Seen on a chalkboard outside a bar: “Beer shortage coming soon. Panic buy here!” Moving from booze to bonds, thinking that the Fed would buy $5 billion a day of MBS is wishful drinking. Uh, sorry, I meant wishful thinking. The Fed’s role is to help the stability of our financial markets, and it did so last year and this year by buying Treasury mortgage-backed securities. But things are pretty stable (aside from the usual Congressional tug of war), worldwide economies are picking up a little steam, leading Federal Reserve Bank of Chicago leader Charles Evans and other Fed officials saying they’re on board with an imminent pullback in the central bank’s bond buying stimulus effort. Evans added that as high as inflation is right now, it may not have risen enough to lift longer-term expectations in the way policy makers have been seeking. Why is inflation important? If your investments are earning 2 percent, or your wages are going up 3 percent, and inflation is running at 4 percent, you’re losing ground. Inflation is on the Federal Reserve’s list of concerns, along with COVID variants, another taper tantrum, and the debt ceiling. Certainly it is way behind helping the economy regain a solid footing given the effects of the pandemic. (Today’s audio version of the commentary is available here. This week’s is sponsored by Richey May and today’s features an interview with Nathan Lee, who leads Richey May Advisory, the firm’s practice dedicated to Risk Assurance and Advisory, Integrated Risk Management, Data Analytics, Intelligent Automation, Technology, and more, on what lenders should be looking at in Q4 and into 2022.)

Broker/Lender Services and Products

TPO GO is an exciting new startup servicing the wholesale industry, offering a spectrum of solutions for their loan partners. With tailored, white glove solutions, they have a multitude of programs and products developed to increase your production. Whether you prefer fully brokered, or hands off delegated loan options, TPO GO has it. TPO GO’s cutting-edge technology, experienced underwriters, and top tier customer service, will take your mortgage business to the next level. Contact for more information.

No Ratio. No minimum DSCR is now available at JMAC Lending. Learn more about JMAC’s DSCR Investor Non-QM lending for your experienced and first-time investors. Unlimited properties, no income qualification and no job required. Register today for our free webinar: DSCR Non-QM Lending for Investors. Tuesday, Oct. 5, at 10AM PST. Attendees will have a chance to win a $100 Amazon gift card. JMAC offers additional alternative-doc products and 5 big Jumbo products aggressively priced. Visit to learn more or contact to get started with JMAC Lending. 

In today’s increasingly competitive market, rates and terms don’t differentiate one lender from the next. Loan officers do. And as well-funded challenger lenders move in to capture their piece of the booming U.S. mortgage market, now is the time for loan officers to differentiate themselves and stand out as the lender of choice. Watch the webinar with experts from Total Expert and Fairway Independent Mortgage Corporation as they share their playbook to empower loan officers to exceed borrower expectations and create customers for life.

Black Knight is a proud sponsor of the NAMB National 2021 Conference in Las Vegas. Make sure stop by our booth for a chance to win a Harley-Davidson® motorcycle, as well as learn more about our game-changing solutions for mortgage brokers. Black Knight’s powerful broker technology includes a social media solution to help brokers improve efficiency and protect from compliance risks, a cloud-based loan origination system built for brokers to close loans faster and deliver a better borrower experience, an industry-leading PPE that supports best execution searches across 120 wholesale investors and a CRM that helps brokers stay in front of clients and prospects by delivering valuable content about housing, mortgages and more. Black Knight’s solutions are designed to help brokers save time, connect with more borrowers and close more loans. Schedule a meeting at NAMB to learn more.

The Mortgage buying process isn’t always easy. That’s why lending a hand to unite mortgage operations, marketing & loan officer teams is critical to your organization’s efficiency and your consumer’s trust. Digideck helps modernize outreach and engagement with your consumers throughout the mortgage process, adding visibility into the journey and opening communication up in the moments that matter. Speed up your sales cycles with personalized, interactive presentations utilizing CRM integrations, such as OptifiNow, to deliver maximum impact within your existing tech stack. Watch a sneak peek of Digideck in action and modernize your Mortgage process today.

Exclusive interview: Industry veteran reveals how local lenders can unlock competitive rates and better economics in the secondary market. In this special episode of the Clear to Close podcast, capital markets expert and Maxwell VP/GM Sadie Gurley explains why smaller lenders risk losing serious market share if they don’t redefine their approach to capital markets. Plus, learn how a new solution is revolutionizing local lenders’ ability to gain economic scale and increased access to secondary markets, allowing them to decrease trading time, win borrowers with competitive rates, and thrive through market cycles. Want to bulletproof your lending business against margin compression and well-funded competitors? Listen to the Clear to Close podcast’s new episode, “Reinventing the Secondary Market for Local Lenders,” on Apple Podcasts, Spotify, or Google Podcasts.

