provide evidence the economy is slowing and the consumer is getting tired. Contributing to the move lower in bond prices yesterday were a flurry of high-grade corporate bond sales that exceeded $21 billion, led by Home Depot. Yesterday's market movement flew in the face of geopolitical concerns over French President Macron’s surprise call for a snap election at the end of the month. There is also certainly some caution out there about the Fed’s reluctance to cut rates.

Today has a full economic news calendar ahead of tomorrow’s close for the Juneteenth holiday, and kicked off with retail sales for May (+.1 percent, ex-auto -.1 percent), which were expected to remain flat. Later today brings industrial production and capacity utilization, business inventories for April, a Treasury auction of $13 billion reopened 20-year bonds, and remarks from several Fed speakers: Richmond President Barkin, Boston President Collins, Dallas President Logan, Governor Kugler, new St. Louis President Musalem, and Chicago President Goolsbee.

Kicking off this week’s full slate of Fed speakers, Minneapolis President Kashkari yesterday said that the Fed is well placed to take its time and watch incoming data before starting to cut interest rates.Also of note, the RBA announced its latest monetary policy in the wee hours of the morning: no change to the policy rate. Ahead of Wednesday’s federal holiday, including the financial markets, we begin the day with Agency MBS prices better by about .125 from Monday’s close, the 10-year yielding 4.24 after closing yesterday at 4.28 percent, and the 2-year at 4.75.

It’s so hot this summer…

The Halloween candy at Walmart and Costco is starting to melt.

Visit www.robchrisman.com for more information on our industry partners, access archived commentaries, or to subscribe to the Daily Mortgage News and Commentary. If you’re interested, visit my periodic blog at the STRATMOR Group web site. The current blog is titled, “Catastrophe and Climate Risk Is Only Increasing”. The Commentary’s podcast is live and at any place you obtain your podcasts (like Apple or Spotify).

qoɹ

(Market data provided in partnership with MBS Live. For free job postings and to view candidate resumes visit LenderNews. This newsletter is for sophisticated mortgage professionals only. There are no paid endorsements by me. For up-to-date mortgage news visit Mortgage News Daily. For archived commentaries, or to subscribe, go to www.robchrisman.com. Copyright 2024 Chrisman LLC. All rights reserved. Occasional paid job & product listings do appear. This report or any portion hereof may not be reprinted, sold, or redistributed without the written consent of Rob Chrisman.)