“Paranoia is out of control: This morning, while reviewing this commentary, I sneezed in front of my laptop and the anti-virus software started a scan of its own!” The nation continues to brabble about health care, coin shortages, opening up and closing down, and politics… it makes my head spin. The political ads are increasing in intensity, with people talking about the Joe Biden ad featuring Lindsey Graham, and President Trump stirringly noting his accomplishments. Did you know that it’s illegal to campaign from government-owned property? That’s difficult for anyone in politics! Despite the political noise, lenders across the nation are off to great starts in August, with longer locks pointing to a good September as well. It is nice to see this industry as helping millions of borrowers! Consumers aren’t complaining. In rising numbers, they’re applying for mortgages. The surge in mortgage lending is partly pent up demand because buyers took a pause in March and April. Additionally, the recent stock market rally is not only boosting buyer confidence but also providing money for their down payments.

Lender and Broker Services and Products

The latest Compass Analytics release has some impressive enhancements to support system integrations. Compass’ CompassBridge solution, which integrates CompassPPE and CompassPoint to other platforms, has expanded its use of stateless processing and microservices, providing greater speed, simplicity, and scale to its users. Additionally, Compass now supports the ability to post ULDD commitment data from CompassPoint to Black Knight’s Empower LOS and Fiserv’s MortgageDirector LOS, automating the data entry process for ULDD commitment extracts. Compass has also enhanced its automation capabilities with Empower allowing users to make smarter and faster hedging decisions. In addition, lenders can configure multiple LOS connections with a CompassPPE instance, enabling a more seamless LOS implementation process. Finally, CompassPPE has enhanced its locking functionality, giving secondary more control with features like guideline rules to disable locking. This release, loaded with new features, demonstrates Compass’ continued focus on innovating the mortgage origination market.

(A conversation happening right now between a lender exec and one of his directs over text.)

Kenneth (Boss): “Chris, what percent of our borrowers do their next loan with us?”

Chris: “I haven't checked lately, but we're around 15 percent.”

Kenneth (Boss): “So you're telling me only 1-2 people out of 10 come back?”

Chis: “Sadly, yes... I think it's been like that for a while.”

Kenneth (Boss): “That stinks. How much have we spent to acquire those borrowers?”

Chris: “Right around $1,500 each, not counting the hourly cost per processor and underwriter, so, you know…”

Kenneth (Boss): “I need you to get on a call with you first thing tomorrow morning.”

Kenneth.... It's time to figure out what you've been missing... from the experts: www.salesboomerang.com/challenge.

"Give me 6 hours to chop down a tree and I will spend the first 4 sharpening the axe." (Abraham Lincoln) Having a solid process and strategy coupled with your efforts is critical to finding success in our world today. A single cold call and an email isn't going to get you hires, you need a solid, concrete plan of attack in order to target the right talent and set the right meetings. Build out your strategy with Model Match and communicate your process into actions across your entire footprint. Combined with On-Demand Market Insights, gain access to nationwide origination data and fill your pipeline with high quality targets to set your team up for success. Click here to connect with our team to see how you can create healthy pipelines and create a strategy to help you reach your goals. 

Webinars for August and Early September 

Volume and lender demand continue to be at an all-time high. To successfully meet your borrowers’ needs and stay ahead of the curve, it’s important to adopt the right technology. In three days, Capacity is teaming up with HousingWire for a webinar titled: How Leaders in Lending Are Driving Results Through New Technology. Capacity’s VP of Marketing, Justin Schmidt, along with Karthik Kumar from TCS, and Scott Roller from Vendor Surf, will dive into the current trends and highlight the technology leading firms are using to drive results. You will learn what technology is driving results in the mortgage industry, what is on the horizon in mortgage tech, and how to get ahead of it. You don’t want to miss this webinar on August 13. Register here. Want a sneak peek? Request a demo to learn more.

I have the honor of speaking this week during the HAMB (Hawaii Association of Mortgage Brokers and Professionals) and MBAH’s free webinar, sponsored by First Hawaiian Bank, on August 13, from 1-2PM PT. Check it out and say hi!

California MBA and MBA Members are invited to join a free webinar from 10-11 PST today for a presentation of the issues on California’s November Ballot, which will feature California MBA and MBA staff as well as independent experts on each ballot initiative. (California MBA Members use this code to register for free: CAPROP.)

On August 12th at 10:30am, MMBBA and MBA/MW are offering "Tangible Tips for Mortgage Marketing" webinar featuring Matt Muscat, the Author of TAG. This short webinar will cover tangible tips for generating more business for mortgage and real estate professionals. Leveraging Facebook’s algorithm for free, using messenger to your advantage, and bolstering your database will be among many of the topics.

