TheMReport — News and strategies for the evolving mortgage marketplace.
Issue link: http://digital.themreport.com/i/120611
Local Edition ORIGINATION Guaranteed Rate Picks Up the Pace Announcing upgrades to its online platform, the company rolled out faster, more transparent technology for borrowers. Illinois // Guaranteed Rate, the largest independent retail mortgage company in the country, announced sweeping changes to Edward Jones Mortgage Goes Under Citing regulatory reform as the chief catalyst behind its closure, the lender announced plans to shut down operations in April. Minnesota // Citing changes in regulatory reform due to Dodd-Frank as the driving factor, Edward Jones Mortgage, based in St. Louis Park, Minnesota, will close its doors permanently this month. The M Report | 45 se c on da r y m a r k e t Michigan // In Michigan, Flagstar Bancorp, Inc., announced an agreement to sell the assets of DocVelocity, its document imaging business for mortgage lenders, to Capsilon, a provider of cloud-based sharing, imaging, and collaboration services for mortgage lenders. Capsilon developed much of the technology that DocVelocity has marketed and sold since 2007 and that Flagstar has used to provide paperless processing to its wholesale customers. allowed us now to integrate vertically, taking responsibility for everything from software development to sales and service. DocVelocity customers will benefit from our focus and additional capabilities." Terms of the transaction were not disclosed, and the transaction is not expected to have a material financial impact on Flagstar. a na ly t ic s Having developed much of the technology associated with Flagstar's DocVelocity unit, Capsilon reached a purchase agreement with the company. Flagstar will continue to use the DocVelocity service after the transaction. "DocVelocity has played an important part in establishing and solidifying Flagstar's position as a leader in paperless mortgage processing for our customers," said Jason Dufner, SVP of change management at Flagstar. "That's a differentiator in the marketplace that we intend to maintain." The sale will be seamless for Flagstar customers, who will continue to benefit from the DocVelocity solution, staff, and Flagstar's paperless processing, Flagstar said in a release. "Flagstar has been a great partner for us," said Sanjeev Malaney, CEO at San Franciscobased Capsilon. "Their vision and leadership in the mortgage industry was key in driving adoption of our technology in the market. Our growth has s e r v ic i ng Flagstar Sells Document Imaging Business its website that will affect how borrowers apply for, track, and receive their home loans. With the newly upgraded GuaranteedRate.com, customers can now receive approval for a home loan in as little as 15 minutes. In addition, the firstof-its-kind online process gives customers control and transparency over their loan by enabling submission of a secure application, immediate access to their credit scores, and automated underwriting. Once the loan is being processed, customers now have the ability to track its progress online at any time. "Guaranteed Rate has grown to become one of the largest mortgage lenders in the U.S. because we lead the way in providing low-rate, lowfee loans, industry-leading customer service, and an easy-to-understand home loan process," said Victor Ciardelli, president and CEO of Guaranteed Rate. "Now, we're taking our commitment to our customers a step further by putting the borrower in control of the process and providing them with the tools necessary to get a home loan faster and easier than before." Ciardelli added that by submitting an application through Guaranteed Rate's site, the company gives customers $150 back at closing, further reducing fees. Guaranteed Rate is headquartered in Chicago. Or ig i nat ion In Michigan, Flagstar Bancorp, Inc., announced an agreement to sell the assets of DocVelocity, its document imaging business for mortgage lenders, to Capsilon, a provider of cloud-based sharing, imaging, and collaboration services for mortgage lenders.