10.21.24 Small Home Retailers; Wilqo's Rob Katz on 2025 Preparation; Alive and Well Consumers

Today's podcast is brought to you by nCino, makers of the nCino Mortgage Suite for the modern mortgage lender. nCino Mortgage Suite's three core products -- nCino Mortgage, nCino Incentive Compensation, and nCino Mortgage Analytics -- unite the people, systems, and stages of the mortgage process. See how nCino can support a homeownership journey that your borrowers and your team will love at nCino.com.

Transcript

Sports have a lot of fans, and heroes. What a great time of year to be a sports fanatic. You
never have to leave your den, or local sports bar, when football, baseball, basketball, and
hockey are all on TV, and if you look around you can find golf and tennis! What isn’t a great time
is if you’re either lending or borrowing in Florida on a condominium. With Provident Funding
announcing that it is bailing on condos (more below), at some point it will be harder to finance
condos than co-ops. It’s also the time of year when a) lenders and vendors are trying to forecast
and budget for 2025, b) notices for organizational holiday parties begin being sent out, and c)
Costco is stocking Valentines Day items in its warehouses. Speaking of Costco, the company
has entered the housing business, in a manner of sorts. Costco stocks tiny houses, playhouses,
and garden sheds. So does Amazon: page down once or twice. (Today’s podcast can be found
here, and this week’s is sponsored by nCino, makers of the nCino Mortgage Suite for the
modern mortgage lender. nCino Mortgage Suite's three core products, nCino Mortgage, nCino
Incentive Compensation, and nCino Mortgage Analytics, unite the people, systems, and stages
of the mortgage process. Hear an interview with Wilqo’s Rob Katz on the biggest issues
mortgage bankers are facing today and how companies should be planning for 2025.)
Lender and broker software, services, and products
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By enhancing connectivity between originators, warehouse lenders, investors, and doc
custodians, OptiFunder provides a fully digitized and automated solution, transforming
the warehouse lending process and streamlining operations for mortgage originators.
OptiFunder’s Warehouse Management System (WMS) is an essential tool, funding
approximately one in every seven loans in the market. By leveraging its extensive network and
proactively collaborating with warehouse lenders to fulfill unaddressed needs, OptiFunder
introduced a revolutionary platform for warehouse lenders. Replicating the operational
efficiencies and connectivity it provides to mortgage originators, Greyhound WMS provides a
modern-day, configurable framework to meet warehouse lenders’ unique needs. An alternative
to legacy platforms, Greyhound connects warehouse lenders with originators, streamlines
complex workflows and enhances process automation for efficient funding, shipping, and
paydown requests. Meet with the OptiFunder team at MBA Annual or schedule a Greyhound
Demo to learn more. Sign up for OptiFunder’s Monthly Warehouse Lending Report here.
Maxwell’s Sidelined Home Buyer Report shows 40% of prospective buyers haven’t yet
connected with a lender. As rate cuts materialize and inventory recovers, sidelined home buyers
will begin to take action. Maxwell surveyed 1,000 would-be buyers to dig into their plans as they
look to enter the market over the next year. The data gives insight into this segment: Many say
they’ll look to buy when rates hit 5.5%, and nearly 80% say they’re “somewhat” or “very”
prepared to purchase once rates fall. Nearly 40% haven’t yet connected with a lender. Want to
gain more exclusive insight into a group of home buyers who will drive loan activity in 2025?
Click here to get your free copy of Maxwell’s Sidelined Home Buyer Report.
“Do costly, slow credit report updates delay your mortgage process? Instant
supplements from Informative Research provide a faster, more affordable solution.
Traditional credit supplements require days of verification, adding unnecessary time and
expenses, especially with rising credit reporting costs. With instant supplements, lenders
receive real-time updates, streamlining the process and significantly reducing overhead.
Discover how lenders are maximizing the benefits of Informative Research’s solutions by