NAMMBA is hosting a special webinar for CEO's and senior executives called Black Lives Matter Movement: What Does It Mean For Your Company? on Wednesday, August 12, from 2- 3PM ET. This webinar will include findings from a survey NAMMBA conducted on how employees felt their companies responded to this movement and best practices companies can implement to start building a more inclusive and intentional culture in their organization. To register, CLICK HERE (limited seating available).  

Arch MI’s upcoming Trainings Schedule is now available for review and registration.

AmeriHome’s underwriting management team is offering a series of webinar meetings covering a selection of recent VA Lender’s Handbook updates and related changes to AmeriHome guidelines and requirements. These meeting will be most useful for VA Loan Processors and Underwriters. Register as soon as possible, space is limited. The August 17th Webinar will cover VA Lender’s Handbook Ch. 10 – Appraisal Process and VA Circular 26-20-25 – Impact of CARES Act Forbearance on VA eligibility. The September 14th Webinar will cover VA Lender’s Handbook Ch. 11 – Appraiser Requirements.

Join Flagstar Bank and Freddie Mac for an Affordable Housing Virtual Summit, August 17th and 18th : Navigating Today’s Evolving Housing Market. If you are unable to attend the virtual summit, recordings of all sessions will be available to those who register.

The MBA is offering free online learning through MBA's Path to Diversity Scholarship in the month of September.

Don't Miss the CoAMP Wire Fraud and Cyber Crime Virtual Class with Peggy Pingel, Analyst for the Identity Theft and Financial Fraud Unit at the Colorado Bureau of Investigation, on September 2nd beginning at 1:00.

Join your partners across the real estate transaction for the National Settlement Services Summit (NS3) Sept. 1-3. At this year’s event you can learn how recent legislation will affect your business from HUD’s Deputy Secretary Brian Montgomery as well as from state regulators, what to expect from the economy from Fannie Mae’s Chief Economist Doug Duncan and how to stay cybersecure with the FTC and an entire cybersecurity track. Attendees will be able to discuss the adoption and response to trends such as the rise of digital mortgages and iBuyers from those leading the way such as our Keynote Speaker, Zillow’s Ryan Berry.

Zelman & Associates 2020 Virtual Housing Summit – September 21-25!  Attend this year’s exclusive housing conference Co-Hosted by top ranked Wall Street housing Analyst, Ivy Zelman. Live panel discussions, industry expert keynotes, rich research content and a comprehensive perspective on the entire housing ecosystem. Grow your business and learn more than your competition. Email for registration information and mention this newsletter for a discount – kim@zelmanassociates.com.

Capital Markets

The big economic release to close last week was the July employment report on Friday morning, which showed that America’s job market is losing steam after two months of improvement. The 1.8 million jobs added in July was better than estimates but still a sharp slowdown from the 4.8 million gained in June, as businesses closed again in parts of the country where the virus has surged. The unemployment rate dropped to 10.2 percent in July, down from 11.1 percent in June, but still well above the 3.5 percent low from February. Payrolls remain nearly 13 million, or 8.4 percent, below the February peak before the recession started. Only a little more than 40 percent of the jobs lost since the pandemic hit have been recovered. What does it all mean for mortgage rates? Well, this rate of job growth certainly won't push mortgage rates higher, which is welcome news for many, though it prevents more buyers from entering into housing markets. It’s expected that the August payrolls figure will show further deterioration.

The other big news affecting mortgage rates was regarding further stimulus talks in Washington. President Trump on Saturday issued executive orders to pay $400 a week in extra jobless benefits, extend the moratorium on evictions, delay payroll tax collections for some workers and give flexibility to Americans who owe student loans. He may not have the power to act on his own in such a matter, given that the Constitution gives Congress “power of the purse.” Legal challenges are expected. His decision to sign the measures comes as White House officials and top congressional Democrats remained bitterly divided on a number of critical issues.

Other economic releases showed consumer credit increased by $9.0 billion in June though it was below expectations and marked the fourth straight monthly contraction in revolving credit, which is something that hasn't happened in nearly a decade, and demonstrating the more restrictive credit stance adopted by lenders in the wake of the COVID shutdown and spike in unemployment. By Friday’s close, MBS and Treasuries had pulled back slightly.

