http://www.mortgage-technology.com Mortgage Technology en Copyright 2010, SourceMedia, Inc. and Mortgage Technology. All rights reserved. Fri,12 Mar 2010 10:25:02 EST anthony.garritano@sourcemedia.com http://www.mortgage-technology.com/images/mtlogo.gif http://www.mortgage-technology.com 300 80 http://www.mortgage-technology.com/plus/feature/?story_id=1068 “HUD ISSUES NEW MORTGAGE RULES TO HELP CONSUMERS SHOP FOR LOWER COST HOME LOANS”, “RADICAL CHANGES TO RESPA TO TAKE EFFECT JANUARY 1, 2010”, “ARE YOU READY FOR SOME RESPA REFORM?” You’ve been reading the headlines for quite some time now and you’re still losing sleep because you aren’t sure if you’re in compliance with the new regulations. All players involved in the loan process are concerned, and rightfully so. After all, these changes are more than just the implementation of a new form or two. They constitute an entirely new way of doing business and are widespread. Lenders and loan officers are confused about what new disclosure forms to use. Correspondent lenders are typically required to deliver loans that are fully compliant with all federal, state and local laws, rules and regulations. Investors are afraid that they will be held responsible for the errors of others. Brokers are worried about compliance, and oh, what about the yield spread premium? Settlement providers aren’t sure about changes to the new HUD-1 form and how it is affected by the new Good Faith Estimate. Before I address these concerns, let’s take a look at some of the more important RESPA changes first. For the first time in over 30 years, HUD has instituted sweeping changes to RESPA. While amendments to RESPA have been discussed and even proposed by previous administrations, the onslaught of home foreclosures and the ongoing housing market instability has created a new sense of urgency for lending and settlement reform. Under the new regulations, lenders, brokers, title companies, attorneys and others who provide loan and settlement services are subject to the tighter, stricter standards. In fact, because the changes are so noteworthy, HUD has announced that it will exercise restraint in enforcing the new regulatory requirements for the first four months of 2010. Thu, 11 Mar 2010 15:53:43 EST http://www.mortgage-technology.com/newsletter/comtois/?story_id=1073 Some technology providers of expertise in predictive analytics, data mining, and risk scoring are expanding their market reach through alliances between their own kind. Case in point, Verisk Analytics Inc. of Jersey City, N.J., specializes in risk assessment solutions for the insurance, healthcare, mortgage lending, government, risk management, and human resources industries in the United States and around the world. Verisk is now the parent company of another unit specializing in enhancing risk mitigation through forward looking interdisciplinary tools. Verisk acquired a provider of credit risk and capital management solutions, namely Strategic Analytics, which focuses on retail credit modeling that enhances regulatory compliance. Strategic Analytics will integrate with Interthinx, another business unit of Verisk Analytics, to provide U.S. residential mortgage market customers advanced loss mitigation solutions and professional services. According to president of Interthinx, Kevin Coop, “These tools are applicable and are currently deployed in all verticals of consumer lending, including automotive, credit card and student loans, and mortgages.” Thu, 11 Mar 2010 15:32:59 EST http://www.mortgage-technology.com/newsletter/guest/?story_id=1074 Lenders and vendors are under intense pressure to survive in today’s current mortgage environment. Products and services that were in great demand just a couple of years ago have almost completely evaporated. Lenders have had to dramatically adapt to these market conditions by changing their product mix, origination process, underwriting guidelines, valuations and funding to produce saleable and profitable loans. Servicers have had to shift focus to loss mitigation, loan modifications, short sales, REO’s and foreclosures to remain viable. In addition, the current regulatory environment is constantly, changing rules and adding significant pressure to the entire mortgage progress. Lenders and servicers are not alone in feeling the pressure. Vendors are frantically working to respond to these challenging times by rolling out new products, realigning development efforts and creating strategic partnerships to meet the new demands while striving to remain compliant. They are faced with tough questions: Do our current