 Top Headlines...
Fannie Mae Upgrades Economic Forecast Despite Continued Risks Stewart Title Strengthens Operations in Alaska with New Acquisition Plaza Home Mortgage Launches New Correspondent Portal MeridianLink® Receives 2020 High Tech Award for Best Technology Company Leadership Team VirPack Announces New Integration to Streamline the Digital Mortgage Process LoanLogics Whitepaper: How to Get the Most from Your MERS® Annual Review Thought Leadership... Loan Vision's Beth Johnson: Unlocking the Numbers - Leveraging Granular Financial Detail in Business Strategy Black Knight SVP of eLending Solutions, Andy Crisenbery: COVID-19 Created "Quick Fix" FinTech Solutions CBC Mortgage Agency President, Richard Ferguson: What We Can Do to Help the Homeownership Wealth Gap Fannie Mae's VP of Enterprise Technology, Tracy Stephen: Customer-Facing Technology is a Top Priority for Lenders Blog... MQMR's Anti-Playbook for Servicing Oversight: The Best Defense is a Good Offense LoanLogics - B-Logics: Small is the Big with LoanLogics® Service Delivery Arch MI Capital Commentary: Biden-Harris Campaign Housing Policy Review Credit Plus: The Changing Face of Mortgage Verifications During COVID-19 Media... Credit Plus: America's Mortgage News - 2020 at the Half Mortgage Management Playbook Podcast features Plaza Home Mortgage COO/CFO, Mike Fontaine Mortgage Coach's Dave Savage - The Walk Podcast Upcoming Events... Loan Vision Industry Insights: Navigating PPP Loan Forgiveness Applications for Lenders Personnel Moves... Certified Credit Adds Marisol Pintado to Operations Team CWDL Adds Industry Veterans Susan Volpe & Dustin Pfluger ICYMI: Total Expert Welcomes Allison Netzer as New CMO
0 Comments
August was another spectacular volume month for TMC's national network of best-in-class mortgage lenders that submit data to TMC Benchmark. We saw a pretty substantial drop-off in efficiency and productivity during the month, most likely due to operational staff vacation time and general burn-out - so there are no stops in sight for The Volume Train as we emerge from the dog days of summer and head into the fall months. Better problems to have than the problems of two winters ago, but problems lenders are faced with nonetheless as we enter the latter part of a year that looks like it could be the biggest production year ever for the mortgage industry.
Starting with closed loan production, August was a strikingly similar month to July. Closed loan units were nearly identical (-0.05%) as was the mix of conventional (75%) and government (21%) business. The purchase/refinance mix on closed loan units in August was 55%/45%. Let's take a look at that mix for the last four months, which have been the four biggest closing months we've seen in the four-year history of TMC Benchmark: May - 42% purchase, 58% refinance June - 51% purchase, 49% refinance July - 58% purchase, 42% refinance August - 55% purchase, 45% refinance Like with the closed loan data, new applications taken were also nearly identical in August to the prior month (-1.7%), as was the production mix - 77% conventional, 19% government, 4% other. What was not consistent from July to August was operational productivity and efficiency. On average, it took our members 2.3 days longer to close loans in August versus July, with the average "app date to clear to close date" time frame rising from 37.2 days to 39.5 days in the most recent month. And after seeing all-time highs in operational employee efficiency in June, we saw our second straight month of decline in August. Here's the closed loan unit totals per FTE (full-time employee) for the last four months (May/June/July/August): Processor - 16/17.2/16.8/15.2 Underwriter - 51.8/54.8/52.1/50.1 Closer - 63.8/64.8/62.7/61.8 Loan Originator - 7.0/8.1/8.2/8.1 The average LO comp on August closings came in at 96.8 bps, down 5.1 bps from July's 101.9 total but in line with the 97.1 total two months prior on June closings. We've seen this number vacillate between 95-105 bps these first eight months of 2020. We saw decreases in the average non-third party lender fees per loan our members charge their customers, with conventional loans coming in at $1,119 and government at $1,072. On the compensation side, we saw fairly steep drop offs in processor and underwriter average annual compensation but an increase in closer compensation most likely due to lenders using more outsourcing services for processing and underwriting functions. Processor average annual comp fell from $56,790 in July to $52,992 (-6.8%) this past month while underwriter average annual comp fell from $94,294 in July to $89,104 (-5.5%). Closer comp increased from $54,212 to $55,376 (+2.1%). The average cost per closed loan our members paid for their LOS ($95), POS ($51), and their CRM ($89) was remarkably consistent with the prior month and the monthly averages for 2020. 53% of companies that submitted August data to TMC Benchmark were depositories and 47% were IMB's. 35% originate $500M or less annually, 26% originate between $500M-$1B, and 39% originate $1 billion per year or more in total volume. Rich Swerbinsky Chief Operating Officer - The Mortgage Collaborative rswerbinsky@mtgcoop.com Top Headlines...
