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be trusted to industry players who are
experienced at providing these services.
Some correspondent lenders will
eventually adopt these functions
internally and better control their bor-
rowers‘ timelines for approval and clos-
ing. Until that point, they should work
with investor partners that offer jumbo
loans do not just sit with large banks,
causing smaller businesses to lose bor-
rowers because they cannot compete
with pricing and reach. It is a unique
service that allows for non-agency
alternative solutions as well as access
to competitively priced prime jumbo
Lenders may be able to underwrite
What to learn
the loan themselves, making it a com-
pletely full-service process. Competence
in non-agency underwriting, compliance
and operations are details that should
mortgages with consistently strong
pricing and great service and also offer
non-agency programs designed to reach
an untapped market of borrowers.
Interest rates are rising and home
sales are falling. Where do you see the
most potential gains for your business?
Correspondent lenders are finding it
with top-rated investor partners offering borrowers more options to close
more loans than ever. As an originator,
when considering a correspondent-lending arrangement, ask the potential
investor partner these questions:
■ ■ If dependent on a warehouse line
for capital, does your provider allow
■ ■ Is the investor partner a lender that
can make credit decisions where I
operate my business?
■ ■ Does the partner have a product-eligibility and indicative-pricing tool?
■ ■ Is the partner aligned with any
marketplace product and pricing
■ ■ What kind of compliance tech-
nology does the partner employ?
■ ■ Can the partner customize underwriting initially and long-term
regarding nondelegated and delegated needs?
■ ■ How does the partner handle
loan-level underwriting exceptions?
Make sure to work with a partner who
can easily answer these questions and
also provide information on exceptions
that occur with non-agency loans. In
addition, make sure the partner is willing to invest in your loan-production
expertise and your potential to grow in
Correspondent lending is no longer a
wait-and-see opportunity. Originators
who aren’t offering these non-agency
products are losing their competitive
edge and will miss out on growth opportunities. To that end, mortgage
companies need to increase their non-agency volume to keep their pipelines full. There is a significantly large
number of creditworthy borrowers in
the mortgage industry that are underserved and more important than ever
to capture. ■
“Those with past credit problems see
hope for the future to fulfill the dream