products have enough flexibility to be modified or do we need to develop new solutions from scratch? Are these new products long-term solutions that have sustainable revenue models or are they just a quick fix that has a short shelf life? What types of products and services will lenders and servicers invest in during these market conditions? Thu, 11 Mar 2010 15:43:31 EST http://www.mortgage-technology.com/newsletter/garritano/?story_id=1075 Despite a drastically changing market, lenders are still showing that they are slow to adopt technology as a whole. In total, 67% of respondents say lenders are slow to automate, even in the face of new regulation. Why? David Green, president of quality control vendor The StoneHill Group, explains, “Lenders are slow to adopt new technology due to market conditions. With the huge variations in production volumes that exist today, companies will not be spending money to upgrade or change systems. There is just too much uncertainty in the market place right now. On the other hand, there are many start-ups that are investing in new technology, especially banks and credit unions that are getting into the mortgage space either direct or partnering with a mortgage company.” Thu, 11 Mar 2010 18:53:58 EST http://www.mortgage-technology.com/plus/spotlight/?story_id=1066 It is commonly reported that with new regulation like HVCC, MDIA, RESPA and a whole host of other new regulatory acronyms, that compliance is paramount. That statement is hard to refute. However, the end goal of all this new regulation is to force lenders to be more risk averse so they’re originating better quality loans. David Green, President of The StoneHill Group, talked to our editor about the best quality control strategies. Fri, 19 Feb 2010 16:09:07 EST http://www.mortgage-technology.com?story_id=1045 Click the screenshot image to watch the Awards Video Presentation of: The Innovative Lender Award is given to a lender that doesn't just use technology to follow the market, but to both innovate and lead the market of the future. The Finalists for the Innovative Lender Award showed that technology can create both a present and future competitive advantage. The Finalists helped advance customer retention, borrower satisfaction and electronic mortgage adoption. To view the video go here. To apply for the Innovative Lender Award, or any of our nine other awards, go here. Wed, 13 Jan 2010 22:38:43 EST http://www.mortgage-technology.com/video/ <ul> <li>New Appraisal Rules</li> <li>More Appraisal Transparency</li> <li>HVCC Lender Compliance</li> <li>HVCC Appraiser Compliance</li> <li>The Future of Appraisals</li></ul> http://www.mortgage-technology.com/video/?id=46 3/11/10 http://mortgage-technology.com/plus/blog/?id=992 In the last edition of this blog I mourned the loss of an electronic mortgage pioneer, AmTrust. As it turns out, that obituary was premature and this mortgage technology editor couldn’t be happier. New information has come to light that will make e-mortgage believers very happy, indeed. http://mortgage-technology.com/plus/blog/?id=992 Tue, 29 Dec 2009 00:December:00 Z http://mortgage-technology.com/plus/innovation2/?id=1052 Social media is a fundamentally transformative and rapidly evolving business tool for sales, marketing, communication, business development and the dissemination of information to today's consumers. What many business-to-business executives question is how social media applies to their business. They say: Maybe it’s right for companies that sell directly to consumers, but I don't see how it would apply to business-to-business transactions. How is Twitter, LinkedIn, Facebook, YouTube or a blog going to benefit my company? http://mortgage-technology.com/plus/innovation2/?id=1052 Mon, 22 Feb 2010 00:February:00 Z http://www.mortgage-technology.com/plus/#1268240408 1010data, a provider of data warehouse and business intelligence for mortgage-backed securities market participants and others, has secured a $35 million equity investment from Norwest Venture Partners. Wed, 10 Mar 2010 12:00:08 EST http://www.mortgage-technology.com/plus/#1268067610 Wolters Kluwer Financial Services is moving to help financial institutions rapidly comply with the Federal Reserve Board's upcoming changes to Regulation E with the launch of a new online resource center. Mon, 8 Mar 2010 12:00:10 EST http://www.mortgage-technology.com/plus/#1268067609 Austin, Texas-based mortgage accounting vendor Mortgage Banking Solutions has merged with San Diego-based Abacus Accounting Services. Mon, 8 Mar 2010 12:00:09 EST