Get ahead of the game with Richey May’s RM Automate, an intelligent automation solution designed to enhance every part of your business, powered by the world-class Zoral Automation Platform. Seamless integration of loan processes, decisioning and workflow is hosted and managed by an automation platform in the cloud. Intelligent automation will allow you to create efficiencies and leave your employees free to deal with more complex, challenging, and revenue-generating tasks to equip you for a more effective and profitable busy season. Contact us to schedule a demo today to see how this intelligent automation is changing the game for lenders.

USDA and FHA Updates

The Federal Housing Administration (FHA) published Mortgagee Letter (ML) 2021-24, Extension for COVID-19 Forbearance and COVID-19 Home Equity Conversion Mortgage (HECM) Extensions. It provides up to six months of COVID-19 forbearance for borrowers requesting their initial COVID-19 Forbearance on October 1, 2021, through the end of the COVID-19 National Emergency, and an additional six months if the forbearance is exhausted or expires before the end of the COVID-19 National Emergency. “An additional six months of forbearance for borrowers who requested their initial COVID-19 Forbearance between July 1, 2021, and September 30, 2021. This ML also provides the opportunity for additional periods of COVID-19 HECM Extension for HECMs when the initial request is made on October 1, 2021, through the end of the COVID-19 National Emergency, and when the initial COVID-19 HECM Extension request was made between July 1, 2021, and September 30, 2021.”

FHA published Mortgagee Letter (ML) 2021-21 announcing the transition for reporting of delinquent FHA Title II Single Family forward mortgages in SFDMS from FHA Connection (FHAC) to the FHA Catalyst. The new module enhances data integrity and integrates with existing capabilities currently on the FHA Catalyst platform. Additionally, the ML updates and streamlines the data elements submitted as part of default reporting and adds fatal error codes to ensure data integrity in FHA portfolio reporting. Reference the revised SFDMS Reporting Codes and Reporting Data Elements document.

FHA’s Mortgagee Letter (ML) 2021-23 establishes mandatory transition dates for mortgagees to submit appraisals for single family forward and reverse mortgage endorsements through the FHA Catalyst: EAD Module. The HECM appraisal submission functionality is a new capability immediately available within the module. Until further notice, the FHA Catalyst: EAD Module will only accept appraisal resubmissions for cases initiated in the module. Prior to April 15, 2022, FHA will notify mortgagees in an upcoming FHA INFO when the FHA Catalyst: EAD Module is available to receive resubmissions initiated in the legacy EAD portal.

USDA Rural sent out a note last night. “The purpose of this notice is to announce the removal of the September 30, 2021, deadline for a borrower to request loan assistance due to the COVID-19 National Emergency. Borrowers may request assistance until the end of the National Emergency is declared.”

With the start of Fiscal Year 2022 soon approaching (10/1), the USDA Rural Development Agency sent out its Single-Family Housing Guaranteed Loan Program (SFHGLP) Conditional Commitment process. “An upfront guarantee fee of 1.00 percent and an annual fee of .35 percent will apply to both purchase and refinance transactions for FY 2022. But at the beginning of each fiscal year, funding for the guaranteed loan program is not available for approximately two weeks. USDA anticipates this brief lapse in funding to continue for FY 2022 so issues Conditional Commitments (Form RD 3555-18/18E).

With the start of Fiscal Year 2022 (FY) approaching, begins October 1st and ends at the close of business September 30th, USDA issued a Bulletin regarding the Single-Family Housing Guaranteed Loan Program (SFHGLP) Conditional Commitment process.

USDA issued a Bulletin providing information & clarifications regarding SAM, System for Award Management (SAM) Registration Requirements for Approved Lenders.

All PRMG Retail FHA 203K Standard, FHA 203K Limited, FNMA Homestyle Renovation loan amounts may not exceed $1,500,000, even when allowed by county limits. PRMG is aligning with Fannie Mae’s DU update adding positive rent payment history to the risk assessment and an update to credit score eligibility. For details, login to PRMG and view Product Update 21-48.

First State Mortgage posted information updates on USDA Commitment Authority and Condo Questionnaire Addendum. View First State Mortgage Guide Announcement 2021-029

regarding USDA 2022 Conditional Commitments and First State Mortgage Guide Announcement 2021-028 regarding the new Condo Questionnaire Addendum.

FAMC announced that during USDA’s temporary lapse in funding, it will purchase USDA loans when the Conditional Commitment is “subject to the availability of commitment authority”, as this is primarily a procedural delay with USDA and not a funding issue with the USDA-RD program. View the FAMC Correspondent National Bulletin 2021-40 for details.

