TheMReport — News and strategies for the evolving mortgage marketplace.
Issue link: http://digital.themreport.com/i/386473
Th e M Rep o RT | 11 take 5 social life to make sure that they are telling the same story. In effect, it "inter- rogates" the information presented in various documents, looking for discrepancies that might result in over- or under- calculations of income. Similarly, we have developed a new loan boarding solution for ser- vicers that identifies data integrity issues in bulk MSR and whole-loan transactions. It does it in an auto- mated fashion, saving thousands of FTE hours for large deals. Using technology to do the heavy lifting of identifying risks and anomalies, and then involv- ing human underwriters and reviewers—that's the next big op- portunity for technology in our industry. M // As the industry becomes more and more reliant on technology platforms to manage documents and streamline processes, what steps do you take to improve and ensure security and reliability? SeehauSen // Let me start with the last part of that ques- tion: reliability. Since compli- ance is one—if not the—driver in using technology today, our clients expect us to be on top of every change in federal, state, and local regulations. To do this, LenderLive has built a large, in- house compliance team, and we also use leading outside counsel to make sure our offerings and our document solutions are compliant. Not having to do this in-house, in fact, is a major value proposition for our key businesses, like fulfillment, docs, and servicing. We are also continually investing in technology and in- frastructure so that our solution achieves maximum availability, security, and redundancy. We store millions of data records for our clients, including several of the largest financial institutions in the world, which requires our processes and solutions to be continuously audited and certi- fied by our own audit group; client-driven audits; and robust third-party reviews, testing, and certifications. The sTory: Frank steps In to Defend reform Act The scoop: Four years after the implementation of the Dodd-Frank Act, former Rep. Barney Frank (D-Massachusetts) appeared before the house Financial Services Committee to defend his oft-criticized namesake bill. The hearing sparked the usual fireworks and colorful comparisons from Frank, who described the pushback from banks as "Marxist"—referring to the vaudeville brothers. The sTory: 56% of Lenders Worried New Bubble Is Inflating The scoop: As analysts continue to offer assurances that there is no housing bubble in the making, a survey conducted by FICo and the professional Risk Managers International Association found mortgage lenders aren't ready to buy it. FICo's chief analytics officer, Andrew Jennings, agreed, saying the current recovery "doesn't feel like a healthy, sustainable growth situation." The sTory: home Values expected to Depreciate in 20% of U.s. Markets The scoop: With home price increases slowing, a forecast from Veros Real estate Solutions predicts one in five markets is poised for depreciation over the next year, with markets in the Northeast and Midwest leading in declines. Still, that leaves the majority of markets on a positive growth path, raising the question: Is the glass 20 percent empty or 80 percent full? The sTory: Agencies Issue Guidance on end-of-Draw heLocs The scoop: Four federal financial regula- tory agencies and the Conference of State Bank Supervisors issued risk management guidelines for financial institutions that need to be aware of the challenges borrowers may face as their home equity lines of credit (he- LoCs) come to the end of their draw period. Accord- ing to the guidelines, finan- cial institutions should be fully aware of end-of-draw conditions and stipulations, develop a clear picture of scheduled end-of-draw period exposures, and identify higher-risk seg- ments of portfolios. Keeping the Conversation Going As summer draws to an end, analysts and policymakers stay locked in a heated debate about the future of housing. @colcapMgmt "Community Banks Argue for Expanded CFPB Exemptions via @TheMReportNews—too many unintended consequences @ SFCdotORG" @proTeckservices "Trends Indicate Recovering (Not Bubbling) #HomeMarket —@TheMReportNews" These sTorIes heATeD Up MRepoRt's socIAL MeDIA chANNeLs.