http://www.mortgage-technology.com/plus/#1267722008 Embrace Home Loans, Newport, R.I., is moving its Internet origination division, which is comprised of 50 employees, to an 18,000 square foot building located in Providence, R.I. Thu, 4 Mar 2010 12:00:08 EST http://www.mortgage-technology.com/plus/#1267203610 REA Accelerated Marketing Group, an online bidding platform, is partnering with short sale technology provider National Quick Sale. Fri, 26 Feb 2010 12:00:10 EST http://www.mortgage-technology.com/plus/#1267030813 SecondMarket, a New York-based secondary market for illiquid assets such as private-label residential and commercial mortgage-backed securities, has raised $15 million from Asian investors. Wed, 24 Feb 2010 12:00:13 EST http://www.mortgage-technology.com/plus/#1266858008 Mortgage Industry Advisory Corp., a provider of FAS 157 fair market valuations, mortgage risk hedging and accounting solutions, has rolled out phase I of its new corporate website, which is designed to make it easier for mortgage market participants to find information. Mon, 22 Feb 2010 12:00:08 EST http://www.mortgage-technology.com/plus/#1266858007 AssetPlanUSA, a nationwide provider of foreclosure alternative solutions, and DepotPoint, a provider of default management workflow solutions, have joined forces to work with servicers and lenders to help expedite the short sale process. Mon, 22 Feb 2010 12:00:07 EST http://www.mortgage-technology.com/plus/#1266858006 RealEC Technologies Inc. has launched new income verification services to its RealEC Collaborative Partner Network, the RealEC Exchange. Mon, 22 Feb 2010 12:00:06 EST http://www.mortgage-technology.com/plus/#1266858005 PeoplesBank has given its members access for mobile banking and payment services through the iPhone, courtesy of technology provided by Online Resources Corp. Mon, 22 Feb 2010 12:00:05 EST http://www.mortgage-technology.com/plus/magazine/2010-02/february2010.pdf Download the entire issue as a single, 4 MB PDF, or grab the stories individually below. http://www.mortgage-technology.com/plus/magazine/2010-02/february2010.pdf Fri, 12 Feb 2010 11:43:10 EST http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-ednote.pdf The first Mortgage Industry Standards Maintenance Organization trimester meeting of 2010 brought some good news for both the data caretaker group and the mortgage industry as a whole. http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-ednote.pdf Fri, 12 Feb 2010 11:43:10 EST http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-techoutlook.pdf DepotPoint discusses what it calls the three-legged stool of innovation that the firm feels just might be the right formula to transform default management. http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-techoutlook.pdf Fri, 12 Feb 2010 11:43:10 EST http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-lenderviews.pdf LeaderOne Financial details why it decided to go paperless back in 2004 and why every smart lender should embrace electronic document management this year. http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-lenderviews.pdf Fri, 12 Feb 2010 11:43:10 EST http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-legalinsight.pdf Consultant Daniel Jacobs emphasizes how the level of integration into existing processes and systems will separate the efficient and compliant lenders from the rest. http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-legalinsight.pdf Fri, 12 Feb 2010 11:43:10 EST http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-valuing.pdf Technology is coming together to more accurately assess the true value of REO properties. http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-valuing.pdf Fri, 12 Feb 2010 11:43:10 EST http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-working.pdf Sterling Home Retention’s Ron Morgan talks about how technology can play a role in helping people stay in their homes. http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-working.pdf Fri, 12 Feb 2010 11:43:10 EST http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-build.pdf Turning trial loan modifications into permanent modifications is a task best achieved by assembling the right technology approach. http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-build.pdf Fri, 12 Feb 2010 11:43:10 EST http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-moving.pdf More and more borrowers are looking to do everything from applying for a loan to modifying a loan online. http://www.mortgage-technology.com/plus/magazine/2010-02/february2010-moving.pdf Fri, 12 Feb 2010 11:43:10 EST