Capital Markets

The “hawkish” tilt from the Fed at its meeting last week has caused Treasury yields to go up, with the 10-year hitting yield levels not seen since June yesterday. Despite some fears surrounding real estate developer Evergrande in China and the debt ceiling domestically, there is general optimism surrounding economic conditions. We saw yesterday that the August Durable Goods Orders report was mixed, though business spending remained on a positive track. The rest of the week sees a lot of housing data (pending home sales, Case-Shiller and FHFA) and Fed-Speak. Speaking of the Fed, Fed Chair Powell told the U.S. Senate yesterday that supply bottlenecks have lasted longer than expected, and that inflation pressures will remain high in the coming months before easing back toward the Fed’s longer-run 2 percent goal. In less savory Fed news, Boston Fed Chief Eric Rosengren and Dallas's Robert Kaplan quit within hours of each other in the wake of disclosures this month about their trading activities and health.

Today’s economic calendar is underway with the Advance August goods trade deficit, advance Retail Inventories, and advance Wholesale Inventories, none of which moved rates. MBA’s latest Forbearance and Call Volume Survey revealed that the total number of loans now in forbearance decreased by 4 bps to 2.96 percent of servicers’ portfolio volume in the prior week of September 19, meaning 1.5 million homeowners are in forbearance plans.

Later this morning brings Redbook same store sales for the week ending September 25, July home prices from Case-Shiller and FHFA, September Consumer confidence, Richmond Fed manufacturing and services, a $62 billion 7-year auction, and plenty of Fed speakers (Chicago’s Evans, Chair Powell, St. Louis’ Bullard, Governor Bowman, and Atlanta’s Bostic. The Desk will conduct the last two operations on the current schedule when they target up to $5.6 billion 30-year 2 percent and 2.5 percent before releasing a new schedule covering the September 29 to October 14 period that is expected to average $5.1 billion per business day. Tuesday begins with Agency MBS prices worse .250 and the 10-year yielding 1.54 after closing yesterday at 1.48 percent.


Employment and New Hires

Anchor Loans keeps breaking records and is now the first fix-and-flip lender to have passed the $10 billion mark in total originations. Back in 2016, Anchor become the first fix-and-flip lender to originate more than $1 billion in a year, a level it has surpassed every year since. This year, Anchor passed the $1 billion mark in August, which speaks volume about the performance and dedication of the Anchor team. To keep the pace with this tremendous volume, Anchor has several open positions. Anchor offers signing bonuses, highly competitive compensation, comprehensive training, in-office and hybrid work options and culture of caring and success. Contact Desiree Falcon to learn more. Come join the new A team and make history with us!

“JMAC, with its no minimum DSCR (Debt Service Coverage Ratio) now available, is growing and recruiting ambitious Senior Account Executives to join its industry-leading wholesale lending sales group. Visit JMAC’s career page or email”

“Are you looking for a casual, flexible, collaborative work environment? Are you passionate about making your mark in the mortgage industry? Then look no further because ClosingCorp, the leading provider of residential real estate closing cost data and technology, is hiring! We have several openings including Account Manager and Client Support Specialist. ClosingCorp offers a comprehensive array of valuable benefits to protect your health, your family and your way of life. The company has seen exponential growth over the past three years… There’s never been a better time to join a passionate, dedicated talented group of people! At ClosingCorp you’ll have plenty of opportunities to learn and grow with an innovative industry leader. Click here to apply.

Union Home Mortgage Corp. is actively seeking experienced Account Executives nationwide. Union Home Mortgage supports both NDC and Wholesale Business Partners. You’ll receive world-class on-boarding and ongoing support as you build your business. From high-level coaching to fireside chats with leadership, you’re set up for success from the very beginning. We need to see our production team focused on adding customers. Each AE is assigned a Partner Advocate to be solely responsible for their active pipeline. That relationship gives the AE the time needed on a regular basis to remain razor focused on growing their customer base. Explore our new TPO website:  If you’re interested in advancing your career as an Account Executive with Union Home Mortgage TPO, contact Jim Wickham, VP - Third Party Origination at (248) 318.8553.

Finance of America Mortgage tapped Tim Cotten to lead its national and regional growth efforts. Tim Cotten joins Finance of America Mortgage as an experienced talent acquisition leader, and will lead a team of Market Development Managers to advance growth across the country and has laser focus on the upper Midwest and Texas. “Acquiring quality talent is the most important key to our growth here at Finance of America Mortgage,” says Cotton. “The ‘Customer for Life’ platform that Finance of America Mortgage has created for our mortgage advisors is unlike anywhere else. Once our message gets out there, growth is inevitable.” If you’re interested in joining Tim at Finance of America Mortgage, an amazing lender, with great culture, who is advisor-centric, and continues to push the limits of lending technology, look no further than Finance of America Mortgage! Tim and his team of market development managers would love to speak with you about your future at FAM! 

Nevada’s Panorama Mortgage Group (PMG) announced that Ryan Kerian has joined the firm as chief compliance officer and general counsel and will be “aligning legal, compliance and operational functions while, at the same time, driving overall growth of the company, and is responsible for protecting the interests of both the company and its clients as technology advances and demographics rapidly change.”