utilizing instant credit supplements to reduce delays and costs, as discussed in our latest blog.
As the mortgage industry evolves, staying competitive requires efficient, data-driven technology.
Informative Research is helping its customers streamline operations and improve efficiency
through innovations like instant supplements. Visit us at Booth #317 during MBA’s Annual
Conference in Denver from October 27 to 30 to learn more about how our solutions can help
your business.”
Sometimes to move forward, you have to look back. In Bill & Ted’s Excellent Adventure, a time
traveler from the future takes the title characters on a journey through history so they can ace
their history report, finish high school, become rock stars, and bring everlasting peace to the
universe through their face-melting music. When it comes to reverse mortgage lending,
Smartfi is revolutionizing the market by empowering brokers to offer reverse mortgages
using already familiar forward-facing technologies such as LoanPASS. Using LoanPASS,
Smartfi doubled its broker network, reduced product configuration time to mere minutes, and
stabilized its profit margins across all loan products. Discover product pricing and decisioning
support for any product in any vertical. Read the case study. It’s totally tubular! Or drop by booth
#335 at MBA Annual next week and hear about it in person.
Wholesaler and correspondent news
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According to Home Mortgage Disclosure Act data, the mortgage industry left $200 million in net
revenue behind in 2023… Are you ready to stop leaving money on the table? Discover how
reverse mortgages offer a unique value proposition, empowering you to serve the growing
market of seniors who hold a wealth of untapped home equity. Longbridge Financial, LLC’s
(NMLS #957935) new initiative, A Blueprint for Reverse Mortgage Success, is designed to
give you the tools and strategies needed to capitalize on this massive opportunity.
Understanding the potential of reverse mortgages is just the beginning… You need a clear
blueprint to successfully integrate them into your business. Don’t miss this chance to expand
your offerings and tap into a market with immense growth potential. Heading to MBA? Schedule
a meeting with Longbridge CEO Chris Mayer! Can’t make it? Contact Adrian Prieto, SVP of
Wholesale & Third-Party Relationships to learn more.
 
TPO Go Launches TPO Go University, Establishes Position as Educational Resource!
Wholesaler TPO Go has established a unique position for itself as an educational resource for
broker and correspondent partners, launching TPO Go University, a mortgage education
platform that presents online webinars, training from industry experts, and broker certification
programs, all free. Phil DeFronzo, President and CEO commented, “At TPO Go, we have
always believed in the power of knowledge sharing and have many training and educational
programs within our organization. Now we’re taking that to another level for our partners to help
power up their businesses. We’ve had tremendous response and positive feedback, so we look
forward to continuing and building on our success for the mutual benefit of our teams and our
partners.” TPO Go is a leading wholesale residential lender, offering an exceptional experience
for broker and correspondent partners and their borrowers. Become a partner here.
Investor news
The September 2023 Appraiser Update had an article featuring 3D print homes. The Selling
Guide (section B4-1.3-05) explicitly states “A 3D printed home with a traditional design and
constructed using conventional building materials is not considered a unique or nontraditional