Docutech is Now First American Docutech Black Knight Completes Acquisition of Optimal Blue Total Expert: The Experience Experiment - Undercover Shoppers Spill All Built Launches New Disaster Tracking Tool for Lenders Maxwell Adds Underwriting & Closing Services to Fulfillment Platform HW Annual: Fannie Mae Chief Economist, Doug Duncan to Provide Economic Forecast National MI Recognized in SF Financial Times Mid-Market 50 List Plaza Home Mortgage Helps American Red Cross Deliver Lifesaving Blood to Patients in Need Thought Leadership... Triserv President, Joe Bryant: Dodd-Frank - Another Compliance Pitfall Events... Blend Forward, Sept 22 - 23: Day 1 Focused on Mortgage & Day 2 Focused on Consumer Banking Blog... ICYMI: LBA Ware - What Data Insights Do Mortgage Lenders Need Right Now? Arch MI Policy Cast: Capital Commentary - 2020 Trump-Pence Campaign Housing Policy Review Credit Plus Knowledge Hub: How to Speed Up Supplements & Closings LoanLogics Infographic: HMDA Efficiency - Switch Gears from Manual to Automatic Blend Blog: Providing a One-Stop Shopping Experience for Digital Lending Tools Personnel Moves... Certified Credit Announces the Addition of Melissa Kass to Operations Team Media... HW Daily Download: ICE Completes $11B Acquisition of Ellie Mae Sales Boomerang: Bourbon & BS Episode 9 with Stephen Barton from Eustis Mortgage  This year, HousingWire compiled a list of 50 operations superstars that have been integral in keeping their companies afloat throughout 2020, and we were thrilled to see the Power of the Network represented in such force. Congratulations to each and every one of these unsung heroes that kept their organization and our industry on track!
Lender Members:
Preferred Partners:
Top Headlines...
Docutech's Solex eClosing Engage Gives Lenders the Insights They Need to Determine Eligibility for Every Loan Total Expert CEO, Joe Welu Recognized as Finalist for Ernst & Young's 2020 Heartland Award Entrepreneur of the Year Award Stewart Announces Acquisition of Large Portion of ET Investments Western Operations Blend CEO, Nima Ghamsari Recognizes Among Fortune Magazine's 40 Under 40 in Finance Capacity Celebrates Adding Leading Lenders at Platform & the Addition of John Heck as Senior Advisor of Lending Solutions LoanLogics Steps Up to Help American Cancer Society Carry On its Mission Notarize & Title Partner See Over 200% Spike in RON Closings ActiveComply Collaborates for Compliance in Latest Case Study The Tech Tribune: Built Technologies Recognized as #1 2021 Start Up in Nashville ICYMI: Fannie Mae eMortgage Customer Spotlight - Thrive Mortgage With Ellie Mae Acquisition Finalized, ICE Prepares to Unleash a "Fully Digital Mortgage Ecosystem" Thought Leadership... Loan Vision Guest Blog: CWDL, Partner - Mortgage Banking, Dustin Pfluger: Your Company Received a PPP Loan. Now What? Blend CEO, Nima Ghamsari: Why Mortgage Lending Needs More Data, Not More Documents A Conversation with SimpleNexus New President, Cathleen Schreiner Gates M Report: LoanLogics Chief Business Officer, Craig Riddell - There's No Turning Back From Digital Labor Triserv President, Joe Bryant - AIR: Are You AIR Compliant? Capacity CEO, David Karandish: Advise for Software Startups During Pandemic The Mortgage Banker: MQMR President & Co-Founder, Michael Steer: Pandemic Underscores Need for Stellar Customer Service in Loan Servicing Personnel Moves... Stewart Brings Back Kevin Reilly as EVP of Agency Services Blog... Black Knight: A New Tool to Help Lenders Drive Profitable Loan Production Capacity: 3 Expert Opinions - What's Is & Isn't Working in the US Mortgage Industry Blend: New eBook - Tackling Digital Inconsistencies to Create a Better Customer Experience Informa: Navigating the New (Ab) Normal in Lending MQMR Weekly FAQ: MERS Policy & Procedure Best Practices Maxwell NEW eBook: Outsourced Fulfillment VirPack: How to Be An Effective Player-Coach Media... HW Daily Download: James Kleimann Joins HousingWire as New Mortgage Editor Arch MI PolicyCast (Inaugural Episode!): Capital Rule Jeopardizes Housing, Taxpayers Total Expert: Mortgage Innovators - Using Technology to Build Better Relationships Sales Boomerang featuring Atlantic Coast Mortgage's Corey Shelton: 110 seconds to $2MM Earned Every year, Inc. ranks the 5,000 fastest-growing private companies in America, and every year our TMC Family shines in the results. Pleas join us in congratulating the following companies:
Members... Nationwide Mortgage Bankers Keystone Funding Liberty Home Mortgage Corp Hometown Lenders Sovereign Lending Group Town Square Mortgage & Investments OneTrust Home Loans Partners... Total Expert SimpleNexus LBA Ware 2020 has been crazier than a fly living in a bass drum. Time to have a little fun.
Back, by popular demand, I bring to you ... The 20 Best Names in the Mortgage Industry. Many of these are submissions! Keep them coming to me at rswerbinsky@mtgcoop.com.
The world needs a vaccine. And more people with the first names Baird, Cameo and Fobby. 14. Flisadam Pointer, REMN Wholesale 15. Shirleen-Queenie VonHoffmann, Homebuilders Edge 16. Zeke Wolfgang - Freddie Mac These are the names that pop stars Katherine Hudson (Katy Perry), Peter Gene Hernandez (Bruno Mars), and John Stephens (John Legend) SHOULD have gone with. 17. Scott Beer, Hallmark Home Mortgage 18. David Sober, LRES Corp Another duo I’d like to go get a beer with. 19. Matt Mullet, 1st Security Bank of Washington 20. Shadi Taylor - Huntington Bank Matt does not have a mullet. Shadi is not shady. But both have great names. HONORABLE MENTION Aspasia Chamoun - Bank Fund Staff Federal Credit Union Dave Savage, Mortgage Coach Scotty Pickle, Celebrity Financial Don Salmon, TBI Mortgage Dionisia Bejarano Coffman, Chase Carmel York, Western Alliance Bank Taylor Stork, Developer’s Mortgage Company Feliks Viner, First World Mortgage Cola Galvin - Homespire Mortgage Geri Glixman, First Integrity Mortgage Johnny Margarini, Point Mortgage Freddy Casanova, The Money Source Harry Holder - Veritas Funding Rusty Creel - Crescent Mortgage Rich Swerbinsky COO - The Mortgage Collaborative Top Headlines...
Docutech Insights: FHLB Now Accepting eNotes as Pledged Collateral ICYMI: SimpleNexus Adds eClosing Feature Registration Open for FreddieCONNECT 2020 Built: The COVID-19 Conundrum: Money Available for New Construction Projects but Few Breaking Ground ICYMI: Credit Plus Announces Integration with DayOne Certainty Services from Fannie Mae Notarize Partners with J.D. Power to Enable Fully Digital Purchase Experience ICYMI: MERSCORP Holdings - Widespread eNote Adoption Depends on Five Pillars of Liquidity Personnel Announcements... Stewart Title Adds New Group SVP for Southwest Direct Operations Total Expert Brings on New Chief Product Officer Notarize Welcomes Cristin Culver as Head of Communications Stewart Title Adds New EVP of Enterprise Operations, Louis Pontani Certified Credit Adds Samantha Markwood as Director of Account Servicing Media... Welcome to The Benchmark - Episode 1, powered by Blend LBA Ware On-Demand Webinar: Sophisticated Payroll Coordinator's Guide to the LO Comp Rule Arch MI for Credit Unions Video Demo: Capacity - An AI-Powered Helpdesk Automation Platform Events to register for... SocialSurvey 2020 CX Experience Virtual Summit: September 14th - 16th HousingWire Annual: October 8th Blend Forward: September 22nd - 23rd
​July was another huge month for TMC's national network of lender members that submit data to TMC Benchmark. While closed loan production and new applications taken during the month were down slightly from June, July was the second strongest month ever for our members in those two key production metrics. The network closed loans on average one day faster in July than June, but were slightly less efficient, as purchases transactions comprised 58% of July closings, up 7% from June's 51% purchase mix.