This week’s economic calendar includes updates on July PPI and CPI, the budget deficit, import/export prices, and the ever-important July Retail Sales. The week’s most likely market moving event comes via a $112 billon record Quarterly Refunding consisting of $48 billion 3-year Treasury notes, $38 billion 10-year Treasury notes and $26 billion 30-year Treasury notes to be auctioned tomorrow through Thursday. Today’s calendar sees only June Job Openings from JOLTS and the July Employment Trends Index, both due out later this morning. With regards to MBS, the Desk will purchase a maximum of $17.2 billion this week. Today, the NY Fed Desk will potentially buy a total $3.5 billion starting with $753 million UMBS15 2 percent and 2.5 percent followed by $2.8 billion UMBS30 2 percent through 3 percent. We start the week with Agency MBS prices better/up a few ticks and the 10-year yielding .55 after closing Friday at 0.56 percent.

Employment and Promotions

Caliber Home Loans is a great place to work! HousingWire’s August issue awarded Caliber’s Ann Thorn and Renee Galitis both as 2020 Women of Influence. Criteria for this recognition is based on professional achievements within their organizations, contributions to the overall industry, community outreach, client impact, and personal success. We nurture professional development while providing innovative technology and rewarding skilled talent with lucrative salaries and bonuses. Are you driven and influential in helping people obtain their dream of home ownership? Do you strive to exceed your personal best every day? Do you want to develop your professional skills with Caliber’s award-winning leadership? If so, we want to talk to you! Interested in one of our posted job opportunities? Please contact Jonathan Stanley for consideration. Interested in a sales opportunity at Caliber? Please contact Brian Miller for immediate consideration. Visit the Caliber Careers website for opportunities across the organization!

Do you know an operations team that might be interested in a new and exciting opportunity? There is a fast-growing regional company with a great track record of employee retention whose sales staff is growing faster than operations can handle. It is willing to pay a $25,000 referral bonus to someone who puts them in contact with the right team of underwriters, closers, and compliance people anywhere in the country who may want to move as a team. Contact Scott Flaherty for more details. 

“Towne Mortgage Company is growing again, and would like bring on high performing underwriters with at least 3 years of experience. Over the last year our volume has increased by 300% and for nearly 40 years we have provided big name results with a small Towne touch. Being part of our Towne has its perks; We offer industry leading health benefits because we care about your safety and well-being first. Boost your performance with skills training and maintain work/life balance with our alternative work arrangements. Towne is committed to fostering a respectful, inclusive community that is diverse in all aspects, both in and outside of the office. Come for the stability, stay for the culture. Full-time, on-site, 100% REMOTE and flexible/part-time opportunities are available. If interested, please contact Jessie James to learn more.”

“In our ‘relentless pursuit of excellence,’ Trinity Oaks Mortgage is seeking passionate, driven Mortgage Loan Originators and Sr. Loan Processors in the DFW area to join our team. TOM is a full service, independently owned mortgage banker headquartered in Red Oak, TX that puts a great emphasis on providing you with the tools, technology and support you are looking for to be successful. If you’re seeking a position with a growing, innovative company that values family, honest communication, 2nd Mile Service and generous love to our employees, we want to talk to you! Visit our website to learn more about Trinity Oaks, view job description and apply online, or contact Todd Reynolds (Sales) or Kizzy Kehoe (Ops) to learn more.

Attracting Operations talent is big news in the industry lately. “Joining Thrive is absolutely the best career move I have ever made.” This is the most common sentiment expressed by new Ops Team Members after their first few months with the company. After laying an incredible foundation of best-of-breed technology solutions, perfecting their Quality & Efficiency workflow, and building one of the best leadership teams in the industry; Thrive Mortgage is crushing production numbers and is positioned to maintain this growth for years to come. “Our operations staff is unmatched. We simply have the best people across all our teams,” stated Selene Kellam, COO for Thrive. “When you have great leadership, it simply breeds a culture of excellence from the top down.” To inquire about open positions within Thrive, contact Jamal Chubb or Josh Harvith to begin a conversation. You can also visit us at Join.ThriveMortgage.com to learn more.

If you are interested in helping make affordable and sustainable housing solutions available to millions of low- to moderate-income individuals and families each year, FHA is hiring for two positions: Deputy Director of the Quality Assurance Division in Washington D.C. and Supervisory Underwriter in Santa Ana, CA.

Blackstone’s Incenter announced the appointment of Tom Piercy as President, Enterprise Business Development. Tom will remain Managing Director of Incenter Mortgage Advisors but also head Incenter’s new National Enterprise Sales Team consisting of Tyler Bohn, Nick Costas, and Steve Ferringer, each serving as EVPs, National Business Development.