housing type. Lenders should follow the standard eligibility and comparable sales selection
requirements for site-built housing.” In other words, they allow delivery of loans secured by 3D
printed homes.
Rocket Mortgage, the nation's largest mortgage lender and a part of Rocket Companies and
Annaly Capital Management, Inc. (NYSE: NLY) ("Annaly"), the world's largest residential
mortgage real estate investment trust have entered into a subservicing agreement. Under the
relationship, Rocket will handle all servicing and recapture activities for a portion of the
mortgage servicing rights ("MSR") held by Annaly. Rocket Mortgage has ranked highest for
client satisfaction in J.D. Power's landmark mortgage servicer study for an industry-best 10
years – earning the first place in each category measured by the study in 2024. Annaly has built
a fully scaled MSR platform which holds servicing for approximately 608,000 loans, totaling
$192 billion in unpaid principal balance and $2.8 billion in market value as of June 30, 2024.
The company's MSR portfolio is made up of high-quality conventional loans with a weighted
average FICO of 757 at origination. Rocket Mortgage is expected to begin servicing loans for
Annaly as early as December 2024.
The Federal Housing Finance Agency (FHFA) published new national datasets on price
trends for manufactured homes. FHFA’s release of the House Price Index (HPI) and median
prices for manufactured homes provides quarterly data on the movement and level of
manufactured home prices nationally.
Fannie Mae posted the October Appraiser Quality Monitoring (AQM) List to Fannie Mae
Connect™.
Let Fannie Mae show you how to successfully report delinquency status information with step-
by-step instructions, review the reporting timeline, and learn how to clear common exceptions.
KDM Financial Small Balance Low Doc Program highlights include Max LTV 80%, Min FICO
680, Purchase, Rate/Term Refinance, cash-out, Loan amounts $250KK-$2M, no income or Job
verification, No prepay option available, and more.
LoanStream Wholesale expanded DSCR 5-8 Program is designed for your Investor Clients.
Highlights include Purchase, Rate and Term and Cash-Out, Residential 5 - 8 units, Occupancy:
Investment - $2 million max loan amount, Min FICO 680, 15 -YR Fixed, 30 -YR Fixed.
Events through and past Halloween; lots happening Tuesday
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A good place for longer term conference planning is to start is here for in-person events in the
future.
Visio Lending and STRATMOR Group present “Use DSCR Loans to Earn $150k Per
Client: The Broker Playbook for Growing Repeat & Referral Business.” Join Visio CEO Jeff
Ball and STRATMOR Director of Customer Experience Mike Seminari for an invaluable
webinar on using customer success principles to grow your DSCR broker business. Register
here for the webinar on Tuesday, October 22nd, at 3 PM CST.

Tuesdays at 11am PT, two veteran LOs discuss all things mortgage with Industry Leaders:
Mortgage Pros 411 with Audrey Boissonou and Kevin Casey. Catherine Hall Exec Director of
National Assoc. of FHA consultants.
Trading within the To-Be-Announced (TBA) mortgage-backed securities market at specific price
levels during volatile market conditions offers a streamlined process and greater confidence.
Agile, a groundbreaking fintech bringing mortgage lenders and broker-dealers onto a
single electronic platform, announced the launch of limit orders as a new quote request
option for all users. This functionality improves execution and efficiency and ultimately,
mortgage lender profitability. To further prepare for upcoming election-related market volatility,
join Agile on October 22, at 11 AM PT for the latest Agile Trader Talk Webinar for a discussion
on how the election, no matter the outcome, could impact the Mortgage-Backed Securities
(MBS) market.
Join MaryKay Scully for an interactive course and test your knowledge of self-employed
borrower tax returns. Register for MMLA West Chapter Zoom Webinar with Enact on
Tuesday, October 22, 9:00 a.m. - 10:00 a.m.
Were you around for the market whipsaw that was Trump’s first election? No matter who wins, it
pays to be prepared for election-related market volatility. Join Agile on October 22, at 11 AM PT
for the latest Agile Trader Talk Webinar, where Greg Vacura, president of Agile, will lead an in-
depth discussion with BOK Financial’s Chris Maloney, JVB Financial’s Thomas McHugh, and
Jefferies Joe Pollicino, on how the upcoming election could impact the Mortgage-Backed
Securities (MBS) market. Join this team of experts and make sure you have your bases well-
covered before election day.
Looking for more in-depth commentary on weekly mortgage news? Register here for
Wednesday’s 11AM PT "Mortgage Matters: The Weekly Roundup” presented by Lenders
One. Ari Karen, Partner, Mitchell Sandler – show is sponsored by Mitchell Sandler
Tomorrow will be another episode of The Big Picture at 3PM ET. Rich Swerbinsky hosts a
variety of guests. You can click here to register for Thursday’s 3 PM ET show. the CEO of Floify,
Sofia Rossato. (The week after, James Dwiggins the week after that – the CEO of NextHome, a
quickly growing real estate company. He’s been one of if not the primary thought leader on the
NAR Settlement changes.)
Join CAMP for Broker Round Table with Eric Garcia, October 24, at 11:00 AM.
Friday the 25 th listen in to opinions (Last Word Fridays at 1pm ET) from Kevin Peranio and
Brian Vieaux! Register here.
End this week with The Mortgage Collaborative’s The Fix with Melissa Langdale covering
current events in the mortgage market for 30 minutes starting at noon PT, 3PM ET.
Next week, of course, is the MBA’s National Convention and Expo, from October 27-30.
October Research, LLC is happy to announce this year’s Women’s Leadership Summit (WLS)
will be held Nov 3-4 in Cleveland, OH. Built around the four diamonds: Develop, Grow, Support
and Empower, attendees walk away with the tools for success. Learn how to manage effectively,
negotiate for what you need, build a network and much more. Visit OctoberResearchWLS.com
for more information and to register today.