Closed loan production was down 6.3% (units) in July, but again, that is compared against June's eye-popping totals. For some perspective, our members closed 8.5% more units in July when compared against May, which was the biggest closing month ever for our members before being eclipsed by June's totals. The mix of closed loan business in July stayed nearly identical - 74% conventional, 21% government, 5% other (jumbo, portfolio, etc.). Closings continue to become more purchase-heavy. Purchases were 41% of closings in April, 44% of closings in May, 51% in June, and represented 58% of all closings in July. New applications taken were down 4% month-over-month, but like with closings, July was the second biggest new app month ever for our members behind June and July new apps taken were up 16.8% over May's strong totals. The mix of new app business in July trended slightly more towards conventional production. 78% of new apps in July were on conventional production and 18% were government loan programs versus a 76%/20% mix in June. After seeing our members set new productivity records in June, operational efficiency was still very strong but just a bit off in July. Here's the closed loan unit totals per FTE (full-time employee) for the last three months (May/June/July): Processor - 15.2/17.5/16.9 Underwriter - 49.1/54.9/52.2 Closer - 61.0/64.8/62.5 Loan Originator - 7.0/8.1/8.1 The average LO comp on May closings came in at 101.9 bps in July, up from June's 97.1 total. We've seen this number vacillate between 95-105 bps these last six months. We saw an increase in the average non-third party lender fees per loan our members charge their customers, with conventional loans coming in at $1,154 and government at $1,097. For the first time in six months, underwriter annual comp leveled off, coming in at an average of $94,294, up almost $10,000 from before the pandemic. Average annual comp paid to processors ($56,790) and closers ($54,212) both continues to increase though. We saw fairly significant month-over-month decreases in the average cost per closed loan our members paid for their LOS ($97, down from $115), POS ($49, down from $76), and their CRM ($86, down from $134). 51% of companies that submitted June data to TMC Benchmark were depositories and 49% were IMB's. 35% originate $500M or less annually, 26% originate between $500M-$1B, and 39% originate $1 billion per year or more in total volume. Top Headlines...
Fannie Mae & Freddie Mac CEO's Address Industry on Refinance Fee Grievances iEmergent Releases 2020-2022 U.S. Mortgage Origination Update Business Insider Recognizes Built as Breakout B2B Star LBA Ware Adds Fintech Data Expert Matt Semrad to Build Predictive Analytics for LimeGear BI Independent, 3rd Party Analysis Shows SimpleNexus Digital Mortgage Platform Delivers 9X - ROI Fannie Mae Promotes Jeff Hayward to Chief Administrative Officer to Focus on Diversity & Inclusion Thought Leadership... HW Pulse: Vice Capital Markets Principal, Chris Bennett: How eNote Acceptance Impacts Secondary & Servicing Operations for GNMA Issuers Blog... Black Knight Blog: Ernst Fee Service - Helping Mortgage Lenders Solve Cure Fees Maxwell Blog: 5 Ways an LO Can Build Relationships with Real Estate Agents in COVID Era Request Your Custom ROI Report to See the Operational Impact SimpleNexus Can Deliver MGIC Connects: Dispelling an Old Mortgage Myth - 15 is Greater than 20 MeridianLink: How COVID-19 Revealed the Flaws of Many Lenders MQMR Weekly FAQ: Advertising & Social Media - Policies & Procedures LoanLogics B-Logics: Digital Labor is a Workforce Waiting to be Exploited VirPack Blog: Setting Expectations for Employees Media... FOX Business - Blend CEO, Nima Ghamsari: COVID Accelerated Need for Digitizing Mortgage Experience HW Daily Download: iEmergent's Chief Analytics Officer, Mark Watson - Mortgage Lending Reaching as High as $3.21 Trillion in 2020 Maxwell Clear to Close Podcast: Mortgage Tech Adoption in the COVID Era Customers Are Talking About the Power of Arch MI |
Rich Swerbinsky
TMC - Chief Operating Officer 
Archives
September 2020
Categories
|