The California Mortgage Expo returns to Pasadena on Tuesday, November 5, bringing in the
industry's best, with educational sessions that show you how to make more money, be a better
sales pro, and keep your pipeline full.
Fusion '24: The Midwest’s Premiere Lending Event! Formerly known as the Servion Lending
Conference, Fusion 24 Nov. 6-8 is your best value in comprehensive residential and commercial
lending insights and education. Happening at the JW Marriott - Mall of America, Fusion 24
promises to be packed with expert speakers, networking, and live entertainment ideal for all
experience levels. Sponsorship and exhibitor opportunities available here. Act now, the JW
Marriott-Mall of America room block expires 10/7! Learn more at myservion.com/fusion.
If you’re in Georgia, certainly Atlanta, come to the luncheon on November 12 th for the Atlanta
Mortgage Banker’s event in Dunwoody!
Join MBA-NJ at the 2024 Northeast Region Wholesale Lending Fair, November 12- 15 at the
Hard Rock Hotel and Casino in Atlantic City for an unparalleled opportunity to enhance your
lending strategies and drive your business forward. Get ready for an unforgettable experience
packed with opportunities to connect, learn, and grow. Secure your spot at the 2024 Wholesale
Lending Fair now and be part of the transformation. Only $145 for members and $155 for non-
members. Exhibit Table only $1350.
If you’re in Eastern Missouri, on Wednesday, November 20 th the St. Louis MBA is having its
luncheon. Come on by!
On Thursday, November 21, the MBA Kansas City is having its annual Membership Luncheon
at 11:30 at the 180 Room at Joes KC BBQ in Olathe. Come by, have a bite, and say hello.
Register now for RiskExec Connect 2024, a FREE half-day virtual event being held on
Thursday, November 21 from 1:00 PM – 5:00 PM ET. Attendees will hear from industry leaders
and experts as they discuss and inform on the latest regulatory compliance hot topics including
post-election implications, appraisal bias and reconsideration of value, CRA final rule and more.
This is one free event you don’t want to miss!
Mortgage Professionals, Be There, The Wholesale Lending Fair! Finally a show in the Mid-
Atlantic Region aimed at your needs and education including: economist’s post-election
outlook, AI Workshop, NAMB & AIME CEO’s, Brokers Sharing Ideas Panel, Tech Demo panel,
Lenders Panel, Realtor Panel, Coaching, Exhibits, Free CE and more all Nov. 12-14, Hard Rock
Hotel & Casino, Atlantic City, NJ, register at www.mbanj.com.
MBA Accounting and Financial Management Conference will be held December 11-13,
2024, in Phoenix, AZ. Hear from industry leaders on the key issues that will impact your year-
end audits. Get insight on Current Expected Credit Losses (CECL), loan loss reserves,
mortgage servicing rights, and more. Plus, hear more about the latest accounting and finance
challenges and how auditors are applying them to the commercial/multifamily finance sector.
Make sure to bring your questions and prepare for the year ahead.
If you’d like to spend some time advocating for our biz in early April, the MBA’s NAC25
registration is now live!

Under the “way in advance” heading, April 1-3, 2025, is the Great River MBA in Memphis, TN:
www.greatrivermba.com
Have you heard about (read: registered for) some of our expanded media offerings? Chrisman
Commentary is pleased to bring you a variety of video shows hosted on Zoom throughout the
week. Take your pick: We have a show focused on technology and innovation (Now Next Later
Mondays at 1pm ET, presented by BILT Rewards), origination (Mortgage Pros Tuesdays at 2pm
ET), big-name interviews (Mortgage Matters Wednesdays at 2pm ET, presented by Lenders
One), headline news (The Big Picture Thursday’s at 3pm ET), opinion (Last Word Fridays at
1pm ET), advisory services (Advisory Angle first Tuesday of the month at 2pm ET, presented by
STRATMOR Group), capital markets (Capital Markets Wrap second Tuesday of the month at
3pm ET, presented by Polly), regulation and compliance (Regulation Central third Tuesday of
the month at 3pm ET), and reaching the next generation of homeowners (Mortgages with
Millennials last Tuesday of the month at 1pm ET, presented by The Mortgage Collaborative). (If
you don’t see a presenting sponsor, please reach out to Chrisman LLC’s Anjelica Nixt to inquire
about opportunities.)
Capital markets: the U.S. consumer is alive and well
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Last week’s economic data reinforced some recent trends: namely, that consumer demand
remains healthy while interest-rate-sensitive industries continue to muddle through. Retail sales
for September rose 0.4 percent month-over-month and 1.7 percent from September 2023. The
gains come despite core goods prices declining for much of 2024. Meanwhile, industrial
production fell 0.3 percent, likely impacted by the Boeing strike as well as Hurricane Helene.
Residential construction declined in September with housing starts falling 0.5 percent to a
1,354k-unit annual pace and permits falling 2.9 percent. Both starts and permits varied across
regions after showing across-the-board growth in August.
Despite the Federal Reserve beginning to recalibrate its restrictive monetary policy stance, the
temporary reprieve in mortgage rates has passed and rates have moved higher throughout
October given the overall strength of the economy. With only 50-basis points of additional cuts
to the fed funds rate expected this year, the path to lower rates will likely be slower than many
had hoped throughout the summer. This is the final week for public Fed remarks before
members go into their blackout period in preparation for the November 6-7 FOMC meeting.
This week’s highlights, if you can even call them that, include the PMI October flashes from S&P
Global and Treasury auctions of $13 billion reopened 20-year bonds and $24 billion new 5-year
TIPS. Today’s data and supply activity are nothing to roil markets and kick off with September
leading indicators. Three Fed appearances are on the schedule: Dallas President Logan,
Minneapolis President Kashkari, and Kansas City President Schmid. Monday starts with
Agency MBS prices versus Friday night, the 10-year yielding () after closing last week at
4.07 percent, and the 2-year at.
An old man and woman were married for many years, even though they hated each other.
Whenever there was a confrontation, yelling could be heard deep into the night. The old man
would shout, “When I die, I will dig my way up and out of the grave and come back and haunt
you for the rest of your life!”
Neighbors feared him. They believed he practiced magic because of the many strange

occurrences that took place in their neighborhood. The old man liked the fact that he was
feared. To everyone’s relief, he died of a heart attack when he was 98.
His wife had a closed casket at the funeral. After the burial, she went straight to the local bar
and began to party as if there was no tomorrow.
Her superstitious neighbors, concerned for her safety, asked, “Aren’t you afraid that he may
indeed be able to dig his way out of the grave and haunt you for the rest of your life?”
The wife put down her drink and said, “Let him dig. I had him buried upside down, and I know he
won’t ask for directions.”

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, “Lenders and Vendors Must
Pay to Play.” The Commentary’s podcast is live and at any place you obtain your podcasts (like Apple or
Spotify).
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